Understanding Employer Contributors: From Factors to Freelancers

GENERAL DEFINITION OF CONTRIBUTORS OF THE EMPLOYER

An employer may, at present, need to act alone because of the complexity, intensity, and mass of modern trade. They, therefore, need the collaboration of a large number of people who, directly or indirectly, assist them in the operation of their business and the provision of market activity. All partners of the entrepreneur can be classified basically into two groups (section 281 et seq BCC):

  • Dependent Partners
  • Independent Collaborators

Independent collaborators are those not belonging to a business enterprise, i.e., without hierarchical subordination or dependency on the employer, who cooperate with the employer to promote their business relationship with external customers. They are true business entrepreneurs whose business is precisely to put their organization and services at the disposal of the contractor. Both entrepreneurs (representative-represented) are not bound by a contract of employment but by an agency, commission, or brokerage agreement.

OCCASIONAL PARTNERS OR SUBSIDIARIES. FACTOR. GUARDIAN OF SINGULAR.

Employees, also called auxiliary dependent feature traders, lend their assistance to the employer on a permanent basis, commercially and from within the employer’s own company, under a scheme of subordination or dependence. They always act on behalf of the employer, to whom they are bound by a contract of employment. They are the real contributors to the employer from a strict standpoint of legal technique and are regulated by the BCC. We can distinguish between singular factors and proxies.

FACTOR (authorized agent or manager)

The factor is an authorized agent of the employer for all acts in that particular activity. The CoC is defined as the manager of a business or industrial establishment as an employee, authorized to manage, direct, and employ things concerning him, with more or less power, as seen fit by the owner. From the commercial point of view, we are interested in analyzing the power of attorney given to the manager or factor:

1. The overall power factor required for exercising their activity.

This power includes all activities required to manage, direct and contract about what constitutes a turning or ordinary course of business traffic. However, the CDC can limit this power, provided that such limitations are not such that the factor loses their status as attorney general. In any case, these constraints have only internal efficiency, but not against third parties. It can also be attributed powers beyond the turn or company traffic (sell property, create branches, lease the company, etc.)

2. The power of representation conferred under contract with the principal employer.

This is an employment contract that may be of a regular or special (higher management staff) nature.

3. Factor always acts for and on behalf of the employer and shall do so expressly (contemplatio direct rule).

Acting in this way, the prosperous or adverse results of operations to complete an impact on the primary employer directly assume the rights and obligations with third parties.

4. When the factor does not state explicitly the name of the principal employer, they are bound directly to the third party, except for the obvious factor.

The obvious factor is that which belongs to a company well, but has no power inscribed in the Commercial Register. The Cdc presumed that contracts made by the notorious factor have been incurred on behalf of the employer when such contracts relate to their company trafficking. Where no such reputation or behavior of the factor of traffic exceeds the limits of the latter company will respond directly against the third party.

5. About a factor, a non-competition why can not perform economic activities for himself in the same genre of performing on behalf of the principal employer, unless authorized or agreed otherwise in writing.

This prohibition of competition can be maintained after the completion of the employment relationship between the employer, provided that the factor and its duration do not exceed two years, the employer has an industrial or commercial interest and that compensates the manager.

6. Possible penalties for tax offenses or administrative factor management, business assets passed on, although the employer may recover from the factor if at fault or negligent.

7. The power factor representing the reversal only extinguished.

GUARDIAN OF SINGULAR

It differs from the previous by the scope of their powers. They are only entitled to perform one or more of the company’s efforts (e.g., a purchasing manager may purchase only). Dependents singular principal could not force beyond its operations in the industry that had commissioned. Can be distinguished albeit very varied, depending on the scope of power:

  • Servants of commerce or youths are responsible for selling in public stores, collecting and issuing receipts, and receiving the goods sent to the merchant. They cannot sell on credit, charge out of the store, or charge time.
  • Representatives of trade collaborate with business entrepreneurs to expand their business within and outside the square itself, using customer acquisition techniques. They are linked to the employer by a contract of employment and must be distinguished from agents who are true entrepreneurs, freelancers of the main employer.

Freelancers

Freelancers are those not belonging to a business enterprise, i.e., without hierarchical subordination or dependency on the employer, who cooperate with the employer to promote their business relationship with external customers. They are true business entrepreneurs whose business is precisely to put their organization and services at the disposal of the contractor. Both entrepreneurs (representative-represented) are not bound by a contract of employment but by an agency, commission, or brokerage agreement.