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by JoeMayoBot 1237 days ago
I've encountered this situation before. It happened because the large company had a process to become an approved vendor. It's a bit like trying to work with the government with delays and red tape. Since they didn't want to wait for me to go through the process, they asked me to sign with one of their established companies. Everything is negotiable. Your leverage is that you're willing to walk and the consequences of that reflect poorly on Umbrella because A has already decided that they want you. On your questions:

1. Some consultants want ownership of intellectual property. I don't care and it hasn't been a problem for me. You can try to negotiate this. However, it gets more complex because now you have 3 interested parties because it's likely that A wants IP ownership too.

2. I have liability insurance because it's a common customer ask. My insurance company even sends them coverage so they can verify contract terms.

3. This is a shady practice that most recruiters engage in. At worst, it essentially keeps you from working by yourself or with a different umbrella because Umbrella has communicated with every major company in town (or even worse if they're a national or international corporation). I would negotiate this clause and get it narrowed until it only pertained to the specific project and was time boxed. That way, you can work on other projects at A and are free to work with any other company. Ideally, they would drop the restriction altogether, but it depends on how much you want the job.

One more thing that you didn't mention - payment terms. One of the sneaky clauses they add is that they can only pay you if the customer pays them. You want to get that taken out because they will claim they haven't been paid and make you wait. This puts you in a position of weakness on future issues because you'll be concerned about not being paid. If they're reputable, they'll pay you, though it might be good to ask around for other people who have worked with them if you can. My situation was that Umbrella subcontracted me to a 3rd party recruiter who tried not to pay me because Umbrella didn't pay them, which is by design. Fortunately, I had already negotiated the conditional payment clauses out of the contract with well-defined payment terms. When 3rd party tried not to pay me, I evoked the contract and they paid me.

Good luck.

1 comments

Thanks for the reply! With regards to payment I don't see that clause so things look ok there.

But noticed another clause essentially forbidding me to reveal anything related to the said contract _including_ even the fact that I'm in a contract with the umbrella.

That's a whole new level on madness...

Since I treat my customer list as confidential (my) company IP, it wouldn't affect me much. I don't include companies on my resume to keep recruiters from mining my customer list. That said, it could be beneficial to be able to let future customers know that I worked with A (it's marketing), which I will mention in an interview - telling the story of what I did for that company. Hopefully, that clause might be easy to eliminate.