Contracts

Rapidly approaching the third month of my internship at a literary management agency in NYC, I am trying to focus my attention on several aspects of the business of being a literary agent that I haven't covered all that well just yet.

One of those aspects is the importance of understanding book contracts.  I had requested a workshop on this topic from the supervising agents, and they were wonderful enough to set up a discussion and several sample contracts etc.  However, it ended up being scheduled during day 3 of my post-eye-surgery agony, so I wasn't able to attend.  But all was not lost, since the newest agent in our office is the new contracts manager.  She was kind enough to carve out a few minutes to go over a general contract.

I was a bit relieved to find that generally speaking, the design of most book contracts are pretty similar and pretty straight forward.  While there can be shady bits from time-to-time, the beauty is they are relatively easy to spot if you are well versed in standard book contracts.  Anyway, here were a few tips handed down by my contracts mentor:

#1)  As the agent, your role in the process is getting the writer the best deal possible.  You are there to protect his/her interests.

#2)  As my father taught me when I was first learning to drive..."Look at the BIG picture."  A book contract is a long-term investment.  You'll naturally want to get the best deal for right now with the best advance, but more importantly, you want to give your author the best chance at future success as well.

#3)  Earning Out.  The writer will get an advance when the contract is completed, and you will get your commission, however, neither of you will be paid anything further until the book has sales that exceed the amount of the advance.

#4)  Agency Clause.  As a literary agent, your main role is to protect the writer.  But you must also protect your rights as well, so always be sure your agency clause is clearly written into the agreement.

While there are plenty of finer points, these are just a few of the basics to help get you started.

~Michelle In Turn

(p.s. Thanks Joy!)