Negotiate that Contract!

When the whole is greater than the sum of its parts—if the contracts you get are always written exactly the way you like them—boy, are you lucky!

However, more often than not, there's a problem with at least some of the terms of the contract that's being offered to you. But you don't want to reject a job just because part of the contract isn't perfect, do you? What to do?

Negotiating at its simplest means discussing the terms of the contract with your client, with the goal of fixing the problems. We offer three tips to help you to be a good negotiator.

You already know this is important, or you wouldn't be reading the Monitor. Contracts are often loaded with words and phrases whose meanings are, to put it mildly, not completely clear. You have to consider every clause, and ask yourself, If I agree to this clause, exactly what am I promising to do? For example, if you read in a contract that the work you will be doing is "work-made-for-hire," you have to know what that phrase means in order to decide if you want to agree to it . The phrase "work-made-for-hire" has a specific meaning that is not immediately obvious just by reading the words. (See the glossary of contract terms)

TIP #2: CONSIDER THE CONTRACT AS A WHOLE.

Another way of saying this is, think about the connections between one clause and another. For example, fees are often covered in one clause, while the project deadline is covered in a separate clause. But a tight deadline might be worth a higher fee.

TIP #3: KNOW WHAT YOU NEED.

We can almost hear you saying to yourself, "I need what every other artist needs, lots of love and a faster internet connection." But you also need at least one of the following: more money; more clients; more time. If you can prioritize your needs, you can negotiate more effectively.

The Adobe contract we reviewed illustrates these points. The artist who signed that contract is an established, successful illustrator, who can command high fees for his work. Yet he was willing to license rights to his work to Adobe for free, because the job gave him something he needs as much as money: exposure.

At the same time, he when studied the original contract and understood its terms, he saw that some changes were called for. He asked for, and got, most of what he wanted. And when he made a concession to Adobe on an important point, he was still satisfied with the contract as a whole, because Adobe had accepted most of the changes he suggested.

Lots of books have been written on the subject of negotiating. One that we found helpful is "Getting To Yes: Negotiating Agreement Without Giving In," by Roger Fisher, published by Houghton Mifflin, (c) 1991.

Checklist

So what do you do if I get a contract full of confusing legalese and buzzwords that is ten pages long? Do you sign it, or not? Here is a handy checklist to go through - an easy way to examine carefully that contract your art director faxed you at the last minute.

We recommend, whenever possible, that you use your own contracts with clients - refer to your copy of the 9th Edition of the Pricing and Ethical Guidelines Handbook for standard contracts for freelancers.