Ok. It is still not the contract that is the major cost. I didn't say the tradeoff is that other people make profit. The tradeoff is the overhead cost. Sure,

Ok. It is still not the contract that is the major cost. I didn't say the tradeoff is that other people make profit. The tradeoff is the overhead cost. Sure, that can be another tradeoff -- obliged fulfillment. Either way you're paying the contractee a little more for that. It's not the contract itself (the legal expense) that is the major cost in a contract. Yes it is some overhead, but is it really a significant part compared to the excess you are paying to have it contracted vs in house? The point is. It's still going to cost you more, even if the legal cost is zero.