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Services Contract with Graphic Designer

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Services Contract with Designer Including Covenant Not to Compete and Confidentiality Agreement

Agreement made on the between

of
, , , , referred to herein as Designer, and

, a corporation organized and existing under the laws of the state of , with its principal office located at
, , , , referred to herein as Company.

Whereas, Designer creates and designs (describe product that is designed) primarily for (describe who normally retains Designer for his/her skill) ; and

Whereas, Company desires to hire Designer for the design projects described in Paragraph I below;

Now, therefore, in consideration of the matters described above, and of the mutual benefits and obligations set forth in this Agreement, and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the parties agree as follows:

I. Services to be Performed

Designer shall perform the following described design work for Company: described as follows:

II. Compensation

Company shall pay to Designer the sum of $ on the (date – e.g., first day of each month) for Designer’s services. Said payments to Designer shall be made at
, , , .

III. Ownership of Work Product

Designer agrees that the designs that are conceived, developed, written, or contributed by Designer pursuant to this Agreement, either individually or in collaboration with others, shall belong to and be the sole property of Company and shall constitute a work made for hire as that phrase is defined in Section 101 of Title 17 of the United States Code (the Copyright Act).

IV. Designer is Independent Contractor

The parties intend that an independent contractor-employer relationship will be created by this Agreement. Company is interested only in the results to be achieved and the conduct and control of the work will lie solely with Designer. Designer is not to be considered an agent or employee of Company for any purpose and Designer is not entitled to any of the benefits that Company provides for Company’s employees. It is understood that Designer is free to contract for similar services to be performed for others while under contract with Company.

V. Covenant Not to Compete

During the period Designer is under contract with Company, and for a period of years after termination of said contract, Designer will not directly or indirectly:

A. Recruit, solicit, induce, or attempt to induce any of the employees or customers of the Company to terminate their employment or contractual relationship with Company.

B. Solicit, divert, take away, or attempt to divert or take away, from the Company any of its business or the patronage of its customers, clients, accounts, vendors or suppliers for products or services manufactured, sold, distributed or processed by the Company, and Designer shall not assist any other person to do so.

C. If any restriction set forth in this Section V is found by any court of competent jurisdiction to be unenforceable because it extends for too long a period of time or over too great a range of activities or in too broad a geographic area, it shall be interpreted to extend only over the maximum period of time, range of activities or geographic area as to which it may be enforceable.

D. The restrictions contained in this Section V are necessary for the protection of the business and goodwill of the Company and are considered by Designer to be reasonable for such purpose. Designer agrees that any breach of this Section V will cause the Company substantial and irrevocable damage and therefore, in the event of any such breach, in addition to such other remedies which may be available, the Company shall have the right to seek specific performance and injunctive relief.

VI. Confidentiality

Designer agrees that: (a) all knowledge and information that Designer may receive from Company or from its employees or other contract designers of Company, or by virtue of the performance of services under and pursuant to this Agreement, relating to designs, customer information, products, processes, machinery, apparatus, prices, discounts, costs, business affairs, future plans, or technical data that belong to Company or to those with whom Company has contracted regarding such information; and (b) all information provided by Designer to Company in reports of work done, together with any other information acquired by or as direct result of employment as a Designer by Company and during the term of such employment, shall be regarded by Designer as strictly confidential and held by Designer in confidence, and solely for Company's benefit and use, and shall not be used by Designer or directly or indirectly disclosed by Designer to any person whatsoever except to Company or with Company's prior written permission.

VI. Assignment of Contract

Neither of the parties may assign this Agreement or any rights under the Agreement without the prior written consent of the other party.

VII. Governing Law

The parties agree that this Agreement shall be governed by and construed pursuant to the laws of (state).

VIII. Entire Agreement

This Agreement is the complete and exclusive statement of the mutual understanding of the parties. This Agreement supersedes and cancels all previous written and oral agreements and communications between the parties relating to the subject matter of this Agreement.

