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Sub-contracting is common in the not-for-profit sector, in particular between 'lead agencies' that are funded by a government deparmtent to deliver services, and other agencies that help deliver those services.
Often, sub-contracts need to be prepared in a hurry after news of a successful tender application, and there are many subcontracting agreements in the sector that are inadequate.
Template Sub-Contract Agreement under the NSW Human Services Agreement
The following template sub-contract has been prepared for use by Prime Contractors and sub-contractors in relation to the delivery of human services funded under the NSW Human Services Agreement. You can download the template in PDF format via the link below.
It is important to note that the terms and conditions of the template are generic in nature as it has been prepared on the basis of the standard Human Services Agreement, rather than on any tailored version of the Human Services Agreement that may be specific to a particular NSW government agency.
In addition, there may be additional important issues that should be covered in your sub-contract agreement depending on the nature of the sub-contract arrangement that you wish to enter into.
Based on the above reasons, the template is a starting point only and will not suit all arrangements. Careful consideration should be given about whether the template is appropriate for your arrangement (which should include getting legal advice about the suitability of the template).
Download our template sub-contract Human Services Agreement as part of our Guide to the Human Services Agreement.
The Guide also includes a checklist for organisations drafting sub-contract agreements, in particular those using the Not-for-profit Law template Sub-contract Agreement (above). It outlines common key terms of sub-contracts and important considerations when drafting and executing a sub-contract.
NSW Family and Community Services (FACS)
Not-for-profit Law received support from the SHS Sector Development Project to prepare a template sub-contract and supporting resources for lead agencies and sub-contractors delivering NSW Government funded homelessness services funded by Family & Community Services (FACS).
The resources below are targeted specifically at specialist homelessness services providers in NSW, but may be useful to consider as an example for other organisations looking to implement a sub-contracting arrangement.
Checklist and template sub-contract for NSW organisations under the FACS Funding Deed
The checklist below is for organisations drafting sub-contract agreements, in particular those using the Not-for-profit Law template Sub-contract Agreement (below). It oulines common key terms of sub-contracts, important considerations when drafting and executing a sub-contract.
The following template sub-contract has been prepared for use by lead contractors and sub-contractors in relation to the delivery of homelessness services funded by NSW FACS. You can download the template in PDF or in editable word form. The template may not suit all arrangements, and careful consideration should be given about whether the template is appropriate for your arrangement (which may include getting legal advice about the suitability of the template).
Not-for-profit Law has also produced a fact sheet about the FACS Funding Deed and its contents, which can be accessed at the Important Agreements page.
Make an enquiry
Our lawyers are experts in sub-contracting in the not-for-profit sector. Your organisation may be eligible for our free legal advice service. To find out, please complete the online enquiry form below. Using the online form is the quickest and easiest way for us to deal with your enquiry and means that we can respond to you sooner (usually within 48 business hours) and let you know how we might be able to assist. Find out more information about eligibility on our Legal Advice page.