Creating an Internship Agreement

Note: Want to skip the guide and go straight to the free templates? No problem - scroll to the bottom.
Also note: This is not legal advice.

Introduction

Internships are an invaluable tool for both employers and interns, enabling them to gain valuable experience, knowledge and skills. However, as with any contractual arrangement, there are legal and financial risks associated which require addressing. The most important step employers and potential interns can take to protect themselves is establishing an internship agreement - a legally binding contract between the two parties which outlines the expectations and responsibilities of each side. It should include elements such as the duration of the placement, the duties of the intern, any compensation offered (if applicable), and other relevant terms or conditions.

Having a clear-cut contract in place is beneficial for all involved; it will clarify roles and responsibilities up front, allowing everyone to understand their rights under the agreement. It also helps prevent any misunderstandings or disputes during the internship. For employers, it guards business interests by setting out boundaries for interns; for interns it gives reassurance that their employer takes their role seriously and provides a safe working environment with fair compensation in line with labor laws. Additionally, an agreement outlines what training they should expect - providing guidance to ensure interns reach their career goals.

Ultimately, having an internship agreement is essential for protecting all sides involved while guaranteeing everyone receives a mutually beneficial experience from it all - but creating one isn’t always easy; if you’re struggling to craft up your own contract then you don’t need to go through a lawyer or pay expensive fees! At Genie AI we have developed ‘the world’s largest open source legal template library’ - drawing on millions of data points our AI knows exactly what constitutes a market-standard internship agreement so anyone can draft up one without needing expert help (though if you do require more assistance our team are always happy to guide you). Plus using this guide doesn’t even require having an account so why not read on below for our step-by-step guidance on how access our templates library today?

Definitions (feel free to skip)

Legal names: The official and full names of the parties involved in an agreement, as legally registered with the government.
Terms: The conditions of an agreement or transaction that are agreed to by both parties.
Payment terms: The conditions of an agreement or transaction regarding payment, including the amount, frequency, and any other relevant information.
Duties and responsibilities: The tasks and obligations assigned to a party in an agreement.
Performance expectations: The goals or objectives that a party is expected to meet in an agreement.
Start and end dates: The start and end times or dates of a period of time specified in an agreement.
Payment amount: The total amount of money to be paid in an agreement.
Compensation: Payments, such as meals or transportation, given in addition to the payment amount in an agreement.
Expected hours and workload: The number of hours per week that a party is expected to work, as well as any other relevant information.
Travel requirements: Any specific travel arrangements that are expected of a party in an agreement.
Applicable laws and regulations: Laws or regulations that are applicable to a specific agreement or transaction.
Confidential information: Information that is not intended to be shared or made public, such as trade secrets or personal data.
Intellectual property rights: The ownership of ideas, processes, or works that are the result of creative effort.
Dispute resolution: The process of resolving disagreements between two or more parties in an agreement.
Termination conditions: The conditions or circumstances that could lead to the termination of an agreement.
Rights and obligations: The individual and collective rights and obligations of the parties involved in an agreement.

Contents

• Defining the parties involved in the internship agreement
• Establishing the legal names of both parties
• Establishing the terms of the internship
• Outlining the duration of the internship
• Determining the payment terms for the intern
• Explaining the expectations of the employer and intern
• Describing the duties and responsibilities of the intern
• Setting performance expectations
• Outlining the duration and payment terms of the internship
• Specifying the start and end dates of the internship
• Establishing the payment amount
• Describing any other compensation, such as meals or transportation
• Describing the duties and responsibilities of the intern
• Clarifying the expected hours and workload
• Specifying any travel requirements
• Defining any other tasks or duties
• Discussing applicable laws and regulations
• Verifying that the agreement is compliant with local, state, and federal laws
• Addressing confidentiality and intellectual property rights
• Establishing a process for protecting confidential information
• Defining the ownership of any intellectual property created by the intern
• Establishing a process for dispute resolution
• Outlining the steps to be taken to resolve any disagreements between the parties
• Clarifying termination conditions
• Describing the conditions under which either party may terminate the agreement
• Outlining the rights and obligations of the parties
• Specifying the rights and obligations of each party
• Reviewing the document with all parties involved
• Ensuring that all parties understand and agree to the terms of the internship agreement
• Obtaining signatures from all parties
• Stipulating that all parties must sign the document in order for it to be legally binding

Get started

Defining the parties involved in the internship agreement

• Determine who the two parties are: the intern and the employer
• Identify the legal name, contact information, and other relevant details of both the intern and the employer
• Make sure to include the address, phone number, and email address of all parties involved
• When all the necessary information has been gathered, you can check this off your list and move on to the next step.

