Independent Contractor Agreement
INDEPENDENT CONTRACTOR AGREEMENT
State of Nebraska
Table of Contents
- Parties
- Recitals
- Scope of Services
- Term and Termination
- Compensation and Payment
- Independent Contractor Status
- Tax Obligations
- No Employee Benefits
- Insurance
- Intellectual Property
- Confidentiality
- Non-Competition and Non-Solicitation
- Indemnification
- Dispute Resolution
- Nebraska-Specific Notices
- General Provisions
- Signatures
1. PARTIES
This Independent Contractor Agreement ("Agreement") is entered into as of [__/__/____] ("Effective Date") by and between:
Company/Client:
Name: [________________________________]
Address: [________________________________]
City: [________________________________] State: Nebraska ZIP: [____]
EIN/Tax ID: [________________________________]
Independent Contractor:
Name: [________________________________]
DBA (if applicable): [________________________________]
Address: [________________________________]
City: [________________________________] State: [____] ZIP: [____]
SSN/EIN: [________________________________]
2. RECITALS
WHEREAS, Company desires to engage Contractor to perform certain services; and
WHEREAS, Contractor represents that Contractor is engaged in an independently established trade, occupation, or business;
NOW, THEREFORE, in consideration of the mutual covenants herein, the Parties agree as follows:
3. SCOPE OF SERVICES
3.1. Contractor shall perform the following services ("Services"):
[________________________________]
3.2. Deliverables: [________________________________]
3.3. Contractor shall determine the manner, method, and means of performing the Services.
4. TERM AND TERMINATION
4.1. Term. This Agreement begins on [__/__/____] and continues through [__/__/____].
4.2. Termination for Convenience. Either Party may terminate upon [____] days' written notice.
4.3. Termination for Cause. Either Party may terminate immediately upon material breach if not cured within [____] days.
4.4. Effect of Termination. Contractor delivers all completed work and is paid for Services performed through termination.
5. COMPENSATION AND PAYMENT
5.1. Compensation.
☐ Fixed fee of $[________________________________]
☐ Hourly rate of $[________________________________] per hour
☐ Milestone-based payments per Exhibit A
☐ Other: [________________________________]
5.2. Invoicing. Contractor shall submit invoices [________________________________].
5.3. Payment Terms. Payment due within [____] days of valid invoice.
5.4. Expenses. Contractor bears all expenses unless pre-approved. Pre-approved expenses: [________________________________]
6. INDEPENDENT CONTRACTOR STATUS
6.1. Classification. Contractor is an independent contractor. No employment, agency, joint venture, or partnership is created.
6.2. Nebraska ABC Test. Under Neb. Rev. Stat. § 48-604(5), services performed for wages are considered employment unless all three prongs of the ABC test are satisfied:
Prong A — Freedom from Control:
☐ Contractor is free from control or direction over performance of Services, both under this Agreement and in fact
Prong B — Outside Usual Course of Business:
☐ Services are performed outside the usual course of Company's business; OR
☐ Services are performed outside all of Company's places of business
Prong C — Independently Established Business:
☐ Contractor is customarily engaged in an independently established trade, occupation, profession, or business of the same nature as the Services
6.3. Supporting Factors:
☐ Contractor maintains their own business entity, licenses, and registrations
☐ Contractor provides their own tools, equipment, and supplies
☐ Contractor sets their own schedule
☐ Contractor has right to hire assistants or subcontractors
☐ Contractor is free to work for other clients
☐ Contractor has opportunity for profit or loss
6.4. No Control. Company shall not direct or control the manner, method, or means of performance.
7. TAX OBLIGATIONS
7.1. Contractor is solely responsible for all federal, state, and local taxes, including Nebraska state income taxes and self-employment taxes.
7.2. Company shall not withhold taxes from payments.
7.3. Company shall issue Form 1099-NEC for payments of $600 or more.
7.4. Contractor shall provide a W-9 prior to first payment.
8. NO EMPLOYEE BENEFITS
8.1. Contractor is not entitled to employee benefits including health insurance, retirement, paid leave, workers' compensation, or unemployment insurance.
