When I founded JustGamers 25 years ago, “influencers” were still the gaming magazines that reported on new computer games in stationary retail. Today, my law firm regularly advises agencies and creators on legal issues relating to influencer marketing. The dynamics of this industry often remind me of the early days of gaming journalism – fast-moving, innovative and often legally in gray areas.
Legal foundations of the creator economy
Last week, a marketing agency that supports a major beauty brand with influencer campaigns sat down with me. Their problem: the previous contracts were too rigid for the dynamic creator economy. A classic example of how traditional contract models fail in the reality of the creator economy. Advertising labeling is just the tip of the iceberg. As someone who comes from the content sector myself, I understand the balancing act between authentic communication and legal requirements. Whereas a simple “#ad” used to be enough, today platform-specific features have to be taken into account. A gaming influencer from my consulting practice, for example, only marked his sponsored streams in the stream title – and promptly got into trouble with the state media authority. This could have been prevented with the right contractual regulations.
Drafting contracts for the modern content world
After almost 20 years as a lawyer and 25 years as an entrepreneur in the digital sector, I know that rigid guidelines don’t work in the creator sector. A modern influencer contract must strike a balance between legal protection and creative freedom. In my practice, it has proven to be a good idea to work with framework agreements that regulate basic aspects such as brand specifications and approval processes, but leave enough leeway for spontaneous content adaptations. Rights clearance is particularly important here. From my own experience as a former content creator (even though I only tested games myself, but one a day ;-), I know how quickly conflicts can arise here. A well thought-out contract not only regulates the direct use of the content, but also issues of secondary use, archiving and portfolio use. It is important to strike a fair balance between the interests of both sides.
International dimensions and crisis management
The creator scene knows no borders – and that is precisely what makes legal structuring so exciting. In my law firm, I experience every day how important a well thought-out international setup is. While certain advertising labels are sufficient in Germany, completely different rules apply in other countries. A contract must take these differences into account and remain practicable at the same time. Well thought-out crisis management is at least as important. I recently had a case where a creator made the headlines due to careless comments. Thanks to clear contractual regulations, the situation was resolved quickly and professionally. It’s not a question of bullying creators, but of setting clear guidelines for the collaboration.
Remuneration models in the creator economy
One topic that I encounter particularly frequently in my consulting practice is the legally compliant design of remuneration models. The days of flat-rate postal fees are long gone. A recent case from my law firm involved a complex performance-based remuneration model that took into account engagement rates and conversion metrics in addition to the basic payment. The legal challenge here often lies in the detail: How do you define “successful” performance? Which metrics are legally robust? As a former operator of JustGamers, I know how important transparent and comprehensible metrics are. In practice, combining different remuneration components has proven successful: A guaranteed basic fee that covers the basic services, supplemented by clearly defined performance bonuses. The measurement methods and billing periods must be precisely defined in order to avoid disputes later on.
Platform-specific features
The legal requirements vary considerably depending on the platform. Different rules apply on TikTok than on YouTube or Instagram. An example from my current consulting practice: A creator had run a successful campaign on TikTok, but then wanted to reuse the content on YouTube – without taking into account that the contractual usage rights were restricted on a platform-specific basis. For Instagram campaigns, for example, I always advise my clients to regulate the use of stories separately. The ephemeral nature of stories requires a different legal framework than permanent posts. With YouTube contracts, on the other hand, long-term use is a critical point: how long can a sponsored video remain online? What happens if the brand’s marketing strategy changes? I find the legal challenges of live streaming platforms such as Twitch particularly exciting. Here, the contract must be flexible enough to react to unforeseeable situations in the live setting, but at the same time set clear guidelines for the collaboration.
Documentation and compliance in practice
One aspect that is often underestimated is the legally compliant documentation of influencer campaigns. As a lawyer who has been advising digital companies for almost 20 years, I can only emphasize this: Good documentation is not bureaucracy, but protection for everyone involved. In my law firm, we have developed a three-stage system for this: Firstly, the basic documentation, which includes all key agreements and briefings. Building on this is campaign tracking, which makes the actual implementation of the agreed services comprehensible. And finally, a compliance log that documents adherence to legal requirements. The documentation of advertising labeling is particularly important here. A client from the beauty sector recently got into trouble with a consumer advice center, but was able to prove that all posts were correctly labeled thanks to complete documentation. This type of protection is indispensable today.
A look into the future
As someone who has witnessed the development of digital media from the very beginning, I would venture a prediction: the creator economy will continue to professionalize. New technologies such as metaverse, AI-generated content and blockchain will raise additional legal issues. This makes it all the more important to draft contracts that are future-proof and can adapt to new developments. A good influencer contract must do three things: offer legal security, be practicable and leave enough flexibility for creative development. As a lawyer with my own digital experience, I understand the challenges of the creator economy first-hand. Let’s work together to develop contract structures that suit your way of working and provide you with legal protection.
