Advertising Agreements

Advertising agreements are typically made between the person or company where the advertising will be hosted, and the person or company that is going to be placing the ad. For example, the agreement could be between a blogger and a company running ads on the blog, or between a billboard company and a company wanting to rent a billboard for advertising space. Whether you’re the host or the advertiser, it’s a good idea to have a written agreement, just to make sure your legal interests are protected if something should go wrong or if there is a misunderstanding.

The Essentials of an Advertising Agreement

What should you put in your advertising agreement? These agreements can vary a bit, depending on the advertiser, the host, and the type of advertising being considered, but there are some essentials you’ll want to consider. First, make sure you have a title to your contract, so it’s clearly marked as an advertising agreement. Add your business or blog name, including your email, address, and contact information. Be sure to add the same information for your advertiser.

Then, you’ll want to spell out the specifics of the contract. The rate for the advertising, how long the ad will stay up for, when it will be placed, and any other particulars must be clearly articulated. Don’t leave anything to chance or guesswork. If there are terms of service or any type of restriction, that information will also be needed. You don’t want a situation later where the other party to the contract tries to say that you did or did not agree to something when that wasn’t your intention.

Payment information, policies for cancellation, and any “legalese” or “boilerplate” copy – such as indemnification or basic liability information – should also be included. Even if it’s common or expected in the industry, don’t assume it’s understood without being a part of the contract. What is legal and binding is what you both agree to, so add any and all information you’re both agreeing to, in order to protect both of you. Lastly, sign and date the contract, and have the other party do the same. Then you’re both ready to proceed with the actual advertising.

How are Advertising Agreements Used?

Typically, advertising agreements are used to ensure that the advertiser and the person or company hosting the advertising both understand their obligations to one another, and agree on what they will be receiving from the deal they are making. The host will be paid, generally, and for the agreed-upon amount the host will then allow a particular type, size, or style of ad on their blog, on a billboard, in their business, or in another agreed-upon location for a specific period of time. The agreement is used to make sure both parties receive what they agreed to, and that their dealings with one another are kept fair.

Why Would an Advertising Agreement be Needed?

While it’s certainly possible to advertise without a formal agreement, it’s always a good idea to have one. If you don’t have an agreement in writing and signed by both parties, it’s very hard to enforce the deal you both agreed to if one party decides not to hold up his or her end of the deal. It can produce a he-said/she-said situation that is difficult to solve properly, and for which there might not be any reasonable resolution. Without a written agreement, both parties are essentially working off of a promise and a handshake. Many people operate this way and keep their word, but there are those who do not.

Since it’s not always possible to tell ahead of time who’s going to keep their word and who is not, protecting yourself with a written agreement – whether you’re the host or the advertiser – is the best way to ensure a good experience. Read the contract before signing, make sure all the essentials are in there, and don’t agree to something that doesn’t sound right or you’re not comfortable with. Making sure everyone is on the same page can make for a good advertising agreement and a successful partnership between advertiser and host.

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