IX. Amendment

The parties agree that they may amend this Agreement only by a written agreement duly executed by persons authorized to execute agreements on behalf of the parties.

X. Mandatory Arbitration

Any dispute under this Agreement shall be required to be resolved by binding arbitration of the parties hereto. If the parties cannot agree on an arbitrator, each party shall select one arbitrator and both arbitrators shall then select a third. The third arbitrator so selected shall arbitrate said dispute. The arbitration shall be governed by the rules of the American Arbitration Association then in force and effect.

WITNESS our signatures as of the day and date first above stated.

____________________________________

________________________________________ By_________________________________

Enter text✕

What a Services Contract with Graphic Designer Covers

A Services Contract with Graphic Designer is a written agreement that sets expectations for design work, including the scope of services, deliverables, file formats, timelines, payment terms, ownership of intellectual property, revision limits, and termination rights. It clarifies responsibilities for both the client and the designer, allocates risk such as liability and indemnity, and records commercial terms that govern the working relationship. When executed electronically in the United States it can be legally enforceable under ESIGN and state UETA statutes when the four-part validity test is met.

Why this Agreement Matters for Clients and Designers

A clear contract reduces disputes by documenting scope, fees, deadlines, and IP ownership; it protects both parties and supports payment and enforcement actions if needed. Properly executed electronic copies meet ESIGN (15 U.S.C. §7001) and UETA standards where applicable, enabling remote completion and secure recordkeeping.

Why this Agreement Matters for Clients and Designers

Who Typically Uses a Services Contract with Graphic Designer

This agreement is used by individuals and organizations that engage creative professionals for deliverables such as logos, websites, marketing collateral, packaging, or social media assets.

  • Freelance designers and independent contractors providing design deliverables to clients across industries.
  • Small businesses, startups, and marketing teams contracting external creative work under defined budgets and timelines.
  • Creative agencies and production houses engaging subcontractors or providing bundled services to clients.

The contract suits single-project engagements as well as ongoing retainer arrangements; adjust sections for scope, payment cadence, and intellectual property allocation accordingly.

Core Sections to Include in the Contract

Include concise, enforceable clauses that define expectations, transfer rights, and manage risk; draft each section so responsibilities and remedies are clear.

Scope of Work

Describe tasks, formats, platform-specific requirements, and excluded services so deliverables and boundaries are unambiguous.

Deliverables & Formats

List final files (PDF, EPS, SVG, PNG), version counts, and any source files to be provided on completion.

Payment & Schedule

Specify total fees, milestones, deposits, invoicing terms, late fees, and payment methods including escrow if used.

Intellectual Property

Define copyright assignment or license terms, usage rights, moral rights waivers, and conditions for transfer of ownership.

Revisions & Acceptance

Set number of revision rounds, approval process, and criteria for accepted work to avoid scope creep disputes.

Termination & Remedies

Provide notice periods, cure windows, work-for-hire handling on termination, and remedies for breach or nonpayment.

Step-by-Step: How to Complete and Execute the Contract

Follow a simple sequence from drafting to signature to ensure the contract is complete and legally effective.

  • 01
    Collect Details: Assemble names, addresses, tax ID, and payment terms.
  • 02
    Define Scope: Attach or insert a precise deliverables exhibit.
  • 03
    Agree Payment: Confirm deposit, milestones, and invoicing schedule.
  • 04
    Execute Electronically: Send for eSignature and retain the audit trail.

How Electronic Execution Works for This Contract

Electronic signing follows a standard workflow that preserves intent, attribution, and record retention for enforceability under federal and state law.

  • Upload Document: Use PDF or DOCX to preserve layout and fields.
  • Place Fields: Add signature, date, and initial fields as required.
  • Send to Signers: Distribute via email or secure signing link.
  • Store Records: Retain the signed copy plus audit trail.

