Contracts: First right of refusal
Been a member for several years and yet I'm just discovering this Forum! Been up to my eyeballs in watching all the awesome videos!
Here is my question: I will be signing my first children's book contract within the next couple weeks. I do not have the contract in my hands as of yet (deal was made verbally on Friday!) But one of the "non-negotiable" items is a "First Right of Refusal" clause.
Any insights or comments about this? I'm assuming it's typical. But want your feedback.
@mrsdion I was curious what it was too - here is the link http://www.artnet.com/magazineus/news/spencer/spencers-art-law-journal-9-2-11.asp
"A right of first refusal works like this: Assume you sold me a painting, but you reserved a right of first refusal. When I want to sell that painting and a third party is ready to pay, say, $100,000, I cannot sell to the third party before I first give you the opportunity to buy it for the same price. You, as the holder of the right of first refusal, can buy the painting for $100,000, or you may pass on it. If you pass (or do not act within some previously established time frame), then I can sell to the third party for that same price. But if I sell it to the third party without first giving you the opportunity to jump to the front of the line and buy for yourself, I have violated your right of first refusal.(FN 1)"
It seems odd that a book contract would have right of first refusal. What is the context on how that "right" is being used? Is it for selling originals? Future work? All publishing work?
Make sure you have the contract reviewed by an attorney familiar with publishing and art. It's worth the $50 or $100 it will cost.