Establishing the legal names of both parties

• Have both parties provide their full, legal names
• Verify that the legal names of both parties are accurately represented in the agreement
• Once the names of both parties have been verified, you can move on to the next step of establishing the terms of the internship

Establishing the terms of the internship

• Meet with both parties to discuss the terms of the internship, such as job duties, hours, compensation and other expectations
• Record the agreed-upon terms in a written and signed agreement
• Ensure that the agreement is legally binding, and that all parties have read and understood the agreement
• Make sure the agreement is dated, signed and witnessed
• When all parties have signed the agreement, the step is complete and you can move on to the next step

Outlining the duration of the internship

• Decide on the length of the internship, taking into account the intern’s availability, the desired goals of the internship, and any other factors that may influence the duration
• Set a start date and an end date for the internship, specifying the hours of work expected
• Include a clause that allows the internship to be extended or terminated in an agreed-upon manner with mutual consent
• Make sure that both parties are clear on the total number of hours expected to be put in by the intern
• Once these details have been included in the agreement and both parties have agreed to them, the step is complete and you can move on to the next step: determining the payment terms for the intern.

Determining the payment terms for the intern

• Decide the amount of money that will be paid to the intern for the duration of the internship
• Consider the intern’s qualifications and experience when setting the payment terms
• Discuss the payment terms with the intern and reach an agreement
• Include the payment terms in the internship agreement
• Check that the payment terms are clear, fair and legally compliant

Once you have discussed the payment terms with the intern and included them in the internship agreement, you can check this step off your list and move onto the next step - Explaining the expectations of the employer and intern.

Explaining the expectations of the employer and intern

• Discuss the expectations of the employer and intern with each other to come up with a mutually beneficial outcome
• Outline the expected qualifications, tasks, duration, and compensation of the internship
• Draft an agreement that outlines the expectations of both the employer and intern
• Have both parties sign the agreement
• When both parties have signed the agreement, you can check this off your list and move on to the next step.

Describing the duties and responsibilities of the intern

• Discuss the duties and responsibilities of the intern with the hiring manager and any other relevant parties
• Create a list of the duties and responsibilities that the intern is expected to adhere to
• Ensure that the list of duties and responsibilities is specific, measurable, achievable, relevant and timely
• Specify if the duties and responsibilities will require the intern to take on additional roles or responsibilities outside their specified role
• Use the list to form a concise description of the duties and responsibilities of the intern
• Use the description in the internship agreement

Once you have discussed the duties and responsibilities of the intern with the relevant parties and have created a list, you can use the list to form a concise description that can be used in the internship agreement. This step is complete once you have a description of the intern’s duties and responsibilities.

Setting performance expectations

• Set mutual expectations of performance between the intern and the company
• Include specific details on the performance expectations, such as the number of hours and tasks the intern is expected to complete each week
• Outline any goals and objectives that the intern should strive to meet
• Establish a mechanism for performance evaluations so that both the intern and the company can measure their progress
• Once the performance expectations are set, ensure that both the intern and the company understand what is expected of them and can agree to the terms
• When all parties have agreed to the performance expectations, the step can be checked off the list and the next step can be started.

Outlining the duration and payment terms of the internship

• Establish the length of the internship, whether it is a fixed duration or open-ended
• Determine whether the intern will be paid, and what the rate of pay will be
• Specify the payment schedule and any other financial terms of the internship
• Include any additional benefits that the intern will receive, such as travel expenses, meals, or other perks
• Once you have agreed on the payment terms, document them in the written agreement
• Once all of the payment terms have been agreed upon and documented, you can move on to the next step of the guide.

Specifying the start and end dates of the internship

• Decide on a start date and end date for the internship
• Include the start and end dates in the written agreement
• Confirm with the intern and employer that the start and end dates are agreeable
• Once the start and end dates are finalized, the step is complete and you can move on to the next step of establishing the payment amount.

Establishing the payment amount

• Determine the total compensation the intern will receive for the duration of the internship
• Include information on any bonuses, hourly rate, or other forms of payment
• Ensure that the terms are clearly defined in the agreement
• Consult with a lawyer or other legal professional if you have any questions
• Once the payment amount is agreed upon and documented, mark this step complete and move on to the next step.

