1099 contractors stuck between vendors commission tug of war

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adviceseeker

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I work on 1099 for a company A . This company A has a client B and that

client B has a final client C for which I have been working for a project.

But now I want to skip one layer and want to work directly on 1099 for

company B for an another project for Company C. I wanted to know as an

independent contractor I can start working for any company at any time ?

There is no point of company A coming to me and put any legal constraints

to not allowing me to work directly for company B. ?? :mad:

As for as I know, Company B is only linked to company A on commission

basis and Its like a commission layer from top to bottom node ( ( final

client Company C pays to--> Company B pays to --> Company A pays on 1099 to

me.

So, I basically want to break this commission layer and asking company B to

directly work with me for the next project. But company B is giving me lame

excuses and asking me to leave company A and ask Company A to relieve me

and also tell company A that I am willing to work with company B as per

their explanation that due to their terms with company A they cant even

work directly with me without notifying company A. Now I am stuck in this

tug of war , please help me and advice me what is the best possible thing I

can do ??
 
The various companies normally have non-compete clauses.

These companies agree not to poach each other's agents.

You may be amenable to breaking the chain, but they aren't.

They have a relationship to protect with each other.

You are of no importance to either of them.

They can get someone else to do what you do.

That is why one is pushing back at you on your idea.

I suggest that you let this idea go.

If you don't, they may no longer wish to avail themselves of your services.
 
No way out ?

Thanks Sir for responding to my queries: I would take your advice ...:mad::confused:

I was sort of thinking the same way you explained, It's like no way out from this but I was wondering if the end client (company C ) is happy working with me but it has no clue how much margin these 2 layers are taking out of my hours spent each day, how come these vendor companies decide fortune of an independent contractor though they rely on him ??

Its like once your are in, could be any reason whether you didn't work as IC earlier or ignorance, you are stuck.. thats it .. its all .. I would request you or anyone who can advice independent contractors like me to avoid such thing happen to them in future, please share in this forum..

Thanks a lot !
 
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