This general agreement allows a contractor (company) to engage a sub-contractor (company) to work on unspecified contracts for which (s)he is the head-contractor over a particular term of arrangement. The agreement seeks to ensure that the sub-contractor is not considered to be an employee of the head-contractor. The agreement is careful about conflict of interest, assignment and confidentiality, and seeks to openly restrain trade (to the extent legally permissible) by the Subby with key players after the contract is over. In the viewpoint of the law, a covenant in restraint of trade is contrary to public interest and the courts will not enforce it unless the restraint is reasonable at the time it is made, considering the interests of all parties to the agreement and the public. It includes the head-contractor saying to the subby "keep your hands off my client, or else".
L-3294Subcon_0.docAgreement to engage a sub-contractor (company) to be head-contractor for unspecified contracts over a particular term.
