RBUS - Read Before You Sign |

AI Contractor Information Hub, Contract Agreement Scanner & Red Flag Guide. This is a free educational resource, not legal advice. Consult qualified counsel for your specific situation.

Applied weeks ago, still waiting for tasks
Rate dropped from $40/hr to $15/hr overnight
Account suspended with no explanation
Contract mentions 'perpetual' and 'irrevocable' rights
NDA says I can't talk about the work... or the NDA
What happens to my data if I never get work?
Got paid $12 for 3 hours of training
Can't work for competitors... but who counts?
Invoice rejected, no reason given
What's binding arbitration?
Applied weeks ago, still waiting for tasks
Rate dropped from $40/hr to $15/hr overnight
Account suspended with no explanation
Contract mentions 'perpetual' and 'irrevocable' rights
NDA says I can't talk about the work... or the NDA
What happens to my data if I never get work?
Got paid $12 for 3 hours of training
Can't work for competitors... but who counts?
Invoice rejected, no reason given
What's binding arbitration?
Sound familiar?
AI contractors across platforms face the same problems.
Do Your Diligence
|
Ask The Questions

Platform Model

Onboarding generates the evaluations, data inputs, and rights that make up the platform's primary asset base.

How does the business model work?
Why such generous advertised rates?
Contractor role in platform valuations?

Agreements

Secure broad IP, data-use, and confidentiality permissions at the point of execution and remain exercisable regardless of assigned work.

What's IP assignment scope and survivorship?
What are binding arbitration clauses?
Perpetual rights to personal data?

Contractors

Limited client access and constrained future professional opportunities even with no paid assignments.

Before signing - what are your risks?
Already signed? what are your obligations?
Exit options and procedures

The AI contractor model transfers value through applications, unpaid training, data collection, and IP assignment, all before paid work begins. Understanding this structure shows why contracts function as written, what transfers at signup, and what binds without work.

AI Contractor Q&A

Search common questions about AI contractor platforms, contracts, rates, and legal rights. Built from contractor experiences and public reporting.

All Topics
Business Model
Contracts
Rates & Pay
Work & Tasks
Legal Rights
Data & Privacy
Common Questions
Click any question or type your own · Hover to scroll
Have a question not covered here? Submit your questions on an anonymous basis and we'll track down an answer for you. Your submissions help the community learn more.
Why Read Before You Sign | RBUS

This resource was developed after reviewing dozens of AI contractor agreements and identifying recurring patterns that favor platforms over workers. Complex legal language, broad IP claims, binding arbitration, biometric consent buried in onboarding flows. The same structures appear across platforms. RBUS cuts through the complexity - breaking down how the platform model actually works, what these contracts really say, and what contractors are trading away before they ever see a paid task.

Platform Model
Business Model
"Generous" Rates
Platform Valuations

The onboarding process is the business model. Every assessment, recording, and work sample produced during sign-up becomes training data and IP the platform retains under unusually broad, one-way contracts. Because these assets are captured before any paid work begins, the platform realizes its primary value long before a contractor ever receives (or doesn't receive) an assignment.

Contractor Inventory Acquisition Funnel
01
The Ad
"$25-100/hr, flexible, remote, work on cutting-edge AI." Attractive listings pull thousands at zero recruitment cost.
02
The Training
Hours of unpaid assessments and video interviews. Framed as "verification" but every response is captured.
03
The Contract
Click-through agreements with broad terms. IP assignment, biometric consent, arbitration clauses, NDAs.
04
The Queue
Approved and waiting. Tagged, legally-bound, ready to deploy when enterprise clients pay premium rates.

The advertised rate is an entry lever, not an earning outcome. By the time onboarding is complete, the platform has already secured the data, evaluations, and rights it needs. The posted pay never needs to materialize for the model to succeed. The rate functions as a magnet for sign-ups, not a reflection of what contractors ultimately receive.

Advertised sign-on rates rarely materialize. Performance issues and rate adjustments mid-project are common
The Reality
Rates drop after onboarding. "Performance adjustments" and scope changes become routine.
The Queue
Most "approved" contractors wait indefinitely. Work is sporadic at best, nonexistent at worst.
The Capture
By signup completion, the platform has contractor data, labor, and legal rights. Paid work is not guaranteed.

Valuation grows through accumulated onboarding assets: a large, vetted user base, perpetually reusable training data, and broad contractual rights acquired at no cost. Each new sign-up expands that asset base, whether or not paid work follows. Revenue from actual projects is secondary to the value created upfront through contractor intake.

