The photo assignment has been completed and the finished pictures and invoice have been sent to the customer. But for whatever reason, the customer’s plans have changed and they now want to reduce the usage or even cancel usage altogether.
Should you, the photographer, reduce the original license fee and send a new invoice?
Perhaps the customer originally requested a five-year license for some business portraits but their plans changed and now they want only a one-year license. Maybe the customer initially wanted a license for sales brochures and web use but now they’ve decided to go web only. Or perhaps the work included a license for magazine advertising but the customer cancelled their advertising campaign.
Some photographers will say the invoice should not be reduced. It’s the customer’s own fault that their plans changed.
But assuming the customer notified you soon after the assignment, (within X number of days mentioned in your contract), then it’s probably good business for you to reduce the licensing fee. But never reduce the photography fee or any production expenses.
Photographers should have a clause in their contract to deal with situations like this. Perhaps something simple like:
Adjustment of invoice amount or license terms must be requested within fourteen days of invoice receipt.
Or maybe more specific such as:
Should Customer require a reduction in the terms of license due to reduced usage of the Image(s), such request must be made within fourteen days of invoice receipt.
