Advertiser Bodies Move For Comprehensive Contracts

The IPA, ISBA, CIPS and MCCA have joined forces to clarify intellectual property requirements within client and agency contracts, revising their ‘recommended terms’ for ad contracts and publishing a new guide for all parties involved.

The trade bodies’ new Handbook of IP Rights is also available online, via the IPA website, with sample contracts available at www.ipa.co.uk/legal.

The contracts are appropriate for creative, media and full service agencies, while a separate contract for direct marketing and web design agencies will be published shortly.

Explaining the need for updated contracts, the IPA’s director for legal affairs, Marina Palomba, said: “All the parties agree that it is vital that all clients and agencies agree their contractual terms up front. It shows professionalism, is a great vehicle for being clear about the terms of business and the ownership of IP rights, and ultimately, offers contractual protection if it is needed.”

She added: “Unfortunately, we still see far too many cases where the absence of a contract has left all parties exposed and uncertain of their rights.”

The new guidelines take into account the changes to the self-regulatory system to incorporate broadcast advertising (see Broadcast Self-Regulation Plans Comes Under Attack), and see the deletion of the controversial section on intellectual property rights.

The first industry agreed contracts, backed by ISBA, the IPA and CIPS, were launched in 1998. Research undertaken at the time showed that just 55% of client-agency relationships were covered by full, written, signed contracts. In 2002 this figure had risen to 71%, but the contracts have not been updated until now.

IPA: 020 7235 7020 www.ipa.co.uk