Eye-Watering Platform Valuations Built On
Contractor Time
Unpaid assessments, training modules, video interviews. Hours of output captured before any paid task.
Contractor Data
Face, voice, behavioral patterns. Contact info, skills profile, work history. Stored indefinitely.
Contractor Rights
IP assignment, class action waivers, binding arbitration, NDAs. All signed before paid work.
$0 Cost to maintain idle inventory
Duration of rights assignment
0 Guaranteed paid hours

Contract Agreements & NDAs

What Does This Mean For You?

Workforce vs. Contractor Inventory

The key transaction finished at signup. From that point on, contractors function less as members of a workforce and more as part of an inventory of data, evaluations, and rights the platform now holds. Approval simply marks the point at which these assets have already left contractor control - independent of any future paid engagement.

Effective Immediately
Future IP Rights
Broad assignment clauses can claim ownership of work "hereafter conceived" - including side projects and future inventions. Your next startup idea could already belong to them.
Unpaid Labor
Hours of assessments and training with no compensation. That time is gone regardless of whether paid work follows.
Biometric Data
Face, voice, and behavioral patterns captured during video interviews. Often stored indefinitely with no deletion rights.
Long-term Restrictions
Legal Recourse
Class action waivers and mandatory arbitration make collective action impossible. When everyone is harmed but no one can afford to sue individually, the platform wins by default.
Ability to Speak
NDAs often cover the contract terms themselves - limiting your ability to warn others or discuss publicly.
Career Mobility
Non-compete and non-solicitation clauses can restrict where you work next, even if you never received paid work.

Risk by Contractor Type

Freelance Devs
Medium Risk
Moderate IP exposure, produce reusable code
Data Labelers
High Risk
Limited negotiating power, least likely to have legal resources
AI Specialists
Career Risk
Novel algorithms at stake, behavioral data clones expertise
Academics
Career Risk
Research ownership, publication rights blocked
Consultants / Bankers
Career Risk
Side ventures claimed, conflicts with employer IP terms

Scan Your AI Contractor Agreement

Paste contract text and click scan
Uses semantic analysis to detect concerning patterns - not just exact phrases. Scans for: Broad IP claims, power of attorney, biometric collection, perpetual rights, class action waivers, unilateral modification, indemnification imbalance, non-compete restrictions, surveillance provisions, and more. Shows which terms triggered each match.
This is a pattern-matching tool, not legal advice. High-risk results should be reviewed by qualified counsel.
Privacy: The scanner processes text entirely in your browser. No contract text is transmitted to any server, stored in any database, or shared with any third party. Your documents never leave your device.

