compensation

Kill Fee

Definition

A predetermined payment owed to the creator if the brand cancels a project after work has already commenced. Kill fees compensate creators for time, resources, and opportunity costs incurred before cancellation.

For Creators

Always negotiate a kill fee before signing. Without one, you can turn down other work, create content, and then receive nothing if the brand cancels. A common structure is 25-50% of the total fee if cancelled before completion, 100% if content is delivered.

For Brands

A defined kill fee gives brands a clean exit ramp without ambiguity about what is owed. It prevents protracted disputes over partial work value and provides budget certainty for campaign cancellation costs.

⚠ Red Flag Warning

Contracts with no kill fee provision at all leave creators with no guaranteed payment upon brand cancellation—especially dangerous for long-form content like YouTube videos requiring significant production investment.

Sample Contract Language

In the event Brand cancels this Agreement after Creator has commenced production of any Deliverable, Brand shall pay Creator a kill fee equal to fifty percent (50%) of the total Compensation for such Deliverable. If a Deliverable has been fully produced and submitted for approval, Brand shall pay one hundred percent (100%) of the applicable fee.

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