Internship Contract
This Employment Contract (the "Contract") is entered into on [Effective Date](the "Effective Date") by and between
[Employer's name], [Who Employer], with a registered address at [Address], [City], [State] [ZIP Code] (hereinafter referred to as the "Employer"), and
[Employee's name], an individual registered at [Address], [City], [State] [ZIP Code] (hereinafter referred to as the "Employee"), collectively referred to as the "Parties" and individually as the "Party".
WHEREAS the Employee is fully authorized to work in the USA;
WHEREAS the Employer desires to retain the Employee's services, and the Employee intends to render such services under the terms and conditions set forth herein;
NOW, THEREFORE, in consideration of the foregoing and of the mutual covenants and promises herein contained, and other good and valuable consideration, the Parties do hereby agree as follows:
START OF EMPLOYMENT. Employment will start on the Effective Date.
PROBATIONARY PERIOD. It is understood that the first [Probationary period] of employment constitute a probationary period. During this time, the Employee is not eligible for paid time off or other benefits. Additionally, during the probationary period, the Employer also exercises the right to terminate employment at any time without advanced notice.
POSITION AND DUTIES. The Employee shall be employed as [Position] (the "Position"). The Employee must perform all essential job functions and duties as specified in the Employer's internal policies.
The Employee's duties shall be as follows: [Duties](the "Duties and Responsibilities"). The Employer reserves the right to periodically modify the Employee's Duties and Responsibilities as deemed necessary and appropriate, in line with the evolving needs of the Employer's business.
The Employee agrees to make every effort to fulfill the Duties and Responsibilities. The Employee shall always comply with the Employer's policies, rules, and procedures.
The Employer shall be entitled to all benefits, profits, or other related matters arising from the Employee's work, services, and advice.
NO CONFLICTING OBLIGATIONS. The Employee represents and warrants to the Employer that they have no conflicting obligations or commitments, whether contractual or otherwise, that are inconsistent with the Employee's obligations under this Contract.
WORK CONDITIONS. The Employer shall ensure the Employee is appropriately instructed and trained concerning tasks that the Employee will carry out. The Employer shall provide a safe and healthy work environment and shall not require the Employee to do work that subjects the Employee to health or safety hazards.
The Employer and all members and guests of the household shall treat the Employee in a just and humane manner and shall not allow the Employee to be subject to any form of abuse, harassment, or violence.
PLACE OF WORK. The Employee shall work at [Address], [City], [State] [ZIP Code] (the "Location"). The Employee shall not be required to work at a different Location unless the Employee consents in writing to such an arrangement.
WORKING HOURS. The Employee is obligated to carry out the Duties and Responsibilities according to the following [Schedule Set Employee] schedule:
(collectively referred to as the "Normal Work Hours"). The Employer shall not mandate the Employee to work beyond the Normal Work Hours but may request such an arrangement subject to the Employee's consent.
The Employer shall provide the Employee with reasonable meal breaks during work, with a duration of at least [Meal break duration] per day.
PAID TIME OFF. The Employee shall be eligible for the following paid time off:
- [Vacation] days for vacation. Unused vacation time from each year may accumulate following the Employer's current personnel policy;
- [Sick leave] days of sick leave;
- [Personal leave] days for personal reasons.
The Employee shall be entitled to federal holidays. This may be subject to change at the discretion of the Employer.
Bereavement leave may be granted if necessary. The Employer reserves the right to modify any paid time off policies.
The Employer shall pay the Employee [Overtime rate] for each hour worked over the Employee's Normal Work Hours (the "Overtime Pay").
BUSINESS EXPENSES. During the term of employment, the Employee is authorized to incur necessary and reasonable travel, food, lodging expenses, and other business-related expenses associated with their Duties and Responsibilities. The Employer shall reimburse the Employee for such expenses upon submission of an itemized account with appropriate supporting documentation, following the Employer's generally applicable policies.
MEDICAL CARE. The Employer shall ensure the Employee has access to medical care following the local law. The Employer shall provide the Employee with coverage for any injuries incurred while performing any of the Duties and Responsibilities covered by the terms of this Contract and will bear the costs associated with any related medical treatment.
BENEFITS. During the term of employment, the Employee has the right to participate in any benefits plans the Employer offers. The employer currently offers: The Employee acknowledges that the Employer may change the benefit plans at the Employer's sole discretion.
TERMINATION. Employment shall end on [Employment end date], however, the Employer and the Employee may change the duration of employment upon written amendment to this Contract.