Contract Clause Library and What They Mean for You

Select examples from publicly available sources - not exhaustive
These clauses are collected across major AI contractor platforms and updated as new clauses surface. Contractors working across multiple platforms compound their exposure - each agreement layers additional restrictions on your IP, data, and legal options. Submit clauses we haven't covered.
Serious Risk Consider walking away or demanding removal
Future IP Assignment
Covers inventions you haven't created yet
Serious Risk
Pattern to Watch For
Language assigning "any developments, inventions, or works" relating to "any subject matter" the work "may be concerned with"-including those "hereafter conceived" or created "whether or not during working hours."
Key red flags: "any subject matter," "hereafter," "may be concerned with," no limitation to specific deliverables.
What This Means
If you do data labeling for an AI company and later build your own AI startup, the company could potentially claim ownership. Depending on how broad the language is, this might cover work you create in the future that touches AI.
  • Consider rejecting clauses claiming IP beyond specific deliverables
  • Insist on limiting to "work product delivered under this Agreement"
  • If the company won't limit scope, carefully weigh whether the engagement is worth the risk
Attorney-in-Fact
Power to sign IP documents for you
Serious Risk
Pattern to Watch For
Language stating contractor "irrevocably designates and appoints" the company as "agent and attorney-in-fact" to "execute and file any document" to "perfect, register, or enforce" IP rights-described as "coupled with an interest."
"Irrevocably" + "attorney-in-fact" = the company can sign documents in your name without consent, indefinitely.
What This Means
This could significantly limit your control over your IP. The company may be able to file patents in your name or assign copyrights without requiring your consent for each action.
  • Be very cautious about signing irrevocable power of attorney
  • Agree to "reasonable cooperation" requiring your active consent
  • If the company refuses to modify this, carefully consider whether the risk is worth it
Biometric Collection
Face, voice, behavior for AI training
Serious Risk
Pattern to Watch For
Definitions of "Captured Data" including "audio, voice, video, image, biometric, behavioral, sensor" data-with rights to "use, store, and provide to third parties" for "developing, training, testing AI systems."
Watch for: broad data definitions, unlimited retention, unnamed third-party sharing.
What This Means
Your face, voice, and behavior patterns could become training data for AI models. Once incorporated into a model, removal may be difficult or impossible. This data might also be shared with third parties.
  • Limit what biometric data is collected
  • Require deletion upon termination
  • Prohibit third-party AI training sharing
Class Action Waiver
Mandatory individual arbitration only
Serious Risk
Pattern to Watch For
Statements that parties "waive the right to have any dispute brought, heard or arbitrated as a class, collective, or representative action" combined with "binding arbitration" requirements.
"Class Action Waiver" + "Representative Action Waiver" + "Mutual Arbitration Agreement" = no collective legal action.
What This Means
If hundreds of contractors are underpaid or harmed, each must file individually. Arbitration costs and complexity make small claims uneconomical. This can make it harder to pursue collective remedies.
  • Request carve-out for wage claims or statutory rights
  • Check if your state limits arbitration requirements
  • Document all issues in case laws change
Unilateral Terms Modification
Platform can change terms without notice
Serious Risk
Pattern to Watch For
Language reserving the right to "modify, update, or change these Terms of Service at any time without prior notice" with continued use constituting acceptance.
No notice requirement + automatic acceptance = terms can change beneath you.
What This Means
The contract you signed today may not be the contract in effect tomorrow. IP terms, payment terms, and restrictions can all shift. You bear the burden of monitoring for changes.
  • Request advance notice (30 days minimum) for material changes
  • Request right to terminate without penalty if terms change
  • Screenshot and archive all terms at signing
Third-Party Data Sharing
Data sent to external AI providers
Serious Risk
Pattern to Watch For
Acknowledgment that data "may be sent to external services for evaluation purposes" including "third-party large language model providers" to assess work or interviews.
Your data leaves the platform and enters systems you have no visibility into or control over.
What This Means
Interview recordings, work samples, and behavioral data may be processed by unnamed third parties. Once shared, you have no deletion rights against those parties. Your expertise trains models you'll never benefit from.
  • Request list of all third parties who receive your data
  • Request deletion rights that extend to third parties
  • Limit consent to specific, named services
Misclassification Indemnity
You pay if courts find you're an employee
Serious Risk
Pattern to Watch For
Indemnification covering "any determination by any court, arbitrator, taxing authority" that the relationship "is not an independent contractor relationship"-including all "damages, expenses, liabilities, costs, penalties."
If anyone (court, IRS, labor board) decides you're an employee, you cover the company's costs.
What This Means
The company controls how you work but shifts all misclassification risk to you. If found to be an employee, back taxes, benefits, and penalties become your liability-not theirs.
  • Request removal of this clause entirely
  • At minimum, limit to situations caused by your misrepresentation
  • Consult employment counsel if you have employee-like duties
Employer Conflicts
Creates competing IP claims with your day job
Serious Risk
Pattern to Watch For
Broad IP assignment covering "any work related to" or "any subject matter with which services may be concerned" combined with no carve-out for work performed for other employers or clients.
Most W-2 employment agreements already have IP assignment clauses. Signing overlapping platform terms creates dual claims.
What This Means
If you have a day job, your employer likely already claims IP in your area of work. Sign a platform agreement with similar scope and you've potentially assigned the same methods/techniques to both. Your employer could terminate you and sue for breach. The platform could also claim ownership. You're exposed to litigation from parties with real legal budgets.
  • Review your employment agreement's IP clause before signing anything
  • Request explicit carve-out for work performed for your employer
