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⚠️ Warning

Contract Traps to Watch Out For

6 min read Updated January 2025

A contract is supposed to protect both parties. But predatory agencies use contracts to trap you. They're counting on you not reading the fine print.

Here are the most common contract traps we've seen — and how to protect yourself from each one.

The Traps

The "Evergreen" Clause

The contract auto-renews unless you cancel within a specific window — often just 7-14 days before the end date. Miss the window and you're locked in for another full term.

"This agreement shall automatically renew for successive 12-month periods unless either party provides written notice of termination no less than 30 days prior to the end of the current term."
🛡️ Protection:

Set a calendar reminder 60 days before any renewal date. Negotiate for month-to-month after the initial term, or at minimum a 30-day notice window.

The "Post-Termination Commission" Clause

Even after you leave, they continue taking a percentage of your income — sometimes for months or even years. They claim it's for "subscribers they helped acquire."

"Agency shall be entitled to 30% of all revenue generated by subscribers acquired during the term for a period of 24 months following termination."
🛡️ Protection:

Negotiate this down to 0, or at most 30-60 days. Anything over 3 months is unreasonable. You can't verify which subscribers they "acquired" anyway.

The "All Revenue" Definition

The contract says they get a percentage of "all revenue" — not just revenue from their work. This could include your tips, direct messages, paid content, and income from other platforms.

"Agency commission shall be calculated on gross revenue from all platforms, including but not limited to OnlyFans, Fansly, direct payments, tips, and custom content sales."
🛡️ Protection:

Make sure the contract specifies they only earn commission on income directly attributable to their work. Never agree to commission on tips or income from platforms they don't manage.

The "Exit Fee" Clause

Want to leave early? You'll have to pay a penalty — sometimes thousands of dollars, or a percentage of your "projected" future earnings.

"Early termination fee: Creator shall pay Agency 3 months of projected revenue, calculated as the average of the previous 6 months multiplied by three."
🛡️ Protection:

Never agree to exit fees. A confident agency doesn't need to trap you. If they insist, it's a sign they don't trust their own service to keep you.

The "IP Assignment" Clause

The contract claims ownership of your content, brand name, or even your likeness. This can prevent you from using your own content after you leave.

"All content created during the term shall be jointly owned by Creator and Agency. Agency retains perpetual license to use such content for promotional purposes."
🛡️ Protection:

YOUR content should always be 100% YOURS. Never sign over ownership or perpetual licenses. At most, give them limited promotional rights that end when the contract ends.

The "Exclusivity" Clause

You can't work with anyone else — not just other agencies, but sometimes not even freelancers, coaches, or specific platforms. This limits your options and growth.

"Creator agrees to work exclusively with Agency and shall not engage any other management, marketing, or promotional services without prior written consent."
🛡️ Protection:

If they require exclusivity, make sure it's narrowly defined. You should always be able to hire a photographer, an editor, or work with other creators on collabs.

The "We Control the Money" Clause

All revenue flows through their accounts first, and they pay you after taking their cut. This gives them complete control over your income.

"All platform payments shall be directed to Agency accounts. Agency will remit Creator's share within 30 business days of receipt."
🛡️ Protection:

Never agree to this. Money should go directly to your accounts. They can invoice you for their commission. If they insist on controlling the money, run.

The "Non-Disparagement" Clause

You're contractually forbidden from saying anything negative about them — even after the contract ends. This stops you from warning other creators about bad experiences.

"Creator agrees not to make any disparaging statements about Agency, its employees, or its services, during and after the term of this agreement."
🛡️ Protection:

If they need this clause, ask why. Strike it, or make it mutual. And remember: truthful statements about your experience are generally protected as free speech.

Contract Review Checklist

Before You Sign, Verify:

  • Contract length is 3 months or less (or month-to-month)
  • You can exit with 30 days notice, no penalty
  • Revenue split is clearly defined and under 40%
  • No upfront fees or setup costs
  • No post-termination commission (or very limited)
  • Money goes directly to YOUR accounts
  • You own 100% of your content
  • Exclusivity is reasonable or non-existent
  • No automatic renewal traps
  • You've had time to read and understand everything

✓ The Golden Rule

If a contract clause feels unfair, it probably is. Don't let anyone tell you "that's standard" or "everyone signs this." YOU have the power to negotiate — or walk away. A good agency will work with you on reasonable terms.

What to Do If You're Already Trapped

Signed a bad contract? Here are your options:

Learned the hard way?

Your experience can help other creators avoid the same traps. Share what happened — it might save someone.

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