Describing any other compensation, such as meals or transportation

• Discuss with the intern if they will need meals or transportation provided during the internship
• Outline details such as the type of meals or transportation that will be provided, the frequency of the meals or transportation, and the cost of meals or transportation
• Make a note of any additional compensation that is provided
• Make sure to include this information in the agreement
• Once you have discussed and outlined all additional compensation and included it in the written agreement, you can check this off your list and move on to the next step.

Describing the duties and responsibilities of the intern

• List the duties and responsibilities of the intern in detail
• Ensure that the duties and responsibilities are tailored to the intern’s skills and interests
• Make sure that the duties and responsibilities are suitable to the intern’s level of experience
• Ensure that the duties and responsibilities are safe and are in line with the law
• Assign reasonable goals and objectives to the intern
• Make sure that the intern understands the expectations and that they have the necessary resources to complete the tasks
• Review the duties and responsibilities with the intern to ensure they are clear and understood

You will know that you have completed this step when you have listed the duties and responsibilities of the intern and have reviewed it with them to ensure clarity.

Clarifying the expected hours and workload

• Discuss with the intern the approximate amount of hours the internship will require each week
• Ask the intern what kind of schedule works best for them
• Outline the expectations for the intern in terms of how many hours they should commit to each day or week
• Establish a timeline for when the intern should be available and/or when they should complete specific assignments
• After agreeing on the hours and workload, document it in the internship agreement

Once all the details of the expected hours and workload have been discussed and documented, you can check this off your list and move on to the next step.

Specifying any travel requirements

• Determine whether the internship involves any travel and discuss with the intern any travel expectations.
• If travel is involved, specify the type of travel that may be expected (e.g., flying, train, car, etc.) and whether the intern will be reimbursed for any travel expenses.
• Determine whether the intern can use their own mode of transportation or if they will need to use a company-owned car or other transportation.
• Outline any travel insurance requirements and any other related policies.
• When all travel requirements have been discussed and clarified, document the details in the internship agreement.

Once all the necessary details regarding travel expectations have been discussed and clarified, this step can be checked off the list and the next step can be addressed.

Defining any other tasks or duties

• Clarify any additional tasks or duties of the internship that might not be covered in the job description, such as attendance at meetings, job shadowing, or work on special projects
• Identify any other obligations the intern may have, such as confidentiality agreements
• Outline any professional development opportunities the intern may have access to, such as industry events or training programs
• Document the expectations for the intern in terms of the hours they will be working and their productivity goals
• Agree on how and when feedback will be provided to the intern
• Once all tasks and duties have been identified and agreed upon, you can check this step off your list and move on to discussing applicable laws and regulations.

Discussing applicable laws and regulations

• Research relevant laws and regulations that apply to the internship agreement in the local, state, and federal level
• Make a list of any laws and regulations that need to be taken into consideration when creating the agreement
• Discuss the list of laws and regulations with the other party to ensure that both parties are aware of the applicable laws and regulations
• When the list of applicable laws and regulations has been discussed and understood, check off this step and move on to verifying that the agreement is compliant with local, state, and federal laws.

Verifying that the agreement is compliant with local, state, and federal laws

• Research local, state, and federal laws that may apply to the agreement
• Consult with an attorney or other legal professional to ensure that the agreement is compliant with applicable laws
• Review the agreement to ensure that all necessary legal elements are included
• Once the agreement is verified to be compliant, check it off your list and move on to addressing confidentiality and intellectual property rights in the next step.

Addressing confidentiality and intellectual property rights

• Identify any confidential information that should be protected under the agreement
• Outline any intellectual property rights that the internship organization may have
• Create a clause that outlines the confidentiality and intellectual property rights of both the organization and the intern
• Incorporate language that defines what constitutes a violation of the agreement
• Include a provision for the intern to return any confidential information or intellectual property to the organization upon the termination of the agreement
• Once you have all of these items addressed and incorporated into the agreement, you can move on to the next step of establishing a process for protecting confidential information.

Establishing a process for protecting confidential information

• Create a confidential information agreement to be signed by both the intern and internship supervisor.
• Outline the responsibilities of both parties in adhering to the agreement.
• Clearly define the type of confidential information that should not be shared outside of the internship.
• Set clear expectations on how to handle confidential information (i.e. no sharing with other people, no posting on social media, etc.).
• Once both parties have signed the agreement, you can check this step off your list and move on to the next step.