  • Consult with an attorney if there's any scope overlap
Prior Work Contamination
Backward-reaching claims on past client work
Serious Risk
Pattern to Watch For
Language assigning IP in anything "relating to" or "derived from" the work, without explicit exclusion for pre-existing methods, techniques, or approaches developed elsewhere.
The danger is "relates to" language that can reach backward into your prior work history.
What This Means
If you developed techniques or approaches for previous clients or employers and use similar methods on the platform, the broad IP clause could claim ownership of methods that belonged to someone else. Your previous clients or employers now have grounds to sue you for assigning away their IP. You've created legal exposure with parties who will actually litigate.
  • Insist on Schedule A listing all pre-existing IP, methods, and techniques
  • Never use proprietary approaches from prior work on platform tasks
  • Document the independent development of any methods used
Negotiate Request modifications before signing
Device Monitoring
Surveillance on personal equipment
Negotiate
Pattern to Watch For
Statements that contractor has "no expectation of privacy" and consents to "monitoring at any time without notice"-including "regardless of whether activity occurs on equipment owned by Contractor."
Extension to personal equipment is the red flag. Company tools = reasonable. Your laptop = not.
What This Means
Keystrokes, screenshots, webcam-all on your personal computer. Feeds into biometric data collection. Your personal projects and communications become visible.
  • Limit to company-provided equipment only
  • Require notice before monitoring
  • Use dedicated device if you must accept
Non-Solicitation
Multi-year industry restrictions
Negotiate
Pattern to Watch For
Prohibitions lasting "two years or more" covering "employees, contractors, clients, customers, vendors" and "known prospective" parties-including "actively preparing to" engage in restricted activities.
Scope (all contacts vs. yours), duration (>12 months), "preparing to" language are red flags.
What This Means
In AI, this can bar you from your industry for years. "Preparing" language means planning a competing business could be a violation.
  • Limit to parties you directly worked with
  • Reduce to 6-12 months maximum
  • In California, non-competes are void (B&P § 16600)
Asymmetric Termination
Company exits immediately; you can't
Negotiate
Pattern to Watch For
Company may terminate "immediately" or "at any time for any reason" while contractor must provide "30 days written notice"-combined with payment withheld "2-3 weeks" after completion.
Compare termination rights side by side. If not symmetric, you carry the risk.
What This Means
The company can terminate tomorrow; you can't leave for a month. Final paycheck held as leverage. This creates an imbalanced arrangement.
  • Request equal termination rights
  • Ensure payment through termination date
  • Set maximum 7-day payment delay
One-Way Indemnification
Unlimited liability for you; none for them
Negotiate
Pattern to Watch For
Indemnification covering "all claims, losses, damages, expenses including attorney fees"-with liability capped at "fees paid in the prior month" or company "not liable for any indirect, consequential damages."
Look at indemnification (your liability) and limitation (their liability) together.
What This Means
If anyone sues over your work-copyright claim, data breach-you could be personally liable. If the company harms you-breach, data leak-your remedies are capped at minimal amounts.
  • Request mutual indemnification
  • Cap liability at fees received
  • Limit to claims from your breach only
No IP Carve-Out
No schedule for prior work exclusions
Negotiate
What Should Be There
A schedule or exhibit listing "pre-existing intellectual property" that is "expressly excluded from assignment"-confirming contractor "retains all rights" to listed items.
Absence of a carve-out mechanism = broad IP language could potentially cover your existing work.
What This Means
Your open-source tool, your PhD algorithm, your side project-without explicit carve-out, broad IP language could claim any of it.
  • Request pre-existing IP schedule
  • List projects, code, methodologies
  • Include categories like "all open-source contributions"
NDA on Terms
Can't discuss the contract itself
Negotiate
Pattern to Watch For
Prohibitions on disclosing "the fact that discussions are taking place" or "any terms, conditions, or status"-with exceptions limited to "advisors on a need-to-know basis" or none at all.
Confidentiality on work = standard. Confidentiality on contract terms = can limit information sharing among contractors.
What This Means
Can't warn other contractors. Can't post asking for advice. Can't compare notes. May prevent you from getting legal help before signing.
  • Ensure exception for attorneys and advisors
  • Limit confidentiality to work product only
  • If the company won't let you show it to a lawyer, that's a significant red flag
Moral Rights Waiver
Waiving credit and attribution rights
Negotiate
Pattern to Watch For
Language stating contractor "will not assert any moral rights" and "hereby waives all such moral rights" in the Work Product, often paired with broad IP assignment.
Moral rights include attribution (credit for your work) and integrity (preventing distortion of your work).
What This Means
Your work can be used without crediting you. It can be modified, distorted, or attributed to someone else. For specialists building a reputation, this erases your contribution from the record.
  • Request right to be credited in public-facing uses
  • Limit waiver to internal business use only
  • Consider impact on your professional portfolio
Non-Negotiable Terms
Explicit refusal to modify any clauses
Negotiate
Pattern to Watch For
Statements that the agreement is "standardised for all contractors" and the platform is "unable to remove or amend individual sections."
This is a policy position, not a legal requirement. Whether you accept it depends on your leverage and alternatives.
What This Means
The platform is signaling it won't negotiate. This doesn't mean the terms are fair-it means you accept them or walk. High-value contractors sometimes get exceptions despite this language.
  • Ask anyway-"standardised" is often flexible for in-demand skills
  • Request specific carve-outs in writing via email
  • Treat as a signal about the relationship dynamic
Extended Payment Terms
60-day payment cycles
Negotiate
Pattern to Watch For
Payment terms stating fees due "no later than sixty (60) days" from invoice or work completion, sometimes combined with platform-controlled invoice timing.
60 days is twice the standard Net 30. Combined with work completion dates, actual payment can be 75-90 days out.
What This Means
