Agency Clauses
An agency clause may be inserted into a publishing contract between an author and a publisher. In essence, a typical agency clause provides that the agent may receive royalty payments on behalf of the author and has authority to act in the name of the author with respect to the contract.
Here’s an example:
All sums of money due to the Author under this Agreement shall be paid to the Author’s agent, Annie Agent, of 321 Applesauce Avenue, New York, NY 10023, U.S.A. (hereinafter called “the Agent”) and receipt by the Agent shall be a good and valid discharge of all such indebtedness and the Agent is hereby empowered by the Author to act on the Author’s behalf in all matters arising in any way out of this Agreement. For services rendered and to be rendered the Author does hereby irrevocably assign and transfer to the Agent the sum of 15% (fifteen percent) as an agency coupled with an interest out of all monies due and coming due to and for the account of the Author under this Agreement.
Have you been offered a contract by a traditional publisher?
If you're a newbie author: beware. Neither your agent nor your publisher is your friend. You're doing business.
Agency clauses like the one above are especially egregious, but you're sure to find several nasty gotchas in any so-called "standard" publishing contract. Read your contract several times. You've got to keep your own best interests in mind. My motto for contracts: if in doubt, strike it out.
Read the above post from Passive Guy and save it.
To repeat: neither your agent nor your publisher is your friend. You're doing business.
Here's an excellent article on the realities of publishing.
Hat tip to Passive Guy.