Defining the ownership of any intellectual property created by the intern

• Include a clause in the agreement that defines any intellectual property created by the intern during the internship period
• Specify in the clause who will own the intellectual property
• Outline the intern’s right to use the intellectual property for their own use
• Ensure that the intern has the right to credit themselves for their work
• Make sure that all parties involved in the agreement understand and agree to the terms of the intellectual property clause

Once all parties have agreed to the terms of the clause and all other elements of the agreement, you can move on to the next step of the process.

Establishing a process for dispute resolution

• Draft a dispute resolution clause that outlines the process for how any disagreements between the intern and the employer should be handled
• Consider if the clause should include a binding arbitration agreement
• Consult with a lawyer to ensure the clause is legally binding
• Reach an agreement on the clause and include it in the internship agreement
• When both parties have agreed to the clause and it is included in the agreement, this step can be checked off and move on to the next step.

Outlining the steps to be taken to resolve any disagreements between the parties

• Identify the key points of the disagreement and the areas of disagreement.
• Agree on a method of dispute resolution, such as mediation, arbitration, or negotiation.
• Discuss the consequences of not resolving the issue.
• Set a timeline for resolution.
• Craft the terms of the agreement and have both parties sign.
• Determine the final resolution and how it will be implemented.

You can check this step off your list when both parties have agreed to the terms of the dispute resolution process, and have signed the agreement.

Clarifying termination conditions

• Agree on a timeline for when either party may terminate the agreement
• Include a written notice that must be given before termination
• Discuss any potential penalties for early termination
• Establish conditions for terminating the agreement due to breach of contract
• Specify any other conditions that may lead to termination
• If either party terminates the agreement, include a timeline in which they must fulfill their remaining responsibilities
• When all of the above points have been addressed and agreed upon, you can check this step off your list and move on to the next one.

Describing the conditions under which either party may terminate the agreement

• Draft a termination clause that states under what conditions the internship can be terminated early
• Include a section that outlines the responsibilities of each party should the agreement be terminated early
• Specify the notice period that each party needs to give before terminating the agreement
• Make sure to state who is responsible for any compensation that may be due to the other party
• Check that the termination clause is clear and unambiguous, and that it reflects the understanding of both parties
• Once the termination clause is finalized, you can check this step off your list and move on to the next step.

Outlining the rights and obligations of the parties

• Outline the rights and obligations of each party in the agreement
• Include the terms and conditions that each party needs to meet and agree to in order for the internship to be successful
• Describe the duties and responsibilities of both the intern and the employer, such as hours of work, job duties and expectations, and any other expectations of the intern
• Specify any compensation that the intern may receive, including salary, bonuses, and other benefits
• Make sure to include any applicable laws regarding internships, such as wage and labor laws, and anti-discrimination laws
• Once you have outlined the rights and obligations of both parties, you can move on to the next step of specifying the rights and obligations for each party.

Specifying the rights and obligations of each party

• Identify the key rights and obligations that apply to each party to the agreement (intern and company).
• Describe the rights and obligations in detail and ensure that each party understands their responsibilities.
• Make sure all of the rights and obligations can be reasonably fulfilled.
• Include specific legal language to ensure that the agreement complies with all relevant laws and regulations.
• Clearly define the length and terms of the internship agreement.

When this step is completed, you’ll be able to move on to the next step, which is reviewing the document with all parties involved.

Reviewing the document with all parties involved

• Discuss the document with all people involved in the internship agreement and ensure everyone is on the same page
• Ask questions and get clarifications as needed
• Have the student, supervisor, and any other parties involved sign the agreement
• Check that all the information on the agreement is accurate
• When all parties have signed and all information is accurate, you can move onto the next step.

Ensuring that all parties understand and agree to the terms of the internship agreement

• Meet with all parties involved in the internship agreement and review the document in full
• Explain each term and its implications to ensure everybody understands the agreement
• Address any questions or concerns and make changes to the agreement if necessary
• Once all parties are satisfied with the agreement, they can move on to signing the agreement
• Verify that all parties have an understanding of the agreement and are in agreement with the terms outlined
• You will know that this step is complete when all parties express that they understand the agreement and agree to the terms outlined within it.