The Employee may terminate employment immediately upon providing written notice to the Employer if the Employer becomes insolvent or files for bankruptcy.
The Employer is entitled to terminate the Contract for cause without prior written notice to the Employee in the following cases:
Upon termination, the Employee shall return all Employer's property to the Employer.
The Employee shall be entitled only to the compensation, benefits, and reimbursements for the period preceding the effective date of the termination.
SEVERANCE PAY. If the Employer elects to terminate the Employee's employment, the Employer shall pay the Employee one-time severance benefits of [Severance pay] within [Number of days] days after the termination of employment. No severance benefits shall be provided if the Employee decides to terminate employment or if termination occurs for cause.
NON-COMPETITION. [Are Employees Noncompetition Obligations]. Upon termination of employment, the Employee will not solicit business from any of the Employer's clients for a period of at least [Non-solicitation period]. The non-competition obligations shall last for [Non-competition obligations period] after the termination of employment.
The Employee further covenants and agrees that the Employee shall not, during the non-competition period, lend the Employee's credit or funds to establish or operate any business similar to or competitive with the Employer, nor provide advice, directly or indirectly, to any person, firm, association, corporation, or other business entity involved in such business.
Nothing contained herein does not restrict the Employee from acquiring stock or other securities of any corporation whose stock or securities are owned or traded on any public exchange or from investing in real estate.
CONFIDENTIALITY. The Employee will have access to confidential information belonging to the Employer. The Employee is not permitted to disclose this information to third parties. At all times and in any manner, whether directly or indirectly, the Employee shall not use, divulge, disclose, or communicate to any person, firm, or corporation any information containing any matters affecting or relating to the Employer's business. This includes but is not limited to all information concerning customers, product pricing, or any other information considered confidential by the Employer, its manner of operation, plans, processes, or other data, without regard to whether all of the foregoing matters will be deemed confidential, material, or important. The Parties acknowledge that such information is crucial, material, and confidential, significantly impacting the effective operation and success of the Employer's business and goodwill. Violation of the terms of this clause shall constitute a breach of this Contract.
The Employee shall not disclose any terms or conditions of this Contract or give a copy of this Contract to any third party, except (a) when required by law or in any judicial proceeding, provided that the releasing Party has given the other Party reasonable notice of that requirement; (b) to the Party's attorneys, accountants, brokers, and other consultants or advisers, provided they agree to be bound by this clause.
All the terms of this paragraph shall remain in full force and effect for [Confidentiality obligations period] after the termination of the Employee's employment for any reason.
REMEDIES. Any breach or evasion of the terms of this Contract by either Party shall result in immediate and irreparable harm to the other Party, warranting the pursuit of injunctive relief or specific performance, along with all other legal or equitable remedies to which such injured Party may be entitled under this Contract. If any action is commenced to enforce any of the provisions of this Contract, the prevailing Party shall, in addition to other remedies, be entitled to recover reasonable attorney's fees.
NOTICE. Any notice or communication required under this Contract shall be sufficiently given if delivered personally or by certified mail, return receipt requested, to the address specified in the opening paragraph or to such other address as one Party may have furnished to the other Party in writing, or emails set forth below: If to the Employer: [Employer's email], Bank: [Employer's bank name], Account: [Employer's account number], [Employer's details] If to the Employee: [Employee's email], Bank: [Employee's bank name], Account: [Employee's account number], [Employee's details]
Either Party may change the registered mail or email address for receipt of notices by giving written notice to the other Party. All notices shall be deemed received on the day of delivery if sent by hand or courier service or on the third business day after the date of posting if sent by registered mail or email.
SEVERABILITY. The invalidity or unenforceability of any provision of this Contract shall not affect the validity or enforceability of any other provision of this Contract.
ASSIGNMENT. Neither Party may assign or transfer this Contract without obtaining prior written consent from the non-assigning Party, which approval shall not be unreasonably withheld.
ENTIRE AGREEMENT. This Contract is the complete and exclusive agreement between the Parties with respect to the subject matter hereof, superseding any prior agreements and communications, both written and oral, regarding such subject matter.
WAIVER. The failure of any Party to enforce a particular provision of this Contract shall not constitute a waiver of their right to enforce that provision in the future.
BINDING EFFECT. This Contract shall be binding for the Parties.
Party 1
________________
Signature
Date: ________________
Party 2
________________
Signature
Date: ________________
What Is a Internship Contract?
An Internship Contract in the United States sets out the rights, duties and consideration binding the parties to it. It defines duties, remuneration, working hours, leave, and termination procedures binding employer and employee.
