Contracts don’t need to be scary, but they do need to protect you. Whether you're a freelancer signing on to a big project or a creative studio issuing your own master services agreement (MSA), there are a few common clauses that can quietly create big problems.

At Counsel Club, we see these five red flags show up all the time, and we’re here to help you spot (and fix) them before they become expensive headaches.

1. "Work Made for Hire" That’s Way Too Broad

The phrase "work made for hire" sounds official, and it is since it is established under Federal Copyright laws. But if it’s not used or defined correctly, you might accidentally give away rights to more than just the project deliverables. We’ve seen contracts try to sneak in claims over tools, templates, and even your creative process.

Watch for:

• Language in the intellectual property clause that claims ownership over any work you create during the project and is not limited to specific deliverables you are providing
• Language in the intellectual property clause that captures all raw images or drafts. For example, if you're creating a logo, the client should own the finally selected logo, not all of the prior iterations.
• Clauses that say the client owns anything you do in connection with the services or agreements, without limiting it to the specific deliverables.

Fix it: Make sure your IP language is limited to what’s actually being delivered, and paid for (i.e., "final deliverables"). Also, make the client owns none of the IP until it's fully paid for. Our Counsel Club forms provide that IP is not transferred until you get the full fee. This is the ultimate protection for freelancers and studios.

2. Unlimited Revisions or Undefined Scope

Scope creep is real, and your contract should help you prevent it. If there’s no cap on revisions or no clear definition of what's included, you’re setting yourself up for endless edits and frustrated boundaries.

Watch for:

• Vague promises like “until the client is satisfied” or until "final acceptance" by the client, without setting out the number of revisions for each phase
• No specific list of deliverables or timelines

Fix it: Define what’s included, how many rounds of revisions are allowed, and what triggers an out-of-scope change (and what you get paid for it). Counsel Club MSAs have all of that built right in.

3. Payment Terms That Leave You Hanging

You did the work, now you’re waiting 45, 60, maybe even 90 days to get paid. No thanks. Long payment terms, late payment penalties that don’t exist, and vague invoicing language can all impact your cash flow.

Watch for:

• Payment due “on approval” instead of by a fixed date
• Net 60+ payment terms for freelance work
• Onerous payment terms that require you to provide detailed invoices or other administrative hurdles to get paid
• No mention of late fees or penalty interest for nonpayment

Fix it: Push for Net 15 or Net 30 terms, and always include late fees to protect your time. Ideally, some portion of the fees are due as a deposit up front before you even start the work.

4. Indemnity Clauses That Put All the Risk on You

Indemnification means covering someone else’s losses. And while it’s normal to see mutual indemnity clauses, some MSAs make the freelancer bear all the risk, even for things beyond your control.

Watch for:

• One-sided indemnity clauses where only you have to cover claims
• Vague or broad language about “any and all claims or damages” without limiting it to a specific type of claim (say your breach of the agreement or gross negligence)

Fix it: Make sure indemnity is mutual, limited in scope, and doesn’t hold you responsible for things like the client’s misuse of your work. Amicus can help you narrow down the indemnity clause to be appropriate for the situation.

5. Termination Clauses Without a Safety Net

What happens if the client ghosts you halfway through a project? Or decides to pull the plug? If your contract doesn’t outline what happens on termination, especially around payment, you might be out of luck (and money).

Watch for:

• Termination without cause meaning the client can terminate “at any time for any reason” with no payment guarantees or on limited notice (like 10 days)
• No mention of how much you’re owed for work done to date

Fix it: Include a “kill fee” (can be a set $$ fee or a percentage of the total project) or payment for work completed up to the point of termination, and require written notice. For some projects, we think it's appropriate that clients should simply not be allowed to terminate without cause.

The Bottom Line

Freelance and master services agreements don’t have to be intimidating — but they do need to protect you. If you’re unsure about what’s in your contract (or what’s missing), Counsel Club can help.

We offer customizable, lawyer-approved templates and the ability to tweak your contracts using Amicus, our smart legal assistant. You don’t need to go it alone — or go broke trying to get it right.

→ Need a second set of eyes on your MSA? Join Counsel Club today and take the guesswork out of your contracts.