Advice for contractors who are leaving their contract early

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Contractors are often afraid of leaving their contract early because they are concerned about the potential legal implications and associated costs. Contracts are often agreed for a fixed duration, which can make it difficult to leave early.

However, if something happens either at work or in your personal life that means you need to end your contract early, it is in the best interest of both parties to make this transition as easy as possible.

So, what are the implications for a contractor leaving a contract early and what do you need to consider?


1. Assess your reasons for leaving your contract early

As a contractor it is important that you ensure you are leaving a contract early for the right reasons. Bear in mind that leaving your contract early could have a negative impact on your future contract opportunities with the company, and it may also have an impact on future contract opportunities with other companies.


2. Refer to your original contract

Many companies have a boilerplate contract for their contractors which can make the process of leaving a contract early quite opaque. However, there may be a process you need to follow in order to terminate your contract early.

This is in the best interest of both parties, as the company employing you might want to let you go before the end of your contract. Often, there will be a notice period for both parties, so you will simply need to observe this and give the appropriate amount of notice before departing.


3. Discuss your need to leave your contract early with your employer

It may be easier to arrive at a satisfactory conclusion by simply speaking to your employer. If your reason for leaving your contract early is personal, for example, if your family is relocating, then they might be amenable to ending the contract sooner and with a minimum of fuss.

If you have a problem with the position or if it isn’t what you were expecting, they might appreciate your candour. Depending on the situation, being open with your reasons for leaving might result in a much more satisfactory conclusion.


4. What if there is a breach of contract?

If your employer is in breach of contract and you wish to terminate, you may need to seek legal advice to ensure you are on the right side of the law prior to making any decision to leave or otherwise.

While contractor insurance will not cover you if you decide to terminate your contract early, it will give you access to an advice helpline to help you make the right decision. With or without contractor insurance, it is advisable to seek the advice of an employment law solicitor prior to making your final decision.

It is also important to make sure you follow good working practice and check all contracts before you sign them. If you are unsure about any clauses in your contract, it is advisable to have a legal professional review your contract to ensure you are not signing anything that you may regret in the future.


With contractor insurance from Markel Direct, you can be assured that expert legal advice will be just a phone call away. Click the quote button for a quick online quote.



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