Termination Agreement W Repayment Plan

[ingramc2002]

What is the name of your state? CA

hello...i have management contract with a solo artist that is about to expire and in default currently because of non payment of certain commissions. the artist wants to terminate the agreement and gave me a "termination agreement" which includes a paragraph about the debt owed to me.

i am in agreement with the terms offered (monthly payments until paid in full over 3 years).

my question is, in the event of default, how binding is a signed document with a paragraph detailing the amount owed and how it is to be paid? i have no problem with the terms, just don't want to lose leverage if there is a default.

any suggestions? i have until april 17 to accept the artist offer and i want to make sure i am not mission anything.

What is the name of your state?
CA

 

[quincy]

A written agreement, signed and dated by both of you, should be enforceable, given both of you agree to all terms as outlined in the agreement and given both you and/or the artist are not minors, are not suffering from any mental incompetency and are not under any form of duress when signing.

However, I strongly recommend that you have an attorney look over the agreement in its entirety to make sure it protects you in the event of default on the part of the artist.

Here are some items I think you should check for and/or include (but, again, have an attorney review any agreement prior to signing):

Your agreement needs to spell out your identities exactly, with correct and complete legal names. You will probably want to have a "change of address" notification clause, so the artist cannot just disappear on you.

You will probably want a "time is of the essence" clause in the agreement, if you expect prompt payments. With this clause, if your artist does not comply with the payment requirements set forth (and these should be precise), that would be considered a material breach and you would be able to seek recourse in court.

You may also want to state in the agreement that any modification of the payment arrangements must be in writing, and agreed to and signed by both you and the artist. This will avoid any potential disputes later if, say, the artist says you orally agreed to let him skip a month's payment.

In addition, it may be wise to state which state law will govern any disputes that arise from the agreement - especially if either you or the artist expect to leave California within the next 3 years.

These are just some of the things that may be important to include in your agreement. It is impossible to say whether you are potentially "missing" anything else, without seeing the agreement in its entirety.

Again, you will want an attorney to review the entire agreement prior to signing to ensure you are protected adequately.

 

[ingramc2002]

very helpful. thank you so much.

 

[quincy]

You're welcome. Good luck.