Contract for provision of services: obligations of the contracting party – Personal Finance – Economy

Contract for provision of services: obligations of the contracting party – Personal Finance – Economy

You have to start by explaining that a Contract to provide services is a document of civil character with which a person or company makes an agreement on a specific activity.

This agreement will include the conditions in which an independent professional, from any area, undertakes to perform a series of services for his client at change of the agreed remuneration.

Its main characteristics are; que there is no subordination or dependencya, the remuneration is freely agreed, the services are provided personally, the parties are not exempt from tax obligations, This is a civil contract, not labor.

Regarding this last point, it is not considered a labor contract since there is no direct relationship between the employee and the worker, therefore the trial period does not appear and the obligation for the contracting party to pay social benefits is not generated. .

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In addition, another of the characteristics is that the contracts for the provision of services do not require, in a mandatory manner, adhere to strict work hours. meThis matter must be agreed at the time the contract is made and be duly registered.

In colombia, 2.5 million people work with a contract for the provision of services only in the public sector, which constitutes a different regime from those who have an employment relationship for an indefinite or fixed term.

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Obligations of the contracting party:

When an agreement is signed under the figure of provision of services, the contracting party must comply with a series of obligations, for example respondent for fees agreed, and also with the payment of the ARL in cases of maximum risk.

One of the recommendations is to agree on how the payment is going to be made, the requirements that must be met to pass the collection accounts, the dates on which this process can be done, the advances that must be delivered to receive the corresponding payment and talk about the risks that are run in the function to fulfill.

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