When does ownership of my work transfer to the client?

Whatever the contract says, and the default is not always favorable. Tie transfer of each paid deliverable to payment, and license your pre-existing frameworks separately so a dispute over one invoice does not put your toolkit at risk.

Is a kill fee standard in contract work?

It is negotiable, not standard. Ask for payment of the milestone in progress or a percentage of the remaining fees. A termination clause with notice but no kill fee converts a canceled project into unpaid work.

Can I charge interest on a late invoice?

Only if the agreement or a state rule provides for it. Add an interest clause and a stop-work right before signing, then send a dated demand that quotes the clause you are relying on.

Are contractor non-solicitation clauses enforceable in the US?

More often than non-competes, and the wording decides it. Check the client list scope, the clock start, and whether general outreach is allowed. Disclose the clause to a new client in writing before starting.

Contract Terms: IP, Scope, Payment & Kill Fees

Contract work is a business deal, not a job. The contract terms decide your cash, your IP, and your termination exposure. Read five clauses before signing any statement of work.

The Five Clauses

IP assignment: work product ownership transfers on payment, not on delivery. Keep license language for your reusable methods, tools, and templates.
Payment window: net-30 is standard; net-60+ is common at enterprise. Late-payment interest clauses protect cash flow.
Scope & change orders: written change orders keep scope creep from becoming free work. "Small tweaks" is the classic leak.
Termination: notice days, kill fee %, and completed milestone payment. A 30-day termination with no kill fee is a full-loss clause.
Non-solicit & non-compete: contractor non-solicits are often enforceable; read the scope (see the non-compete guide).

The Rate Math

1099 rates must cover self-employment tax, benefits, and vacation zero (see the 1099 tax guide). The standard rule: 2× W-2 hourly, 3× at benefits-heavy levels. Under-rate contracts convert wage work into unpaid admin.

Put the rule into action

Write the letter with the free Contract Engagement Termination Notice generator. The state pages carry the local payout and notice windows, and the application tracker keeps the follow-up date in writing.

Redlines to send before you sign

Sign nothing until five clauses are changed. Send them as a numbered list in an email, not as comments in a PDF, and keep the exchange in writing.

Assignment on payment. Replace transfer on delivery with transfer of each deliverable only after the invoice for that milestone is paid.
Pre-existing materials. Add a schedule listing your frameworks, templates, and tooling, licensed to the client for the deliverable, not assigned.
Written acceptance. Payment triggers on your submission plus a defined review window, not on open-ended satisfaction.
Kill fee. Ask for the milestone in progress paid, or a percentage of remaining fees, on early termination.
Late payment. Add interest and a stop-work right after a set number of days past the due date.

Close an engagement cleanly with the contract termination notice generator: notice date, handover list, final invoice, and access closure in one dated letter.

Milestone math that survives a scope change

Scope creep is a pricing failure, not a discipline problem. Structure the engagement so every change carries a number:

Price milestones as deliverables with written acceptance criteria, not as weeks of availability.
State the change-order rule: anything outside the criteria is quoted separately before work starts.
Cap revisions. Two rounds included is a clause; small tweaks is a leak.
Bill monthly on work you have retained, even when the client is slow to approve, so a stalled review does not defer your cash.

Then read the restrictive covenants. Contractor non-solicits are commonly enforceable, and the list scope plus the clock start decide your lane. The non-solicitation entry explains what gets enforced and what wording to ask for before signing.

When net-30 becomes net-whenever

Interest protects you only if the contract says so. Absent a clause, a late invoice is a contract claim, not a wage claim. Sequence the response:

Send a dated written demand with the invoice number, amount, due date, and the clause you are relying on.
Stop work if the agreement grants a stop-work right. If it does not, state in writing which work will not start until payment arrives.
Keep deliverables under your control where the assignment clause ties transfer to payment.
Escalate to counsel for amounts that justify a demand letter or a small-claims filing; a clean paper record is what makes that cheap.

Track invoice dates and chasing emails in the application tracker beside your job search, and date every client contact. Contract disputes are decided by whoever kept the records.

Clause	Weak version	Ask for
IP assignment	Assigns everything on delivery	Paid deliverables only, license to your tools
Acceptance	Open-ended client satisfaction	Written criteria plus a review window
Termination	Notice days with no kill fee	Milestone in progress paid, or a fee percentage
Payment	Net-60 with no interest	Net-30 with interest and a stop-work right

For the current text behind these numbers, start with the California job exit rules page and the New York job exit rules page, along with the Release of Claims definition and the hiring references non competes guide hub. Those sources state the rule in full; this page only points at them.

Frequently Asked Questions

When does ownership of my work transfer to the client?: Whatever the contract says, and the default is not always favorable. Tie transfer of each paid deliverable to payment, and license your pre-existing frameworks separately so a dispute over one invoice does not put your toolkit at risk.
Is a kill fee standard in contract work?: It is negotiable, not standard. Ask for payment of the milestone in progress or a percentage of the remaining fees. A termination clause with notice but no kill fee converts a canceled project into unpaid work.
Can I charge interest on a late invoice?: Only if the agreement or a state rule provides for it. Add an interest clause and a stop-work right before signing, then send a dated demand that quotes the clause you are relying on.
Are contractor non-solicitation clauses enforceable in the US?: More often than non-competes, and the wording decides it. Check the client list scope, the clock start, and whether general outreach is allowed. Disclose the clause to a new client in writing before starting.

Contractor non-solicits, wage payment, and expense reimbursement are tested under state law, and enforceability and deadlines vary by state. Confirm the rule with the state agency named on the state rule pages before signing, and keep the notice days, kill fee percentage, and milestone payment in writing; the scope language you keep is the same language non-solicitation clauses are read against.