Independent Contractor Payments

[TGLewin]

Jurisdiction

Colorado

Question Legal World: I have a contract with an Independent Contractor who has requested that his payments be mailed to his current employer. Obviously the contract I have is directly with the individual and NOT his company. Is this permissible?

 

[army judge]

Is this permissible?

Your IP address reveals the following:

Continent: North America
Country: United States us flag
State/Region: New Jersey
City: North Bergen

However, your heading claims you are inquiring about an event regarding Colorado law.

The information above is for other respondents.

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There is no law which prohibits you from mailing the check to the individual at his employer's address.

That said, you should inform the individual that pursuant to the terms of the contract which governs you both, you are required to make the check out in his/her name and send it to his/her address of record noted in the contract or hand the check to her/him in person.

Bottom line, if I were you, I'd follow the terms of the contract to which both she/he and you are parties.

 

[TGLewin]

Thank you Army Judge. To clarify, the Independent Contractor wants the payment made out to his employer. After reading IRS regulations, I wasn't comfortable with that and wanted to get fellow colleagues' opinions. Thank you for your reply.

 

[army judge]

To clarify, the Independent Contractor wants the payment made out to his employer

I wouldn't overthink this.
I would simply abide by the terms of the contract.

My GUESS is that your dude or dudette has encountered a snag with his/her employer.
He/she is attempting to remediate MOONLIGHTING without his/her employer's express permission.

One question for you.
Does the contract allow the contractor to "subcontract" the work?
Even if it does, your contractor is NORMALLY responsible for paying his/her subcontractors.

If you wish to avoid this issue in the future, rewrite your contract going forward to disallow any subcontracting, or to allow you to "vet and approve" any subcontractor before proceeding.

Personally, I dislike using any subcontractor, and don't allow the option in any form.

Good luck.

 

[zddoodah]

I have a contract with an Independent Contractor who has requested that his payments be mailed to his current employer.

Aren't you his current employer? Or are you saying that he's an employee of someone else but is working as an IC for you?

Is this permissible?

Permissible? Are you thinking that anyone here has read your contract with this person?

To clarify, the Independent Contractor wants the payment made out to his employer.

Why?

After reading IRS regulations, I wasn't comfortable with that

Why?

 

[adjusterjack]

To clarify, the Independent Contractor wants the payment made out to his employer.

If you don't want to do it, just don't do it.