You're financing the platform's operations interest-free. Cash flow gaps hit hardest on lower-paid work. Late fees rarely apply in your favor.
  • Request Net 30 or Net 14 terms
  • Request milestone payments for longer projects
  • Factor payment timing into your effective hourly rate
Surviving Obligations
Restrictions continue after termination
Negotiate
Pattern to Watch For
Clauses stating that sections on "Confidentiality, Relationship, Legal Compliance, Proprietary Rights" and arbitration "will continue to comply" after termination, with no time limit.
Standard contracts have some surviving obligations. Watch for indefinite IP claims and broad confidentiality that outlasts the work.
What This Means
Years after the engagement ends, you may still be bound by non-solicitation, confidentiality on industry knowledge, and IP claims. The relationship ends but the restrictions don't.
  • Request time limits on surviving obligations (2-3 years max)
  • Limit surviving confidentiality to actual trade secrets
  • Ensure IP survival only covers delivered work
Injunctive Relief
Immediate court orders for any breach
Negotiate
Pattern to Watch For
Acknowledgment that "any breach of obligations will result in irreparable harm" entitling company to "immediate injunctive relief in addition to any other legal relief."
Pre-agreed "irreparable harm" + injunctive relief = court orders without proving actual damage.
What This Means
If the company claims you breached anything-NDA, non-solicit, IP-they can seek emergency court orders before proving harm. Defense costs fall on you regardless of merit.
  • Request mutual injunctive relief rights
  • Limit to actual trade secret or IP theft, not contract disputes
  • Request notice and cure period before legal action
Liability Cap
Company liability limited to 3 months fees
Negotiate
Pattern to Watch For
Limitation stating company not liable "in excess of the amount paid for fees for the three (3) prior months" combined with exclusion of "indirect, incidental, special or consequential damages."
Your liability is uncapped. Their liability is capped at ~12 weeks of your earnings.
What This Means
If the platform's breach costs you a client, opportunity, or reputation damage, your maximum recovery is a few thousand dollars regardless of actual harm.
  • Request mutual liability caps
  • Increase cap to total fees paid under agreement
  • Carve out gross negligence and willful misconduct
External Profile Scraping
Platform may pull data from your other profiles
Negotiate
Pattern to Watch For
Language stating platform may "surface relevant information about the Worker from external websites where they maintain a profile" and share with clients.
LinkedIn, GitHub, personal sites-anything public may be aggregated and presented without your review.
What This Means
Old information, outdated projects, or content you didn't intend to share professionally may be surfaced to clients. You lose control over how you're presented.
  • Request right to review and approve any external data used
  • Request opt-out from external data aggregation
  • Audit your public profiles before signing
Non-Compete Restrictions
Limits on future employment in the field
Negotiate
Pattern to Watch For
Prohibitions on "engaging in any business competitive with" the company or "providing services to any competitor" for a period of "12-24 months following termination."
May be labeled as non-compete, non-competition, or buried in exclusivity clauses.
What This Means
In AI, nearly everyone is a "competitor." This could block you from working at any AI company, startup, or even using AI tools professionally. California and several other states void these entirely, but enforcement varies.
  • Check your state's non-compete laws (void in CA, OK, ND, MN)
  • Request removal or narrowing to direct competitors only
  • Reduce duration to 6 months maximum if you must accept
Unilateral Rate Changes
Platform can adjust your pay without consent
Negotiate
Pattern to Watch For
Language reserving the right to "modify compensation rates at any time" or stating rates are "subject to change" with continued work constituting acceptance.
Often paired with unilateral terms modification clauses. Rate changes may happen mid-project.
What This Means
The $40/hr you signed up for could become $20/hr with no notice. Contractors report rates being cut after signing, sometimes mid-project. Your only recourse is to stop working.
  • Request rate lock for the duration of each project/SOW
  • Request 30-day notice before any rate changes
  • Get specific rates in writing before starting work
Know Before Signing Understand the implications
No Employment Verification
Platform won't confirm work history
Know Before Signing
Pattern to Watch For
Statements that the platform "does not provide employment verification letters" with only self-serve "Engagement Letters" available as proof of work.
This is often buried in FAQ or support docs rather than the main contract.
What This Means
Future employers doing background checks may not be able to verify this work. Gaps may appear in your employment history. The experience counts, but proof is limited to what you can self-document.
  • Save all engagement letters and payment records
  • Document projects with screenshots and descriptions
  • Build relationships with clients who can verify directly
No Guaranteed Work
No minimum hours or task availability
Know Before Signing
Pattern to Watch For
Language stating the platform "makes no guarantee of minimum hours" or "work availability may vary" and contractor acknowledges "no expectation of ongoing assignments."
Standard in contractor agreements but often overlooked when evaluating expected earnings.
What This Means
You could complete onboarding, sign restrictive agreements, and find an empty task queue for weeks. Advertised rates mean nothing without volume. Many contractors report spending more time on applications and training than actual paid work.
  • Don't quit other income sources based on projected platform earnings
  • Ask current contractors about actual task availability
  • Factor unpaid wait time into your effective hourly rate
Unpaid Training
Mandatory onboarding without compensation
Know Before Signing
Pattern to Watch For
Requirements to complete "training modules" or "qualification tasks" before accessing paid work, with no mention of compensation for this time.
Training requirements of 5-20+ hours are common. Switching projects often means repeating onboarding.
What This Means
Your first 10-20 hours may be completely unpaid. If you're removed from a project or it ends, you start over with new training. This unpaid time should be factored into your effective rate calculation.
  • Ask upfront about training duration before signing
  • Calculate your effective rate including unpaid hours
  • Request paid training or minimum guaranteed hours post-training

