Employment & HR

Subcontractor Agreement

A Subcontractor Agreement governs the relationship between a contractor and their subcontractor. Covers scope of work, payment, liability, and compliance with the main contract.

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Drafted to comply with Kenyan law and international common law standards.

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What this document covers

Main contractor and subcontractor details
Subcontract scope and deliverables
Payment terms
Indemnification obligations
Insurance requirements
Confidentiality obligations
Termination provisions
Governing law clause

Frequently Asked Questions

Can a main contractor subcontract without the client's consent in Kenya?
This depends on the main contract. Many main contracts prohibit subcontracting without the client's written consent. Subcontracting without consent can be a breach of the main contract, making the main contractor liable for any resulting loss. The subcontractor agreement should confirm whether consent has been obtained.
Is the main contractor liable for the subcontractor's work?
Yes. The main contractor remains fully responsible to the client for the subcontractor's performance. If the subcontractor causes damage or fails to deliver, the main contractor is liable to the client and must seek recovery from the subcontractor under the subcontract.
Is a subcontractor agreement valid internationally?
Yes. Subcontractor agreements are standard commercial documents in all common law countries. For cross-border subcontracting, specify governing law and ensure the subcontract terms are consistent with the main contract requirements (the main contract typically 'flows down' to the subcontractor).