Re: Work for "future revenues"

At 09:06 AM 11/18/00 -0600, terry felke wrote:
>I have a potential "opportunity".  An individual with an idea for a
>web-based business would like me to do web development for him. However,
>he does not want to hire me as a consultant -- but instead is offering a
>percentage of future revenues.
>
>What are your thoughts on this matter? I looked at Ivan's site but did
>not notice any article exactly pertaining to this situation.

I've done many deals such as this, representing both the client and the
developer (though of course not in the same transaction).  Assuming you as
the developer want to do this, then you must be *very careful* about how
you define the basis for your payment, when you get paid, what rights you
have to what you create and what happens if you don't get paid.   And for
heaven's sake, don't be doing this deal without a valid, thorough written
contract and certainly don't be trying to "save" money by using some form
that is totally inapplicable to the complexities of this transaction.  


IVAN HOFFMAN, B.A., J.D. 
Attorney At Law
Lawyering With Integrity (sm)
Internet Law, Copyrights, Trademarks, Publishing Law, Corporate Training
and Online Education Law, Web Design Law, Recording and Music Law.  *A 5
Times Award-Winning Site.* http://www.ivanhoffman.com

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