Friday, April 18, 2008

The AP 2008 Contract Analysis - Sections 7,8 & 9

Here's Sections 7,8, & 9, followed by commentary:

Section 7. Term and Termination. The term of this Agreement (the "Term") shall begin on the Effective Date and shall continue until terminated by either AP or Freelance Photographer, with or without cause , upon thirty (30) days' prior written notice. Upon termination, all obligations of both Parties , except for any obligations under Section 3.3 i, iii, v, vi, Section 4, or Section 6 above, shall end. Any provision of this Agreement that, by its nature is intended to survive termination of this Agreement, shall survive termination of this Agreement.
(Continued after the Jump)
Comments:
You’re a lifer here. Once you sign, you’re on the hook until you provide the AP with notification that you terminate the agreement.
Section 8. Indemnification. Freelance Photographer will indemnify and hold AP harmless for any claims , matters , complaints, liabilities and actions arising out of AP's engagement of Freelance Photographer for Assignments, including but not limited to Freelance Photographer's failure to comply with applicable laws, rules and regulations concerning the withholding and payment of taxes in connection with services rendered to AP pursuant to this Agreement.
Comments:
Here’s one you need to discuss with your insurance agent. They will most assuredly tell you that you are taking on the liability if the AP misuses your photographs, and that you, the sole proprietor/LLC/S-Corp can’t possibily sustain the costs and liabilities of this indemnification clause. Just as you are limited in Section 3.3(v) as it pertains to providing a warranty and the exclusions of such a warranty, so to should you be excluded from misuses by the AP, or an AP licensor, of the images that you provide.
Section 9. Miscellaneous. This Agreement shall not be amended, modified or changed in any respect except by written agreement of the Parties. No trade, custom or usage shall affect this Agreement or the terms and conditions thereof. This Agreement incorporates the entire understanding of the Parties and supersedes any and all prior agreements, oral or written, relating to Freelance Photographer's relationship with AP and is intended as a complete and exclusive statement of the terms of the arrangement between the Parties . The terms and conditions of this Agreement shall inure to the benefit of any entity, which succeeds to or acquires all or substantially all of AP assets or business or the AP Images business. Freelance Photographer agrees that any dispute, claim or controversy concerning this Agreement, or the termination thereof, shall be governed by the laws of the State of New York without regard to its conflicts of law provision . A facsimile copy of this Agreement fully executed by the Parties shall be deemed to be an original Agreement. The failure of AP to demand adherence to one or more of the provisions of this Agreement shall not be construed as a waiver nor deprive AP of the right thereafter to insist upon strict compliance therewith. If any provision in any paragraph of this Agreement shall be deemed to be invalid or unenforceable, the remainder of such paragraph and of the Agreement shall not be affected . Any notice or other communication required to be given hereunder shall be in writing and shall be deemed sufficiently given when delivered personally or mailed by registered or certified mail to the Parties at the following addresses (or at such other address as either Party may designate by notice given pursuant hereto). Notices to Freelance Photographer shall be given to the contact information set forth above. Notices to AP shall be given in writing to: The Associated Press, 450 West 33rd Street, New York , New York 10001, Attention : Office of the General Counsel; Ref: Freelance Photographer Agreement. Notice shall be effective when received.
Comments:
This too is a pretty standard clause. However, it’s problematic because the AP does business in all 50 states. As such, they have legal entities in each state. Further, when they sign a lease for a building, or execute other business transactions in each state, the governing law is almost certainly that state’s laws. Since you are working in your state, they have an office in your state, and the assignment in in your state, the governing laws should not be New York, but rather your state.


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