Submit Questions or Contract Clauses

Help the AI Contractor Community

✓ Submitted. Thank you for helping protect other contractors.

Why Submit?

Have a question about AI contractor work? Spotted a concerning clause? Your submissions help us expand the Q&A knowledge base, identify new contract patterns, and warn others before they sign.

Submissions may be used anonymously. This is not legal advice.

150+ submissions and counting

AI Contractors

Safe Terms to Request

Counter-position language for negotiation

Quick reference: fair, market-standard terms you can request.

IP Assignment
Limit to "work product specifically created and delivered under each Statement of Work"
Pre-Existing IP
Add Schedule A listing your existing projects, code, methodologies as excluded
Future Work
No rights assigned in work created after termination
Cooperation
Replace attorney-in-fact with "reasonable cooperation with active consent"
Data Collection
No biometric data; deleted within 30 days of termination
Termination
Either party 14 days notice; payment within 7 days
Non-Solicitation
12 months max, limited to direct contacts only
Indemnification
Mutual; capped at total fees paid under agreement
Arbitration
Preserve wage claims and class action rights for court
Terms Changes
30 days notice required; right to exit if unacceptable
Misclassification
No indemnity for classification determinations
Surviving Terms
Confidentiality/non-solicit expire after 2 years max

Negotiation Email Templates

Professional, ready-to-send emails for requesting contract modifications. Not legal advice.

Initial Negotiation Request
Request modifications before signing - professional tone, specific asks
+

Subject: Contract Review - Modification Requests Before Signing

Dear [Company/Hiring Contact],

Thank you for the opportunity to work with [Company]. I've reviewed the Independent Contractor Agreement and am happy to proceed with a few modifications to align with standard contractor terms.

I'd like to request the following adjustments:

Intellectual Property

  • Limit IP assignment to work product specifically created and delivered under each Statement of Work
  • Add Schedule A listing my pre-existing projects, code, and methodologies as excluded
  • Confirm no rights are assigned in work created after termination

Data & Privacy

  • No collection of biometric data (facial imagery, voice recordings, behavioral patterns)
  • Personal data deleted within 30 days of termination upon request
  • No sharing of contractor data with third-party AI providers without separate consent

Terms & Termination

  • Either party may terminate with 14 days written notice
  • Payment for completed work due within 7 days of termination
  • Compensation for required training and onboarding time
  • 30 days notice required for material terms changes, with right to exit if unacceptable

Liability & Legal

  • Mutual indemnification with liability capped at fees paid under the agreement
  • Remove indemnification for classification determinations
  • Preserve wage claims and statutory rights for court action

These are standard protections that don't affect the work itself. Please let me know if these are acceptable or if you'd like to discuss.