Customizing an Online Signing Workflow

Configure workflow settings to match your review, approval, and authentication needs before sending the contract for signature.

Field Configuration
Authentication Method Email link, SMS code, or stronger KBA where required
Reminder Schedule Automatic reminders at configured intervals until signed
Validation Rules Require MM/DD/YYYY date formats and numeric amounts
Conditional Fields Show or hide fields based on prior answers

Delivery and Platform Considerations

Consider required file formats, signer authentication, and any compliance needs such as HIPAA or confidentiality before selecting a platform.

  • File Formats: PDF and DOCX support is standard
  • Authentication: Email, SMS, SSO, or KBA options
  • Integrations: signNow, Salesforce, NetSuite, Google Workspace

Key Deadlines and Due Dates to Track

Document clear milestone dates and payment due dates in the agreement; these dates govern acceptance rights and trigger remedies when missed.

Effective Date:

Contract obligations begin on the MM/DD/YYYY effective date

First Deliverable:

Specify exact date for initial concept submissions

Payment Due:

State net terms (e.g., Net 30) or milestone-triggered payments

Revision Deadline:

Set time limit for client review and revision requests

Termination Notice:

Define notice period required to terminate the agreement

Penalties and Legal Risks to Be Aware Of

Tax Reporting Penalties: IRC §6721; fines per incorrect return
Missed Deliverable Liability: Monetary damages and reputational harm
IP Ownership Disputes: Risk of losing exclusive rights
Nonpayment Recovery: Collection costs and attorney fees possible
Improper Withholding: Backup withholding may apply at 24%
Unenforceable Terms: Ambiguity can void contractual provisions

Common Pitfalls to Avoid When Drafting

  • Vague scope descriptions that omit file types or final deliverables often lead to scope creep and disputes over what was promised.
  • Failing to address ownership of source files and copyright transfer can produce later infringement claims or licensing confusion.
  • Omitting a clear payment schedule or milestone acceptance criteria creates disputes and delays in receiving compensation for completed work.
  • Using informal or inconsistent party names increases risk of ineffective service of notices and difficulties enforcing the agreement.

Security and Compliance Snapshot

Encryption: TLS 1.2/1.3 in transit; AES-256 at rest
SOC: SOC 2 Type II certified
ISO: ISO 27001 certified
HIPAA: Compliant—BAA required for PHI
21 CFR Part 11: Supports compliance for FDA-regulated records
Accessibility: WCAG 2.0 Level AA support

Real-World Examples of Contract Use

Examples show how organizations applied digital execution and clear scope definitions to reduce turnaround and maintain compliance.

Optica Ventures (COO)

Optica standardized contract templates for repeat projects to reduce negotiation time and ensure clarity on deliverables.

  • Their team prioritized concise scope exhibits to limit revisions and billing disputes.
  • The approach increased consistency across clients, simplified approval cycles, and made it easier to outsource specific tasks while preserving IP assignment clarity.

Martin Properties (Founder)

Martin Properties used a standardized services contract for marketing assets and property signage to enforce consistent payment milestones.

  • They tied final payment to delivery of editable files in specified formats.
  • That practice reduced payment delays, improved auditability of deliverables, and ensured all rights transfers were documented at closing.

eSignature Pricing and Feature Comparison

Compare common pricing and feature dimensions across vendors; signNow is listed first in the table below for direct comparison on pricing and common capabilities.

signNow DocuSign Adobe Sign PandaDoc HelloSign
Starting Price $8/user/mo $15/user/mo $14/user/mo $19/user/mo $15/user/mo
Free Trial 7-day free trial Varies Varies Varies Varies
Bulk Send Yes (Business Premium) Varies Varies Varies Varies
Audit Trail Yes Yes Yes Yes Yes
HIPAA Compliant Yes (BAA) Varies Varies Varies Varies

Frequently Asked Questions about This Contract

Answers to common questions about enforceability, notarization, signature authority, amendments, and secure storage when using electronic processes.


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