When buying an employment contract template to use for finalizing the terms of an employment relationship, there are four main things to look for. It is important that the template have these things, leo-13 otherwise it may not be legally enforceable.

The first thing you should look for is space to identify the parties to the contract. This means the employer or company and the employee. You should be able to enter full names, company names, addresses, telephone numbers, and other relevant information. This is critical to determine who the legally recognized people in the contract are, and where they are geographically located. Location is relevant to the next item.

The second item you should look for is a choice of law and location in case there is a conflict that must be resolved in a court or through arbitration. This will say something like "this contract is governed by and subject to the laws of the state of X. Any disagreement over the terms of this contract shall be heard in a court of law or arbitration panel in the county of Y in the state of X." As you can see, if you don't look out for this you could be sucked into a lawsuit on the other side of the country or even in another country altogether!

The third consideration in an employment contract template is whether the parties are referred to as employer and employee or company and independent contractor. This is an important consideration, because the rights of an employee and independent contractor are very different. Employees typically get some form of benefits from the company, their income taxes are deducted automatically, perhaps there is a retirement plan or health plan, and the like. On the other hand, an independent contractor must supply all of these things himself or herself. Companies pay independent contractors similar to all other suppliers - on a 30-60-90 payment plan once they are properly invoiced. On the other hand, the company may want skilled labor for only a short time for a specific project, in which case the independent contractor specification is what is needed. It should be clearly written in the contract exactly what status the two parties have from the very start.

Fourth, you should make sure the employment contract template is written in plain English and you can understand every part. There is enough to worry about for both sides when starting a new job or project. By making sure the template is written clearly and not in a roundabout or unclear way, this saves a substantial amount of time and expense if there is ever any question about the duties and obligations of the parties.