More on Negotiations and Contracts: Excerpt from my book: "A Frienly Guide to Writing and Ghostwriting
I had an agent for a short time (not short enough) who was so rude and insulting to the other side during the negotiations, they threatened to fire me. I turned around and fired my agent. If she had been a standup person, she would have declined her payment from me since she was the troublemaker. It was no surprise, however, that she refused to acknowledge her bad behavior so I had to pay her. At least I got rid of her.
When a publishing contract arrives, I suggest you learn how to read and understand it so you can make educated decisions and not get blindsided. After I got rid of the above troublemaker, there was a period of time, close to a year, when I had no agent. During that time, I did my negotiating myself. Since I’d done so many collaborations and ghostwrites by then, I knew what was reasonable and what wasn’t.
In order to be sure I didn't make any mistakes, I forced myself to read every word of boring contracts that were filled with legalese and I learned what it all meant. To this day, I still read every word and clause in any contract I’m about to sign and I ask the stupid questions that help me understand what I’m reading. I often find a clause that my agent overlooked. It takes several pairs of eyes to make sure everything is correct. I learned to never sign a contract that I didn’t understand.
The contract come from the client’s representative so it’s written in the client’s favor. There are important things you need to be clear about. Payment dates. If and where your name is going to appear. If there are disputes, you need to make sure mediation will take place in a reasonable place. Not halfway around the world because the client has a home in London. You have to know what you want up front. Don't allow anyone to bully you into making agreements that feel wrong. If the other side is being petty, cheap, arrogant or unreasonable, you might need to break the deal. Just try to be flexible and make sure you’re not selling yourself short and you don’t need to pay back any money if things go awry. If you know the payments and the terms you want, have your rep ask for a little more so there’s room left for negotiating. Just make sure you don’t price yourself out of a good job. Don’t be afraid to ask for what you want but be reasonable.
I caution you here to never discuss money with your client. That’s a hotbed of possible clashes because they get jealous if they think you’re also working with somone else. Always keep in mind that you want your relationship with your client to be smooth and harmonious. If you defy this rule (I did it once) and you mention anything monetary to the client, the two of you will inevitably start resenting each other. This is a death knell for any collaboration and no matter how much you're getting paid, it won't be enough. Let the reps do the dirty work and earn their percentages. Then the two of you, the creative parties, can place your focus on writing a wonderful book that will make you both proud.
Here is some hard earned guidance:
• It may take time (it often feels glacial) for the publisher to write the client’s contract and run it by an in-house lawyer. Be patient and don't tell yourself stories about why it's taking so long. If payments are being withheld, your agent should warn the publisher that you won’t keep writing until they uphold their part of the bargain.
• When you get the contract, make sure the payment amounts and deadlines match the oral agreements you made. Unless there’s a reason for a firm deadline, you decide how long it will take you and then ask for an extra month or two. If you get the book in early, you’ll be a hero.
• Confidentiality is of the utmost importance. Boiler plate publishing contracts contain strict confidentiality clauses and you have to abide by them. They are written to last a lifetime so don't get comfortable after a while and ignore them or you’ll be seeing the inside of a courtroom.
• Make sure you are legally and financially covered if the other side decides to terminate the project for any reason. Customarily, you get to keep the payments that were already made and the client gets to keep the material you wrote.
• Insist on double indemnity. That means you are demanding equal rights for arbitration as you and your partner agree to hold each other harmless in the rare case of unexpected legal issues. The other side may try to sneak this by and slant the rights in their favor, so don't let it happen.
• Be clear that the client is responsible for any expenses that may arise, such as flights, hotel accommodations, or anything else.
• The client holds the copyright to the work and you cannot use the material for any personal reason. The contract will make this clear and that’s always non-negotiable.
• Determine if your name will appear on the cover. If so, establish whether you will be a “with,” an “and,” or “as told to.” If you are contracted to receive no credit, ask for a shout out on the acknowledgment page. They usually agree to this.
• If you don't understand anything in the contract, large or small, consult a professional, ask questions and get help. Never sign something you don't understand.
When you embark on a book contract negotiation, remember that in most cases, no one is trying to trick or one-up anyone else. It they are, don’t take it personally. This is business, plain and simple. There are no victims here. In most cases, your agent or lawyer will do their best to come up with agreements and solutions, so leave it up to them to play bad cop. Then you and your client can begin writing a good book with no resentments or confusion to muck up the process.