Under the seven-factor primary beneficiary test, courts examine whether the intern understands there is no entitlement to compensation, whether the internship provides training similar to an educational environment, whether the internship is tied to formal education through integrated coursework or academic credit, whether the internship accommodates the intern's academic calendar, whether the internship's duration is limited to the period of beneficial learning, whether the intern's work complements rather than displaces regular employees, and whether both parties understand there is no entitlement to a paid job at the conclusion. If the arrangement fails this test, the intern is legally an employee entitled to FLSA protections, including the federal minimum wage of $7.25 per hour and overtime pay.
The internship contract documents the parties' intentions and the nature of the arrangement, providing critical evidence in any subsequent wage and hour dispute. Many states, including California (AB 1066), New York, and Illinois, have adopted additional intern protection statutes that extend anti-discrimination and anti-harassment protections to unpaid interns, further increasing the importance of a written agreement.
When Do You Need a Internship Contract?
An internship contract is essential whenever an organization brings on an intern, whether the position is paid or unpaid, full-time or part-time, for-credit or not-for-credit. The document should be executed before the intern begins any work.
Unpaid internships require the most rigorous documentation. If you are a for-profit company offering an unpaid internship, the contract must clearly demonstrate that the arrangement satisfies the DOL's primary beneficiary test. Without a written agreement establishing the educational nature of the internship, the organization risks a wage and hour claim. Major settlements in this area include the Hearst Corporation case (2016) and the Condé Nast class action, where interns successfully argued they were performing productive work without compensation.
Paid internships also need formal contracts. Even when compensation is provided, the contract documents the pay rate, work schedule, duration, supervisor assignment, and applicable policies. It prevents disputes over hours worked, overtime eligibility (most paid interns are non-exempt under the FLSA), and expected deliverables.
Academic internships coordinated with universities have specific requirements. Many academic institutions require a signed internship agreement as a prerequisite for granting academic credit. The contract typically must include learning objectives aligned with the student's curriculum, a designated supervisor, an evaluation process, and a minimum hour requirement.
Government agencies and nonprofits have more flexibility with unpaid internships under the FLSA, but a written contract remains best practice. Nonprofit organizations are not subject to the same primary beneficiary analysis as for-profit entities, but state laws may impose additional requirements. For example, New York Labor Law extends minimum wage requirements to for-profit interns but exempts nonprofits in certain circumstances.
What to Include in Your Internship Contract
A well-drafted internship contract should contain the following essential elements to protect both the organization and the intern.
The parties and term of the internship must be clearly identified: the organization's legal name, the intern's name, the start date, end date, and total expected duration. Open-ended internships create legal risk because the DOL's primary beneficiary test examines whether the duration is limited to a period of beneficial learning.
Compensation terms must be explicit. For paid internships, state the hourly rate, pay schedule, and overtime eligibility. For unpaid internships, include a clear statement that the intern understands and agrees that no compensation will be provided, and that the internship is primarily for the intern's educational benefit. Reference the FLSA and the primary beneficiary test factors.
Learning objectives and educational components distinguish a legitimate internship from unpaid labor. List specific skills the intern will develop, projects they will work on, training they will receive, and how these relate to their academic program. If academic credit is involved, identify the educational institution and the faculty advisor.
Work schedule and location should specify expected hours per week, the work location (on-site, remote, or hybrid), and any flexibility for the intern's academic schedule. Under FLSA rules, paid interns who are non-exempt must be compensated for all hours worked, including overtime beyond 40 hours per week.
Supervision and evaluation provisions identify the intern's direct supervisor, describe the mentorship structure, and establish evaluation milestones. Regular feedback sessions protect the organization by documenting the intern's performance and the educational nature of the experience.
Confidentiality and intellectual property clauses are important if the intern will access proprietary information or create work product. Under copyright law (17 U.S.C. Section 101), work created by an employee within the scope of employment is a work made for hire, but interns, especially unpaid ones, may not qualify as employees for this purpose. An explicit IP assignment clause resolves this ambiguity.
Anti-harassment and non-discrimination policies should be referenced or appended. Many states extend harassment protections to interns regardless of compensation status.
Sources & Citations
Statutory citations link to official government sources.
- FLSAUS – Cornell LII
Cite this page
Reference this free template in an article, syllabus, or research note:
Forms Legal. (2026). Internship Contract (United States) [Legal document template]. Forms Legal. https://forms-legal.com/usa/employment/contracts/employment-contract-internship
"Internship Contract (United States)." Forms Legal, 2026, https://forms-legal.com/usa/employment/contracts/employment-contract-internship.
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author = {{Forms Legal}},
title = {Internship Contract (United States)},
year = {2026},
howpublished = {\url{https://forms-legal.com/usa/employment/contracts/employment-contract-internship}},
note = {Free legal document template. Based on Fair Labor Standards Act (29 U.S.C. §201-219)}
}Also available for these jurisdictions:
Frequently Asked Questions
A internship employment contract is legally binding once both the employer and employee sign it and the basic requirements of a contract are met, including offer, acceptance, consideration, and lawful terms. The contract defines the terms of the internship, setting out the job duties, compensation, hours, and other conditions of employment. Most U.S. employment is at-will, meaning either party can end the relationship at any time for any lawful reason unless the contract provides otherwise, so a written contract can modify or clarify that default by specifying terms such as duration or termination conditions. The contract must comply with federal and state employment laws, including minimum wage and overtime rules under the Fair Labor Standards Act and anti-discrimination laws. Because the written agreement documents the terms both parties agreed to, it protects them by reducing disputes over pay, duties, and conditions. A clear, signed internship employment contract that complies with applicable law sets enforceable expectations for the working relationship.
A internship employment contract should include the job title and duties, the compensation and pay schedule, the work hours and location, the start date, and the terms governing the terms of the internship. It should address benefits if any are provided, the employment status (such as full-time, part-time, or temporary), confidentiality where sensitive information is involved, and the conditions and notice for termination. Depending on the role, it may include provisions on intellectual property, non-solicitation, and dispute resolution. The contract should comply with wage and hour laws, including overtime requirements for nonexempt employees under the Fair Labor Standards Act, and with applicable state employment laws. Because the contract defines the working relationship, clear terms on pay, duties, hours, and termination reduce misunderstandings. A well-drafted internship employment contract gives both the employer and the employee a shared understanding of the job, the compensation, and the conditions under which the employment may end, protecting both parties.
Whether interns must be paid under U.S. law depends on whether they are employees under the Fair Labor Standards Act, which the Department of Labor evaluates using the primary beneficiary test for for-profit employers. Under that test, an intern is not an employee, and may be unpaid, only if the intern is the primary beneficiary of the relationship, considering factors such as whether the internship provides training similar to an educational environment, is tied to the intern's formal education, accommodates academic commitments, and does not displace paid workers or guarantee a job. If the employer is the primary beneficiary, the intern is an employee entitled to at least minimum wage and overtime. Unpaid internships are more readily permitted in the nonprofit and public sectors. Because misclassifying an employee as an unpaid intern can create liability for back wages, for-profit employers should apply the primary beneficiary test carefully. An internship agreement should reflect whether the position is paid or unpaid based on this analysis, and paid interns receive wage and hour protections like other employees.
Whether a internship employment contract can be terminated early depends on its terms and on employment-at-will principles. In the United States, most employment is at-will, so absent a contract provision stating otherwise, either the employer or the employee can end the relationship at any time for any lawful reason, including no reason, as long as the termination does not violate anti-discrimination, retaliation, or other employment laws. A contract may modify this by specifying a term, requiring notice, or limiting termination to defined causes, in which case the parties must follow those provisions. Even at-will employment cannot be ended for illegal reasons, such as discrimination based on a protected characteristic or retaliation for protected activity. The contract should state the notice period and any severance or final-pay obligations on termination. Because the right to end the relationship turns on the contract terms and the at-will default, both parties should understand whether the internship contract limits termination or leaves it at-will, and follow any notice or cause requirements it sets.
Yes, internship employees are protected by wage and hour laws, and employers must comply with the Fair Labor Standards Act and applicable state laws regardless of what the contract says. The Fair Labor Standards Act requires payment of at least the federal minimum wage, and many states set higher minimums, so the contract's pay terms must meet the applicable minimum. Nonexempt employees must receive overtime at one and one-half times their regular rate for hours worked over 40 in a workweek, unless they qualify for an exemption based on their duties and salary. A contract cannot waive these protections, and provisions that pay less than the legal minimum or deny required overtime are unenforceable to that extent. State laws may add requirements on breaks, pay frequency, and final pay. Because wage and hour laws set a floor that contracts cannot undercut, a internship employment contract must comply with minimum wage and overtime rules, and employers remain liable for back pay and penalties if they fail to meet these legal requirements.
This template is provided for informational purposes only and does not constitute legal advice. Laws vary by jurisdiction and change over time. Consult a qualified attorney for advice specific to your situation.Full disclaimer
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