Contract FAQs

A contract is any written form of documentation legally obligating the University to a performance, service, or monetary issue. For example: a document that contains language related to pricing, statement of work, insurance, indemnification, legal venue, rights and responsibilities of either party or similar language, or whether or not it involves monetary payment or indicates it requires the signature of the University.

There are only a few designated University personnel who have signing authority for the University. The President’s Office delegates these signatories. 

For a complete list of personnel with authorization, you can download the Contract Signature Authority List here.

Do not sign any contractual documents for the University – all contracts (and all parts of the contract) MUST go through the proper channels for approval and approved University signatures.

Yes, all contracts MUST be in writing. Contracts are binding legal documents, therefore we require them in writing and signed by all authorized parties.

Remember, it is not the dollar amount which dictates the need for a contract. Measuring the amount of risk involved is necessary, as well as adherence to Washington State Law.

Copies of your contract can be found under the “My Contracts” section of the CMM:

Contract language often provides for renewals beyond the initial term of the contract, based on continued payment. Often, an amendment can extend the term of a contract if extensions are not provided for in the initial contract.

An amendment allows you to make a change or extend the terms of a pre-existing contract, with approval and consent from both parties.

In general, any person acting in an independent capacity to perform personal services in this state must have a Unified Business Number (UBI) before conducting any work.

According to the Paying Honoraria or Stipends to Non-Employees Policy, an honorarium is given as an “expression of gratitude and gesture of good will to an individual who volunteers their expertise by participating in a University sponsored event, activity, or class” and is not a payment for services. An honorarium may be paid when there is no agreement or expectation of payment.

If there is an expectation of payment, or travel will be paid in addition to the fee, or the presentation will be recorded, the department should process a guest speaker contract instead of an honorarium.

It is important to first confirm the individual is eligible for an honorarium and that the arrangement does not confer employment or independent contractor status. Incorrect classification can result in a costly fine by the IRS and other penalties. Before offering someone an honorarium, please review the Paying Honoraria or Stipends to Non-Employees Policy.

If the individual and situation meets the eligibility criteria, submit the Honoraria or Stipend Pre-Approval Form.

Current employees are not eligible for honoraria or independent contractor status. Contact human resources for how to provide payment to current employees for work outside of the scope of their current position.

A former employee may be eligible to receive an honorarium. See the Honoraria or Stipend Pre-Approval Form.

Current students are not eligible for honoraria.

A stipend is a fixed amount payment to a non employee:

• To support a training or learning experience generally giving to assist with living or educational expenses while undertaking a role that primarily provides the individual with a learning /training experience and therefore exempts them for a waged or salaried employment, or
• For services that may be reoccurring but does not represent employment such as a host teacher paid quarterly for hosting a student teacher. 

Students are eligible to receive a stipend as defined by this policy. See the Honoraria or Stipend Pre-Approval Form.

Employees are not eligible to receive a stipend as defined by this policy. Other types of stipends, such as a faculty chair stipend, are available to employees but are treated as part of their employment and must be processed through Human Resources and Payroll.

It is very important to understand the following:

• Not all visa types are eligible for honoraria and may have restrictions.
• A letter of invitation must be sent to every foreign national invited to WWU who will receive payment for services and/or travel. 
• Most foreign nationals are subject to 30% tax withholding which can significantly affect the honorarium payment amount.

To ensure compliance and avoid any surprises, it is important that the department review the Honorarium Payments to Foreign Nationals website before making an honorarium arrangement.