How does agency/manager licensing affect you?
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It seems nowadays that models are constantly concerned about their safety when dealing with photographers, but they are failing to ask if an “agency” is licensed. In reality dealings with an unlicensed agency leaves the model, companies and individuals at a higher risk for loss than dealings with a one on one contract. In many states it is considered a crime to act as a manager or talent agent without the proper license, and in some it’s a crime to utilize the services of such persons.
Photo: Sal W Hanna; Model: Steph Rai; Makeup Artist: CaraBella-Beauty to go
There are some exceptions, depending on the state. For instance, New York requires “Talent Agencies” to be licensed, but “management companies” do not have licensing requirements. Many of the top agencies in New York, such as Ford, Wilhelmina and Elite are considered “management companies” rather than agencies, therefore not being required to obtain an agency license. Keeping this in mind, having an agency license doesn’t necessarily make a company legitimate, but it does require that they abide by specific laws mandated by the state they operate in. It’s always best to reference check the “agency”, “management company”, or other similar company/individual prior to agreeing to work with them.
Most agencies do charge their talent fees for acquiring images (i.e. making them comp cards), their space on the agency website, training, or other portfolio building services. They do so by deducting the funds from work performed. Some agencies give models the option to deduct the fees from the revenue collected from paid assignments, or they may also receive the option of paying the full fees up front. Upon booking a paid assignment the agency/manager would assess their fees for the booking, deduct a portion or entire amount for portfolio work, and then issue a pay check for the remainder. Keep in mind the amount and options the agency/manager puts in front of you may be a warning sign. A lack of options (particularly, asking you to pay up front and requiring you to meet with one of the agency’s own photographers, to shoot you and use those shots for comp cards) could indicate the service is simply a “photo mill.” It is always best to verify through independent sources how reputable an agency/manager performs as each service may have their own policies on service fees.
California case example
Case in point singer Jewel Kilcher, professionally known as “JEWEL” an individual, Plaintiff v. Inga Vainshtein, an individual, and COLD WAR MANAGEMENT, a business entity of unknown origin. Respondent Labor Commissioner of the State of California, Case No. TAC 02-99, stated that the singer was managed by the plaintiff (and her company) since 1993. Jewel petitioned the state to void her contract with the “manager” (Respondent) based on her claim that the manager “acted as a talent agent without the required license.” In this case the Labor Board Commission Hearing Officer David Gurley concluded that “respondent acted in the capacity of a talent agency and did indeed procure employment without a license in violation of Labor Code 1700.5”. The ruling ordered “It is hereby ordered that the 1994 contract between Petitioner, Jewel and respondent Inga Vainshtein, is unlawful and void ab initio. Respondent has no enforceable rights under this contract.”
In essence the singer, Jewel, won her claim against the manager, Vainshtein, but she was unable to collect previously paid commission to her manager. Also the manager was unable to collect further pending commissions from the singer.
How this affects you
(Bearing in mind this case was in California; laws vary from state to state) Contracts written are not enforceable under most state laws if the agent, manager or other term, is not licensed. You may find yourself in a position where you performed your services and cannot collect the contracted fees. Other implications can be in the form of liability if others represent you and obligations are not met. Being served with litigation for failing to have the proper licensing, insurance, bond or other requirement is not worth the risk of pay you may receive from working with an unlicensed person.
To protect yourself, check the chart below and contact the proper agency to “Verify” the license status of the person/company. Many states will also tell you of any actions, complaints or other activity against the person(s) license.
Note: Some states do not have a web search, but most offer phone verification of licenses.
DISCLAIMER: Legal information is not the same as legal advice. Information of a legal nature posted or made available on this website is not intended as legal advice. It is intended for general informational purposes only and you should not rely on it. It is not a substitute for consultation with an attorney licensed to practice in your jurisdiction.
May 31, 2017 at 3:37 pm, Me said:
This sickens me.
The only thing more sickening to me than this blatantly unconstitutional violation of our freedoms, is peoples sheepish submission to it. What fucking right does the state have to demand you get a LICENSE to interact with other human beings, to be subjected to fingerprinting and being treated like a criminal. If you introduce someone to someone else for business purposes, and they compensate you, and you don’t have government permission, you are a criminal!? Whats next ” Woman charged with modelling without a license, police hunt for photographer, more to come at six…”
Don’t think this is coming? just look at what dancers are subjected to. You have something called the First Amendment, it’s time you people fought for it. Wake up.
August 26, 2015 at 3:37 pm, Ben Davidson said:
Heads up that a number of those links appear to be broken/offline. I tried 4 at random (NC was one of them) and 3 were broken.
January 17, 2012 at 7:24 pm, Ken Elsner said:
It should also be noted that in some jurisdictions the licensing is handled at a city or county level. For instance, here in Nevada ALL talent agencies must be registered with the state as an employment agency, however modeling agencies don’t have the same requirement.
