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What Terms Should be in My Contracts?

It's always a good idea-no, a great idea-to have written contracts, even if many oral contracts are legally enforceable. The need for a written contract is not because you anticipate trouble, but so you can avoid trouble by having a written memory of your business agreement with your purchaser or gallery owner. In fact, you should probably think of your contracts as a written memory of your business agreements

The length of a contract depends on the complexity of the deal. At a minimum, your contracts need the following: (1) the names of the parties (Artist and Purchaser; Artist and Gallery Owner, etc.); (2) the addresses of the parties (for purposes of any notice under the contract); (3) what the contract is about, in as clear terms possible (for example, sale of a specifically defined Artwork, or consignment of 20 individually and specifically defined Artworks); (4) The consideration for the deal (that is, the sales price of your Artwork and/or the percentage of a gallery's commission); (5) the time when the Artist shall be paid (very important); (6) the date of the Agreement; and (7) and signatures of all parties. Each party should have a signed copy (make two identical contracts and sign both).

Other provisions depend on the parties' particular needs. When thinking about your business deals (and contracts), give thought to who assumes the various risks and expenses of your deal. Who pays for framing? Who insures the Artworks when they are shipped or consigned to a gallery? How and when will you get your work back? Who pays for shipping, or a gallery reception? What is your returns policy? (If you give a purchaser two weeks to return an Artwork after a trial basis, put in your contract the exact date when the work must be returned, so there will be no question.) What constitutes a breach of your Agreement and what remedies you will have if there is a breach? (A contract can specify what your exact remedy will be in the event of a breach.)

The main thing to keep in mind is to be very clear, precise, and complete with your terms and definitions in your written contracts. And do not be afraid to ask that your contract be in writing: it is simply a written memory of your deal.