Contract checklist

Overall contract tips

Remember that contracts are there to protect parties in a worst case scenario!

It's unlikely that they will ever be enforced in a negative way as long as you do your best. Things like non-competes or NDAs will only be chased down for egregious breaches... if that. It's usually not worth the effort. No one goes after anyone in any country for anything under $250k.

Contracts also don't guarantee you'll be paid, but just make it seem more serious.

• Set a defined booking period, or a defined deliverables list, with limited revisions
• Note your work hours and what days you work
• Set terms of copyright - do you have to transfer full copyright? Can you just license the output to the client?
  • This is mostly applicable to illustration/animation, not so much mograph.
  • If you're working with an agency or studio, it's unlikely that they'll be happy with just licensing it to them, as its usually a work-for-hire arrangement
  • I've honestly stopped worrying about this lol they can just have copyright. But if you're an illustrator you should look into this!
• Cancellation fees. Can either party cancel at any time? What fees would they have to pay if they do?
  • (i don't have a cancellation fee except for paying what's owed)
• Indemnities are not something that the other party needs to enforce their rights
  • Though, the likelihood of anything happening is basically nil
  • Companies should budge on this (for the most part), but will likely leave in an indemnity against breaching third party IP (this is expected and within your control, so that’s ok)
• No non-compete
• No non-solicitation, without time limit
• Note what assets they must supply, and say you don't accept liability for them

NDAs

• Make NDAs with a set term (standard is 1-2 years. No more than 3 years)
• No transfer of IP rights in NDA. This may also be written as “moral rights”
  • This has nothing to do with an NDA and shouldn't be part of one. Copyright or moral rights need to be part of a work agreement/contract instead, so it's directly related to a project.
• No broad definition of confidential information. Get them to be specific (only true confidential info, thats not in public domain)
• Any clauses preventing you from discussing details of the contract with others should be amended to allow you to discuss the contract with a lawyer.

Unfortunately, I do not sign contracts with these terms because it opens me up to too much legal liability.