A good friend from LA called and asked for a copy of our standard contract. She is from the land of entertainment lawyers and was shocked when I told her we don’t have one. We do have a short letter of agreement that outlines fees, payments and ownership and is probably legally useless.
So I started thinking about the need for a contract. Architects have them through AIA. But they get sued a lot anyway. Lawyers don’t seem to have them. Interesting. Photographers have estimates and forms about usage rights. Doctors and amusement parks make you sign a waiver. In all my years in business, I have never been sued and never felt like I needed a contract. I have always viewed contracts as a license to sue someone (“you say on page 7, paragraph 3 that the type size�”) and that never seemed like a good idea. The world is getting more litigious— now you can sue people if you get fat. Is the legal system really about ethics and what is right?
It is important to understand this issue when you get into a relationship for money. There needs to be mutual trust and mutual responsibility. This is the key. This is what you base your reputation on.
Contracts can protect both parties — or so you think. It is almost impossible to sue a client since they tend to have lawyers on staff or on retainer. It is your lawyer money against theirs and you will almost always lose. So what do you do?
I tend to think it is simple. Write down what you are going to do, create a schedule for when it will happen, outline the process, the fees, the mark-ups, anything that a client may not anticipate. Write down who is responsible for what and what the consequences are. Communicate and take responsibility for what you do, and you will rarely encounter a problem. Designers are as much consultants as they are producers of a “work product.” We create things that are often immeasurable and intangible. We often start in one place and end in another, and that fluidity is critical to our ability to solve visual and verbal problems. It cannot be quantified in a contract. It must come from a trust-based relationship.
Our industry is confusing to the outside world. Many designers are not ethical and some clients are understandably not very trusting. Add in printers who toss in the design free, the rights issues (“we paid for the photo, why can’t I have it?”), the inherently bad concept of mark-ups, agency-net and the always popular “finders fee” and you wonder why there isn’t a contract for everything.
Be ethical, do great work, take responsibility, protect yourself if you smell a client rat (get the money up front) and try to get lawyers as clients— not the other way around.
I'm not sure if you are asking a question or not, but what you describe doing (writing a schedule, outlining responsibilities, etc.) *is* pretty much a contract.
While contracts do offer some legal protection (I have sued and won against a client once) the bigger purpose is to simply get both sides on the same track. I've found contracts to be invaluable in keeping projects in-scope and timelines adhered to on both sides.
On Nov.21.2003 at 09:18 AM