Best regards,
[Your Name]

Customize based on your priorities. Not all points may apply to your situation - remove items that aren't relevant.
Clarification Request (Non-Negotiable Terms)
When they won't modify - request written clarification instead
+

Subject: Request for Clarification on Agreement Terms

Dear [Company/Hiring Contact],

I understand [Company] uses standardized terms. Rather than requesting modifications, I'd appreciate written clarification on a few points to ensure we're aligned on intent.

Could you please confirm via email:

  1. IP Assignment Scope: That the intellectual property provisions apply only to deliverables specifically created and submitted for assigned tasks under this engagement, and do not extend to my pre-existing work or unrelated projects.
  2. Pre-Existing Work: That the following projects/work I've listed are excluded from any IP claims: [list your key projects]
  3. Data Handling: How biometric data and personal information collected during onboarding will be handled, and whether deletion can be requested upon termination.
  4. Post-Termination: That no IP assignment applies to work created after the engagement ends.

This doesn't require changing the contract - just clarifying the intended scope so I can proceed confidently.

Thank you for your time.

Best regards,
[Your Name]

If the company refuses to clarify intent in writing, that tells you everything about how the relationship will work. Keep any written responses for your records.

Take Action - Exit Playbook

Already signed? Here's how to unwind.
1
Map Your Risk
Identify the 2-3 clauses that actually matter for your situation. Usually: IP assignment scope, non-solicitation duration, and termination mechanics. Everything else is noise.
Ask yourself:
  • Am I planning to start a company in this space?
  • Do I have pre-existing work that overlaps?
  • Did I create anything novel during this engagement?
2
Stop the Bleeding
Most contracts allow termination on notice. Even without clean termination language, you can stop accepting SOWs, stop logging in, and cease services. This caps future exposure.
Immediate actions:
  • Stop accepting new work/tasks
  • Don't create any new IP on their systems
  • Don't use their tools for personal projects
  • Document the date you stopped
3
Send the Notice
Choose the letter that fits your situation. Each is designed to be professional, legally grounded, and effective.
Data Deletion Request
Request removal of biometric data, personal information, and training outputs
+

Subject: Personal Data Deletion Request

Dear [Company] Privacy Team,

I am writing to request deletion of my personal data pursuant to applicable data protection laws, including the California Consumer Privacy Act (CCPA) and, where applicable, the General Data Protection Regulation (GDPR).

Please delete the following categories of data associated with my account ([email/username]):

  • Biometric data, including facial imagery, voice recordings, and behavioral patterns collected during onboarding or identity verification
  • Video and audio recordings from interviews or assessments
  • Training and assessment outputs, including responses submitted during unpaid evaluation periods
  • Personal contact information, employment history, and identification documents
  • Keystroke patterns, device fingerprints, and session recordings

Please also confirm whether any of this data has been shared with third parties, and if so, confirm that deletion requests have been forwarded to those parties.

I request written confirmation of deletion within 45 days as required under CCPA, or 30 days under GDPR where applicable.

Thank you for your prompt attention to this matter.

Regards,
[Your Name]
[Email Address]

Send to the company's privacy or legal team. Most platforms have a [email protected] address or a data request form in their privacy policy.
IP Rights Clarification
Document pre-existing work and reserve rights to unrelated projects
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Subject: Confirmation of Intellectual Property Scope

Dear [Company],

I am writing to document the scope of intellectual property relevant to my contractor engagement with [Company] under our agreement dated [Date].

For the record, the following pre-existing works, projects, and methodologies were developed independently prior to this engagement and remain my exclusive property:

  • [Project/Work 1 - brief description and approximate date created]
  • [Project/Work 2 - brief description and approximate date created]
  • [Add additional items as needed]

I understand the agreement's IP provisions to apply solely to deliverables specifically created and submitted in the course of assigned tasks under this engagement. Please confirm that [Company] does not claim any rights in:

  • The pre-existing works listed above
  • Work developed outside the scope of assigned platform tasks
  • Any work created after the termination of this engagement

If this understanding is incorrect, please advise in writing within 14 days so I may seek clarification.

Regards,
[Your Name]

Send before or during the engagement to create a paper trail. If they don't respond, you've documented your position. Keep a copy with a timestamp.
Full Termination & Exit
Complete exit: terminate services, request data deletion, and reserve IP rights
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Subject: Termination of Contractor Relationship and Data Deletion Request

Dear [Company],

This letter provides formal notice of termination of my independent contractor relationship with [Company], effective [Date], pursuant to the terms of our agreement dated [Date].

