Freelance Isn’t Free Act NY: Your Rights as a Freelancer

August 16, 2024
Ayesha Umar

As a freelancer, you love the freedom of choosing your projects and setting a schedule the way you want. But everything has its benefits and drawbacks. Where everyone’s talking about the beauty of it, let me discuss the dark side (Freelance Isn’t Free Act NY) of it with you as well.

I know many of us can relate to the anxiety of waiting for a paycheck that never comes.

Well, part of life. What else can we say when nothing is in our hands?

I mean how can someone have the audacity to not pay you for your hard work and continue with their life without any regret?

Horrible. Right?

That’s why the Freelance Isn’t Free Act New York is such a game-changer for us.

This act sets clear rules for contracts and payments. This is the best way of protecting freelancers from unfair practices of employers.

So, just keep reading to understand, What the “New York freelance isn’t free act” is, and if the same rules are available in California or not.

How Does FIFA Identify a Freelancer?

According to New York Freelance Isn’t Free Act also named (FIFA), a freelancer is someone who is hired as an independent contractor to do work and in return gets paid.

Firstly, this act was applied on May 15, 2017. But later on, this act was rejected in 2022.

However, with the right awareness, Governor Kathy Hochul signed this act as a law on November 22, 2023.

The freelance isn’t free act NY will take effect from August 28, 2024.

In short, we can say that this act covers cases where a business hires someone to do work for them. Now, what is the role of a Hiring party? Well, it is almost any person or company that hires you for work. No matter if the company is small, medium, or large.

(Note: Federal, state, and local governments are not covered by FIFA)

Points of Freelance isn’t Free Act NY?

Requirement for a Written Contract

Having a written contract is essential. It is beneficial for both the freelancer and the hiring party. Written contracts help everyone understand their rights and duties. According to the Freelance Isn’t free act, projects that are worth $800 or more, which is over 120 days, there must be a written contract for that.

This contract is important because it clearly states the agreement between the freelancer and the hiring party. Here are some important things required for a contract.

It’s compulsory that the contract include the names and mailing addresses of both the freelancer and the hiring party.

There should be a list of all the services that a freelancer will provide to the hiring party.

Payment details should be mentioned to explain how much the freelancer will be paid and how the payment will be made.

The contract should have the date of payment on it.

The date by which the freelancer must give a list of completed services to the hiring party should be mentioned on it for timely payment.

However, you must be thinking about how it is beneficial for both parties. Well, it helps to avoid any kind of misunderstandings and disputes. If there is ever a problem in the future, then the written contract can be used to resolve it.

On-Time Payments

Are you worried about your payment if the contract does not have a specific payment date?

Let me tell you, the law says that payment must be made within 30 days after the freelancer finishes the work. FIFA is very helpful as it lets freelancers get paid without any long delays. This means the hiring party cannot make partial payments or delay the full amount.

Freelancer Legal Protections

It is compulsory for the hiring party to give a physical or electronic copy of the contract to the freelancer. According to FIFA, it is now required that the hiring party keep a copy for at least 6 years.

But what if the hiring party does not keep the agreement? The answer is that the freelancers can file a complaint with the New York City Department of Consumer Affairs or go to court. By this, the violating employers may face double damages and civil penalties as well.

Impacts of Freelance Isn’t Free Act New York

The New York Freelance isn’t Free Act has major impacts on the freelance community. Let’s have a look at some of the most noticeable impacts of it.

Freelancers now have awareness about their rights.
The hiring party is now obliged to follow fair payment practices.
All the freelancers will get paid on time as agreed.
Freelancers have a clear way to seek justice in case they don’t get paid.
Freelancers have the right to file a complaint with the New York City Department of Consumer Affairs if the hiring party violates the contract.

Plus, the employers are more careful now than ever before. All the freelancers have more information available for them to understand their rights. This awareness is empowering every freelancer to stand up for themselves and ensure they are treated fairly.

When you know the law is on your side you can work with more confidence.

Is there a Freelancing Isn’t Free Act California?

Are you a Californian and a freelancer at the same time? I have good news for you. California has introduced a bill quite similar to New York’s Freelance Isn’t Free Act.

This act is known as the California Freelance Workers Protection Act (SB 988). This act was introduced by Senator Scott Wiener. The main purpose of this act is to provide basic protections for all freelance workers in California.

Key Points

If a freelance job costs $250 or more, which is over four months, then the hiring party must give the freelancer a written contract.

Similar to the Freelance Isn’t Free Act in NY, the hiring party should pay the freelancer on the mentioned date.

Freelancers can use their rights under this law.

If a hiring party doesn’t follow the law, then they might have to pay extra fines.

Bottom Line!

In conclusion, the Freelance isn’t Free Act New York is something that every single freelancer around the world would appreciate. It ensures that the freelancers receive fair and timely payments. There should be such acts around the globe to boost the confidence of freelancers.

California has also introduced a bill to protect the rights of every freelance worker there as well. No matter the location, every freelancer should stand up for themselves and should insist on written contracts.

FAQs

How can freelancers help improve protections in other states?

Freelancers can help by learning about their rights and advocating for better laws in their states.

They can also join groups to speak up for their rights. They should make sure that everyone is treated fairly.

What is the Freelance Isn’t Free Act NY?

The Freelance Isn’t Free Act New York is a law that helps freelancers get paid fairly and on time. This law makes sure that freelancers have written contracts and are paid as agreed.

What should freelancers do if they don’t get paid on time?

If freelancers don’t get paid on time, then they should check their contracts and ask for help from legal services or government offices that look after the worker’s rights.

Why should freelancers use written contracts?

Written contracts are very important because they clearly show what work will be done.

It shows how much the freelancer will be paid, and the due date of payment. This helps in preventing misunderstandings and problems.