Obtaining signatures from all parties

• Ask all parties involved to review and sign the internship agreement
• Ensure that all parties have signed the agreement and that all signatures are valid
• Ensure that all parties have provided valid identification, such as a driver’s license or passport
• Make sure that all parties have read and understood the terms of the agreement
• Make copies of the signed agreement for all parties involved
• Keep the original signed agreement in a secure place
• When all signatures have been obtained, you can check this step off your list and move on to the next step.

Stipulating that all parties must sign the document in order for it to be legally binding

• Obtain a copy of the internship agreement for each party to sign and date
• Make sure all parties sign the agreement and date it
• Ensure that all parties have provided their contact information
• Verify that all parties have agreed to the terms and conditions of the agreement
• Once all parties have signed the agreement, it is considered legally binding
• You can check this off your list when all parties have signed and dated the agreement

FAQ:

Q: What are the differences between internship agreements in the United States and Europe?

Asked by Jacob on April 10th 2022.
A: Internship agreements in the United States and Europe will vary by jurisdiction, however there are some general similarities that can be identified. In the US, an internship agreement is typically a binding contract between the employer and intern. The agreement will define the scope of the internship, compensation, benefits, and other terms. In Europe, internships are usually governed by laws which vary from country to country. Generally speaking, European laws require employers to provide interns with certain rights such as unpaid leave, minimum wages, and protection from discrimination. It is important to note that while US and European internship agreements may have similarities, they are not interchangeable and should be tailored to meet the specific needs of each jurisdiction.

Q: Is it possible to negotiate elements of an internship agreement?

Asked by Abigail on November 2nd 2022.
A: Yes, it is possible to negotiate elements of an internship agreement. It is important to ensure that all parties involved understand the terms and conditions of the agreement before signing it. Generally speaking, some of the elements that can be negotiated include compensation and benefits, hours of work, duration of internship, duties and responsibilities, and any additional clauses or stipulations. Depending on the jurisdiction where the internship is taking place, there may also be certain legal requirements for internships which must be included in any agreement. It is important to seek legal advice before signing any agreement to make sure all parties’ rights are protected.

Q: How does a business protect itself against potential legal issues when creating an internship agreement?

Asked by Logan on May 4th 2022.
A: When creating an internship agreement it is important for businesses to protect themselves against potential legal issues by ensuring that all terms and conditions are clearly stated in writing in a legally binding document. The document should include details such as duration of internship, rights and obligations of both parties, payment procedures if applicable, termination clauses, and any other relevant clauses or stipulations. Additionally, businesses should also make sure that they understand their local employment laws so they can ensure that their internships comply with them. If necessary businesses should seek legal advice before signing the agreement to ensure that their rights are protected too.

Q: What additional benefits should I consider when creating an internship agreement?

Asked by Mason on April 15th 2022.
A: When creating an internship agreement it is important to consider any additional benefits that could benefit both parties involved. For example, offering flexible working hours or remote working opportunities could help attract more talented interns and make it easier for them to balance work with their studies or other commitments. Additionally, providing mentorship opportunities or access to professional development courses could help improve intern performance while also helping them gain valuable knowledge and experience which could benefit them even after their internship has ended. Other benefits such as travel reimbursements or bonuses for completing tasks can also be considered depending on budget availability and the needs of both parties.

Q: What happens if one party breaches an internship agreement?

Asked by Olivia on August 10th 2022.
A: If one party breaches an internship agreement then it is important to take appropriate action as soon as possible in order to protect both parties’ rights under the contract. Depending on the severity of the breach either party may choose to terminate the contract or seek compensation for any losses incurred due to the breach. It is important to note that different jurisdictions may have different legal requirements when it comes to breach of contract so it is important to consult with a lawyer if necessary in order to understand what options may be available in each case.

Example dispute

Suing a Company for Breach of Internship Agreement

• The plaintiff might have a valid claim if the company breached an internship agreement, such as by failing to pay wages, or by failing to provide benefits.
• To successfully win the lawsuit, the plaintiff must provide evidence that the internship agreement was in place, and that the company was in breach of the terms.
• The plaintiff may also need to demonstrate that they have suffered some kind of damage or loss, such as lost wages, or other financial loss.
• Depending on the circumstances, the plaintiff may be able to seek damages for breach of contract, or other forms of compensation.
• The plaintiff may also be able to seek an injunction to prevent the company from continuing the breach of the agreement.
• The parties may be able to reach a settlement agreement that resolves the dispute without resorting to litigation.

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