(1) Subject to this
section, a person will be taken to be a responsible contractor in relation to
an outworker or a group of outworkers engaged (or previously engaged) under a
contract of employment with someone else if the person is a person who
initiates an order for the relevant work (other than (if relevant) as a
purchaser at the point of sale by retail), or distributes the relevant work
(even though there may then be a series of contracts before the work is
actually performed by the outworker or outworkers).
(2) The fact that a
person is to be taken to be a responsible contractor for the purposes of this
Part does not affect any obligation of another person as an employer under a
contract of employment.
(3) A person whose
sole business in connection with the clothing industry is the sale of clothing
(and associated items) by retail will not be taken to be a responsible
contractor under this section (but may be taken to be an employer under a
contract of employment between the person and an outworker).