8.2. Contractor is responsible for obtaining personal coverage.
9. INSURANCE
9.1. Contractor shall maintain at Contractor's expense:
☐ General liability insurance: $[________________________________] minimum
☐ Professional liability insurance: $[________________________________] minimum
☐ Workers' compensation insurance (if Contractor has employees)
☐ Commercial auto insurance (if applicable)
9.2. Certificates of insurance upon request.
10. INTELLECTUAL PROPERTY
10.1. Work Product.
☐ Owned by Company as work made for hire with full assignment
☐ Licensed to Company per: [________________________________]
☐ Owned by Contractor with perpetual non-exclusive license to Company
10.2. Pre-Existing IP. Contractor retains rights and grants Company non-exclusive license for incorporated materials.
10.3. Assignment. Contractor assigns all rights not qualifying as work made for hire.
11. CONFIDENTIALITY
11.1. Definition. "Confidential Information" means all non-public information disclosed by Company.
11.2. Obligations. Maintain strict confidence, no disclosure without consent, use solely for Services.
11.3. Exceptions. Publicly available, previously known, independently developed, or legally required.
11.4. Duration. Survives for [____] years. Trade secrets protected under the Nebraska Trade Secrets Act (Neb. Rev. Stat. § 87-501 et seq.).
12. NON-COMPETITION AND NON-SOLICITATION
12.1. Non-Competition. During the term and for [____] months after termination, Contractor shall not engage in competing activities within [________________________________] (geographic area).
12.2. Non-Solicitation. During the term and for [____] months after termination, Contractor shall not solicit Company's clients or employees.
12.3. Reasonableness. The restrictions are reasonable in scope, geography, and duration.
13. INDEMNIFICATION
13.1. Contractor shall indemnify, defend, and hold harmless Company from claims arising from: (a) performance of Services; (b) breach of Agreement; (c) negligence or willful misconduct; (d) claims of employment status.
13.2. Company shall indemnify Contractor from Company's negligence or willful misconduct.
14. DISPUTE RESOLUTION
14.1. Governing Law. Governed by Nebraska law.
14.2. Mediation. Parties shall first attempt mediation in [________________________________] County, Nebraska.
14.3. Arbitration / Litigation.
☐ Binding arbitration under AAA rules in [________________________________], Nebraska.
☐ Jurisdiction in [________________________________] County District Court, Nebraska.
14.4. Attorneys' Fees. Prevailing party entitled to reasonable fees and costs.
15. NEBRASKA-SPECIFIC NOTICES
15.1. ABC Test. Nebraska applies the ABC test under Neb. Rev. Stat. § 48-604(5) for unemployment insurance purposes. All three prongs must be satisfied. The burden of proof is on the employer to demonstrate that the worker meets the ABC test criteria.
15.2. Employee Classification Act. The Nebraska Employee Classification Act (Neb. Rev. Stat. § 48-2901 et seq.) applies primarily to the construction industry. Under § 48-2903, individuals performing construction labor are presumed employees unless they meet the criteria in § 48-604(5) or are otherwise exempt.
15.3. Misclassification Penalties. Employers who misclassify workers face penalties including: (a) liability for unpaid unemployment insurance contributions; (b) fines under the Employee Classification Act; (c) stop-work orders for construction contractors; (d) debarment from public contracts.
15.4. Marketplace Network Contractors. Effective September 9, 2025, LB 229 clarifies that marketplace network contractors (gig workers providing services through digital platforms) are not employees under the Employment Security Law, provided they meet specified criteria.
15.5. LB 847 (2026). The Nebraska Legislature enrolled LB 847 in March 2026, making updates to the Employee Classification Act. Verify current statutory text for any changes effective after the date of this template.
15.6. Workers' Compensation. Independent contractors are not covered under the Nebraska Workers' Compensation Act (Neb. Rev. Stat. § 48-101 et seq.). Contractor should carry appropriate insurance.
16. GENERAL PROVISIONS
16.1. Entire Agreement. Complete agreement superseding prior discussions.
16.2. Amendments. Written and signed by both Parties.
16.3. Severability. Invalid provisions severed.
16.4. Notices. Written to addresses above.
16.5. Assignment. Not assignable without consent.
16.6. Waiver. No waiver constitutes future waiver.
16.7. Counterparts. Executable in counterparts.
17. SIGNATURES
IN WITNESS WHEREOF, the Parties execute this Agreement as of the Effective Date.
COMPANY/CLIENT:
Signature: [________________________________]
Printed Name: [________________________________]
Title: [________________________________]
Date: [__/__/____]
INDEPENDENT CONTRACTOR:
Signature: [________________________________]
Printed Name: [________________________________]
Title/DBA: [________________________________]
Date: [__/__/____]
EXHIBIT A — STATEMENT OF WORK
[________________________________]
Sources and References:
About This Template
A contract is a written record of what two or more parties agreed to and what happens if someone does not follow through. Clear language, defined terms, and clean signature blocks keep disputes small and enforceable. The most common mistakes in contracts come from vague promises, missing details about timing or payment, and skipping standard protective clauses like governing law and dispute resolution.
Important Notice
This template is provided for informational purposes. It is not legal advice. We recommend having an attorney review any legal document before signing, especially for high-value or complex matters.
Last updated: April 2026