Hi Damian and Everyone!
I’ve got a question about managing deposits for gigs.
In early 2023, after 20 years of managing the band myself, we brought on a manager. Within 12 months, our manager brought in agents who now book bigger shows for us at higher pay rates.
We’re dealing with theaters that pay deposits by certain dates, and our agents hold these deposits in a trust. I understand that laws vary by state and country, but I hope to get some guidance here.
I’m in California, as is our agency, so our agreements follow California law.
Today, I followed up on a deposit due this week, which we need to buy plane tickets for our Chicago shows. The agency is now saying that they don’t release deposits until after the show is completed, but our contract doesn’t state this.
From what I found in: § 1700.25. Trust fund accounts; Disbursement of funds; Recordkeeping requirements
California law says agents can hold deposits minus commissions but must disburse funds to the artist within 30 days of receipt. I interpret “within” as any time inside 30 days, so we should be able to request it after that period.
Am I wrong here?
Any clarity from those with experience would be appreciated. As musicalamerica.com says:
“Always remember: nothing is “standard.” Agents and managers work for you, not the other way around. You have a right to ask for whatever terms and conditions you want. Of course, that doesn’t mean they have to agree, but being able to post questions and have your concerns respected and reasonably addressed, even if you don’t get the answers you want, is key to determining whether or not to pursue an agent relationship.”
Thanks for any insights!