Termination

As of the effective date, I will cease all services under the agreement. Please process payment for any work completed through the termination date within the timeframe specified in our agreement.

Data Deletion

Pursuant to applicable data protection laws, including the CCPA and GDPR where applicable, I request deletion of all personal data associated with my account, including:

  • Biometric data (facial imagery, voice recordings, behavioral patterns)
  • Video/audio from interviews or assessments
  • Training outputs and assessment responses
  • Personal contact information and identification documents

Please confirm deletion within 45 days and advise whether any data was shared with third parties.

Intellectual Property

For clarity, I reserve all rights in intellectual property that: (a) existed prior to this engagement, (b) was developed outside the scope of assigned tasks, or (c) is created after the termination date. The agreement's IP provisions apply solely to specific deliverables submitted during the engagement.

Please confirm receipt of this notice and provide any required offboarding instructions.

Regards,
[Your Name]
[Email Address]

The comprehensive option. Send via email and keep a copy. Consider sending to both your platform contact and the company's legal/privacy team.
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Firewall Future Work
Create clean separation between platform work and everything else. This protects against "derived from" or "related to" claims.
Hygiene practices:
  • Separate repos, accounts, and devices
  • Different entity/branding for new ventures
  • Document independent development (timestamps, no reused code)
  • Don't reference or use any confidential platform data
  • Keep contemporaneous notes on what you're building and why

Why Trust RBUS

Independence

No Conflicts of Interest

RBUS.ai is completely independent and unaffiliated with any AI platform, data labeling company, or contractor staffing agency. This resource is not funded by any party with a financial stake in the outcome. No ads, no affiliate links, no sponsored content.

Mission

Informed Decisions Before Signing

Help AI contractors understand contract terms before they sign, and provide clear options for those who already have. Every clause explained, every risk documented, every exit path mapped.

Frequently Asked Questions

AI contractor concerns answered

Is this legal advice?

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No. This is an educational resource about contract patterns, not legal advice. Every situation is different - what matters in your contract depends on your specific circumstances, jurisdiction, and goals.

If you're signing an agreement with significant IP implications, or if you've identified serious red flags, consult with a qualified attorney who can review your specific situation.

What if I already signed?

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Start with the Exit Playbook section. The key steps: stop creating new exposure (don't accept new work), send a clean termination notice, and firewall any future projects from platform work.

If you created something valuable during the engagement or plan to start a competing business, consider consulting an attorney to understand your actual exposure.

Are AI data labeling jobs legit?

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The work is real - major AI companies genuinely need human feedback to train models. The concern isn't whether the jobs exist, but what you're agreeing to when you sign up.

Many platforms bury aggressive IP claims, biometric data collection, and class action waivers in their contractor agreements. The work may be legitimate while the contract terms are still exploitative.

Can these terms actually be negotiated?

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Sometimes. Platforms often claim terms are "standardized" and non-negotiable, but high-value contractors report getting exceptions. Even if formal changes aren't possible, getting written clarification via email can help establish intent.

The Safe Terms section has specific language you can request. If a platform refuses all modifications AND won't clarify anything in writing, that tells you something about how the relationship will work.

Are all AI contractor agreements this bad?

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They vary significantly. Some platforms use relatively balanced terms; others push aggressive clauses. The patterns documented here represent concerning language we've identified across multiple platforms - not every agreement contains all of them.

Use the Contract Scanner to check your specific agreement. Focus on the clauses that matter for your situation (IP if you're creative, data if you're providing biometrics, etc.).

Who made this and why?

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This is a free resource built to help contractors understand what they're signing. After reviewing dozens of AI contractor agreements, patterns emerged that seemed worth documenting publicly.

No platform or company is affiliated with this resource. It's not funded by anyone with a stake in the outcome. Questions or submissions: [email protected]

How do I know if a clause applies to me?

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Context matters. A broad IP clause is more concerning if you're an AI researcher with side projects than if you're doing commodity labeling with no plans to work in the field. A non-compete matters more if you're in California (where they're void) versus Texas.

The Clause Patterns section explains what each clause means in practice. Focus on the ones that intersect with your actual situation and future plans.

Why is there no work available after I signed up?

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This is a common experience reported by contractors. Many complete unpaid training only to find empty task queues for weeks. Platforms typically make no guarantee of minimum hours or work availability - this is usually stated in the agreement.

The contract binds you to restrictions (IP, non-compete, data collection) regardless of whether you receive paid work. Check the "No Guaranteed Work" pattern in the Clause Patterns section.

Due Diligence Scan Contract