A course co-production partnership can be highly profitable, but without proper legal protection, it can also lead to misunderstandings, disputes, and financial losses. Whether you’re working with an expert, a marketer, or an investor, having clear legal agreements in place ensures that everyone knows their rights, responsibilities, and revenue share.
In this article, we’ll cover the key legal steps you should take to protect yourself and your business when entering a course co-production partnership.
1. Why Legal Protection is Essential in Course Co-Production
A co-production partnership involves multiple parties collaborating on a single course, which means ownership, responsibilities, and revenue distribution must be clearly defined.
Legal protection helps to:
✅ Avoid Disputes – Prevent misunderstandings about roles, payments, and expectations.
✅ Clarify Ownership Rights – Determine who owns the course content, branding, and intellectual property.
✅ Secure Revenue Sharing – Define how profits and expenses will be split between partners.
✅ Protect Confidential Information – Ensure proprietary strategies and data stay private.
✅ Prevent Legal Liabilities – Reduce risks related to refunds, student complaints, and contract breaches.
💡 Pro Tip: It’s always better to set expectations in writing from the start rather than trying to fix problems later.
2. Draft a Clear Course Co-Production Agreement
The most important document in any partnership is a co-production agreement (also called a joint venture or collaboration contract).
Key Elements to Include in a Course Co-Production Agreement:
📌 Ownership & Intellectual Property (IP) Rights – Define who owns the course content, brand, and materials.
📌 Roles & Responsibilities – Clarify what each partner is responsible for (e.g., content creation, marketing, customer support).
📌 Revenue Sharing & Payment Structure – Outline how profits and expenses will be split and when payments will be made.
📌 Course Pricing & Sales Strategy – Establish how the course will be priced, sold, and promoted.
📌 Use of Branding & Trademarks – Determine who controls branding and whether both names/logos can be used.
📌 Contract Duration & Exit Plan – Define what happens if a partner wants to leave or the partnership ends.
📌 Dispute Resolution Process – Set guidelines for resolving disagreements without going to court.
💡 Pro Tip: Always have a lawyer review the agreement before signing to ensure it fully protects your interests.
3. Define Intellectual Property (IP) Ownership Clearly
One of the most common disputes in course co-production is who owns the content after the partnership ends.
Common Intellectual Property (IP) Arrangements:
✅ Joint Ownership: Both parties equally own the course and have the right to use and sell it independently.
✅ Exclusive Ownership by One Partner: One partner owns the course, while the other receives a percentage of sales for their contribution.
✅ Limited License Agreement: One partner grants the other a temporary right to use the content but retains full ownership.
💡 Pro Tip: If both partners contribute to content creation, a joint ownership agreement is usually the best option.
4. