Legal Term
Exclusivity Trap
Legal Definition
In influencer marketing agreements, an exclusivity trap is a contractual provision that restricts an influencer from collaborating with competing brands, often with overly broad or ambiguous terms regarding scope, duration, or competitor definition, which can lead to inadvertent breaches, financial harm, and reduced earning opportunities.
In Plain English
A sneaky contract term that stops you from working with other similar companies, which can hurt your ability to earn money if you don't understand it.
Example in a Contract
Influencer shall not, during the Term and for twenty-four (24) months thereafter, engage in any promotional activities for brands offering products that are 'similar' to those of the Company, with 'similar' defined solely by the Company's discretion and encompassing any product category the Company may enter in the future.
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