In Clark County, NV (which includes the majority of the Las Vegas area) model and talent agencies must be separately registered with the county. Obtaining a license can/will involve a background check to assure public safety. Agencies that are within the limits of an incorporated city (such as LV or Henderson) do not have to have the county license.
Jurisdictions in any state also could prohibit agencies from opening in certain areas, such as a residential apartment. It may be pretty hard to find the law because it may be something as simple as a zoning ordinance.
This is important to know because, at least in this area, scammers and fakers can… and do… successfully set up and run their “agency” operations from within a jurisdiction that will allow them, while if they tried the same thing from a location just a few feet away they’d never be allowed to open.
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It should also be noted that licensing often does very little to actually combat scammers. In Florida, it’s a FELONY to operate a talent (or modeling) agency without a license, however a few years ago a dangerous person acting as a fake agent was reported to the Florida authorities and they chose not to do anything about it.
That same person is now sitting in a New Orleans jail awaiting trial on 2 counts of rape and one count of sex with a minor.. all having to do with some sort of fake modeling offers. Florida has a strict law regarding fake agents and did nothing to stop him, while Louisiana doesn’t have those laws and stopped him as soon as his antics became known.
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The state of Texas had some fairly strict licensing requirements, but they had some loopholes that made it difficult to start case against someone involved in unlicensed activity.
The state recently dropped the licensing requirement because it was costing them too much to operate and investigate. In other words they felt there were too many resources being used on something they didn’t consider to be a major problem.
January 10, 2012 at 8:31 pm, corey said:
The virginia link is to the Virginia State Board of Elections…. I’m not sure how to find out if a company I am considering signing with is licensed. This is a really helpful article though, thank you, I’m fairly certain this company is what you called a “photo mill”
December 21, 2011 at 6:19 am, Renejalachapelle said:
I just read a couple of sentences & that alone gave me confirmation. when i first started modeling I was a homeless teenager trying to work & i did not know this about the “agent” i ended up working with. Turned out to be a fraud,unlicensed & everything else. They even lied to a casting director about me in order for me to be considered. That’s where I drew the line. So glad I parted ways w/them; but I do wish I knew then what I know now so I could have reported them. Every since then I’m freelance, on my own, no trust… After I read this more thoroughly I’m going to add this to my favorites &, if it’s ok with you, share it on every networking site I’m active on because so many of my people need to know this as well.
Thank you
Reneja
December 19, 2011 at 1:20 pm, Robert Butch Davis said:
While I do not discount doing a search for a licensed Agent/Manager, wouldn’t it be prudent to look for a legitimate Business License first since many states do not list every single occupation as requiring an “occupation specific” license?
December 19, 2011 at 7:18 pm, Sal W Hanna said:
On of the main points of this article is to seek out the licensing authority in your particular state. I thank you for your input and hope this clarifies my standpoint as it seems we are both on the same page 🙂
December 15, 2011 at 2:54 am, Marketa Fei said:
It would have been nice if the author had checked whether those states licensed talent agencies, in addition to providing links to their chambers of commerce…
December 19, 2011 at 7:20 pm, Sal W Hanna said:
I appreciate your feedback. Many state require some form of licensing, but it’s up to the reader to identify the particulars of their location. Keep in mind this article is intended as a starting guide and not a definitive or legal advice for all 50 states.
December 13, 2011 at 11:27 pm, Jean Renard said:
I find it interesting that you bring up a music issue in a modeling context, increasingly it makes sense as talent like models also sing, act, dance etc, almost anyone is now a multi media artist and if they want to make money they have to be.
The issue with Jewel and her mother was really them not wanting to pay commissions to the person that had built up her career. The record shows what a disaster that turned out to be for Jewel. They used a technicality to win the case and if there was crossing of lines it was all for the benefit of the talent, the deals in fact that were isolated were major turning points for her career, no harm was done, no double commissions, just a law on the books that firmly protects talent agencies and or lawyers, this is not a provision that protects talent in MOST cases.
The line between agents and managers is quite fuzzy but the talent agencies in LA are pushing very hard to make sure that they are kept in place while in NY they might not be. The fact is agents and or lawyers are needed to close a deal in CA on behalf of talent, the other fact is that managers create the opportunity for deals to happen and in many cases create the brand that can be sold by the agents.
When the right team is in place it is pretty strong stuff, but if you speak to talent the agents often drop the ball and the manager needs to do the heavy lifting. Clearly anyone who needs a license should have one and as you say having a license is not an indicator of quality.
In conventional terms the agent is “sales” and the manager is “marketing”, the manager will have the longer view on a talent’s career rather then the immediate transactional value of the agent who need the make commissions happen right away, sometime at the expense of the bigger downstream play.
Managers are in fact an essential part of a talent team for talent and are often the most long standing relationships in an artist’s life. It is important to keep all aspects of this in mind.