What Is an Internship Agreement?
An internship agreement is a legally binding agreement that explains the work arrangement between you and a student intern. Interns join your company to learn about your industry and help out. You might bring them on for a short-term or training role. A good contract explains their tasks, goals, and whether they will be paid.
Our internship agreement template helps set clear expectations for both sides. It also includes rules about privacy and ownership of work to protect your business.
Why Use an Internship Agreement
An internship agreement supports a positive internship experience. It ensures that everyone knows their roles and responsibilities, reducing the risk of misunderstandings. With this contract in place, you can help a student or new professional learn about your field and see if they’re a good fit for a full-time job in the future.
What to Include in an Internship Contract
A strong internship contract includes the following elements to make a comprehensive agreement.
- Hiring company: The name of the company hiring the intern.
- Company’s representative: The name and title of the person representing the company.
- Intern: The name of the intern being hired.
- Affiliation with a university work-study program: Whether the program is a student opportunity.
- Intern’s job duties: Adhering to company policies, learning about company operations, etc.
- Performance review: The standards by which you will perform a work evaluation.
- Supervisor: The intern supervisor’s name and job department.
- Work schedule: Work hours and whether they’re flexible with the intern’s school schedule.
- Work location: The company address where the intern will work.
- Term: Start and end dates and whether the organization can extend the internship.
- Termination: The number of days’ written notice the other party must grant to end the internship.
- Compensation: The amount you will pay an intern, if applicable.
- Intellectual property clause: Statement that all IP developed will belong to the company.
- Confidentiality agreement: Statement that the intern will not reveal trade secrets.
- Applicable law: The state that will govern the entire agreement.
- Effective date: The date the agreement will go into effect.
Internship Contract Sample
View our free internship contract to see how to create a clear agreement for your intern. This template helps you set expectations and ensure both parties agree to the terms. Once you’re ready, customize it to fit your needs and download the final version in PDF or Word format.
Legal Considerations for Internship Contracts
When you write an internship contract, follow labor laws and explain what the intern will do. This helps prevent legal problems and ensures the intern gains value from the program. A good contract also states whether the intern will be paid, what’s expected, and how both sides are protected.
Is an Unpaid Internship Legal?
An unpaid internship is legal if it meets the “primary beneficiary test.” This decisive test looks at seven key factors: [1]
- The intern and employer have mutual promises that there’s no pay.
- The internship offers real educational training.
- The internship is related to the intern’s studies and may provide academic credit.
- The internship fits the intern’s school schedule.
- The internship lasts only as long as it provides useful learning.
- The intern’s work doesn’t replace paid employees.
- There’s no promise of a paid job at the end.
No single factor decides whether the worker is an intern or not. The courts weigh all factors to make a determination.
If you can confidently deem a worker as an intern, you can choose not to pay them. Ensure your internship contract highlights this arrangement.
Can I Pay an Intern?
Yes, you can pay an intern. In fact, paid internship agreements tend to be more common than unpaid ones. Ensure you write a paid internship agreement to state the pay your intern will receive. If an internship program is paid, the pay is typically hourly.
When Paying an Intern Is Mandatory
You must pay an intern at least minimum wage if they’re an employee under the FLSA.
Are Interns Protected Under Labor Laws?
Unpaid interns who aren’t considered employees under the Fair Labor Standards Act (FLSA) don’t get the same protections, like minimum wage or overtime. However, if an intern qualifies as an employee, they must receive payment and get protection under labor laws.
All interns, regardless of pay status, may have some protection under state laws. School policies or company rules may also protect them. These protections are especially common around safety, discrimination, or harassment.
Can a Minor Sign an Internship Agreement?
In most cases, a minor can’t sign a legal contract without their parent or guardian’s approval. If you plan to hire a minor as an intern, their parent or guardian will need to sign the internship contract for them.
What Comes After an Internship Agreement
Once the intern agrees to the terms, allow them to carry out the terms of the contract. If they perform well, you can offer them an employment contract at the end of their internship. If they aren’t ready to enter the workforce, you can send them a letter of recommendation to use when applying for jobs later.
Write an Internship Agreement Today
Legal Templates makes it simple to create a professional internship agreement in minutes. Our template lets you customize details like responsibilities, duration, pay, and confidential information. Whether you hire one intern or many, we help you stay organized and compliant.
Frequently Asked Questions
How long can I keep an intern?
Internships typically last 10-15 weeks or the length of a college semester. However, some last for an entire year or longer. The length of an internship depends on the written agreement between the hiring company and the intern.
Are non-competes legal in an internship position?
Non-compete agreements are generally unenforceable in internships. There should not be any other agreement that could prevent a student from gaining diverse experience. Interns also tend to have less expertise than traditional employees, making non-competes less justified.
How do I modify an internship agreement?
To modify an internship agreement, you must document the changes in writing. Then, get the intern’s consent and signature before implementing them.
How to terminate an internship contract?
Review your agreement’s rules for termination. Find out the required notice period and issue proper notice. Maintain a professional demeanor and offer to help them with the transition period.
What’s the difference between an internship and work experience?
An internship takes place over a fixed course, has more structure, and has a strong learning component. Meanwhile, work experience is typically less formal and involves observing or shadowing someone in their role. Work experience is generally unpaid, while an internship can be paid or unpaid.
