Templates / Internship Agreement

Internship Agreement

Internship agreement template for India. Duration, stipend, learning objectives. eSign for ₹15.

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What is a Internship Agreement?

An internship agreement formalises the relationship between an organisation and an intern. India does not have a specific statute governing internships, so they are governed by general contract law. The agreement should clearly establish the educational/training nature of the engagement to distinguish it from employment.

Essential Clauses in a Internship Agreement

Intern's details and educational institution
Duration of internship with start and end dates
Stipend amount and payment terms (if paid)
Learning objectives and expected outcomes
Working hours and leave provisions
Mentorship and supervision arrangements
Confidentiality obligations
IP ownership of work created during internship
Certificate of completion provisions
Termination clause for both parties

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Stamp Duty & Registration

Internship agreements do not require stamp duty.

Can a Internship Agreement Be Signed with Aadhaar eSign?

Yes. Internship agreements are fully eligible for Aadhaar eSign under Section 3A of the IT Act, 2000.

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Common Mistakes to Avoid

✗Treating interns as regular employees without proper designation
✗Not distinguishing between stipend and salary — internships are learning engagements, not employment
✗Omitting learning objectives — without these, the arrangement may be reclassified as employment
✗Not providing an internship completion certificate

Frequently Asked Questions

Are companies legally required to pay interns?

There is no law mandating payment for internships in India. However, if the intern performs productive work that benefits the company, labour law principles may require compensation. Best practice is to provide at least a nominal stipend.

Can an intern be covered under labour laws?

If the internship is structured more like employment (fixed hours, productive work, no learning component), it may be reclassified as employment by labour courts, triggering minimum wage and other obligations.

What is the typical internship duration?

1–6 months is standard. Internships exceeding 6 months without a clear educational component risk being treated as employment.

Disclaimer

This template is for informational and reference purposes only and does not constitute legal advice. Laws and regulations change periodically. This template may need modification based on your specific circumstances and state laws. Consult a qualified legal professional before executing any legal document. SignSetu is not responsible for any consequences arising from the use of this template. Last updated: April 2026.

Governing Law: Indian Contract Act, 1872 (no specific internship statute)

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What is a Internship Agreement?

Essential Clauses in a Internship Agreement

Intern's details and educational institution

Duration of internship with start and end dates

Stipend amount and payment terms (if paid)

Learning objectives and expected outcomes

Working hours and leave provisions

Mentorship and supervision arrangements

Confidentiality obligations

IP ownership of work created during internship

Certificate of completion provisions

Termination clause for both parties

Common Mistakes to Avoid

✗Treating interns as regular employees without proper designation

✗Not distinguishing between stipend and salary — internships are learning engagements, not employment

✗Omitting learning objectives — without these, the arrangement may be reclassified as employment

✗Not providing an internship completion certificate

Frequently Asked Questions

Are companies legally required to pay interns?

Can an intern be covered under labour laws?

What is the typical internship duration?

1–6 months is standard. Internships exceeding 6 months without a clear educational component risk being treated as employment.