Can I set performance metrics in the contractor agreement?

I am a small business owner who recently hired an independent contractor to help with some of my projects. I want to ensure that the contractor is held accountable for their work, so I am looking to set performance metrics in the contractor agreement. I am hoping to find out the legalities of doing so and what kind of metrics are legally allowed to be included in the agreement.

N'kia N.

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A business that hires an independent contractor should be careful not to confuse an independent contractor relationship with an employment relationship. Treating an independent contractor like an employee can result in the law ultimately determining that the contractor is actually a "misclassified" employee. In North Carolina, "performance metrics" typically apply to employees, not independent contractors. This is because the "independent" in "independent contractor" means that the hiring party does not "control" (manage, monitor, supervise, etc.) the contractor like it would an employee. The hiring party is entitled to hold the contractor accountable for the results that it hires the contractor to achieve. However, the independent contractor is entitled to determine the manner, means, and methods of achieving the desired results. With that all being said, it is important for the parties to an independent contractor relationship to have clear expectations. An independent contractor agreement should outline the essential terms and conditions of the engagement. These might include such terms as definitions of the deliverables, deadlines for the deliverables, remedies for the independent contractor's failure to produce the deliverables by the agreed-upon deadlines, and special considerations. A knowledgeable North Carolina attorney can advise on the legalities of the proposed terms and conditions of an independent contractor relationship that is to be governed by North Carolina law.