Undercover agent writes me: Fully licensed agents under the ATA [Association Of Talent Agents] CAN NOT TAKE MORE THEN 10% of the Gross Talent Fee.

If the Agent can not get the producer or production company to pay the rate plus 10%. Then he or she is allowed to collect the 10% from the gross rate regardless if the producer or production company pays given rate without or with withholding taxes.

It is a severe breach of contract [against the law] in the Agents Licensing Agreement with the state of California to take more then 10% from the talent !

Regardless, if the agent is licensed. In order for the producer or production company to “directly” pay the Agent the talents fees a signed and witnessed “Payment / Check Authorization” must be attached to any form of invoice for payment.

Adult Agents touting the benefits of being licensed are NOT for the benefit of the talent but to more so protect the agent or agency, especially if the California Labor Board or any other local government department decides to look into the business practices of the representatives of talent within the adult industry.

A licensed talent agent or agency CAN NOT operate any other type business or function like being a Director, Producer, Writer, Production Company or Distribution Company even if said agent or agency uses another name. And said agent or agency can not operate their business from the same location as the Production or Distribution company.

So with all this being said. Currently ALL licensed Talent Agents or Agencies within the adult industry, in some area, are in violation of the ATA [Association Of Talent Agencies] licensing agreement with the State of California.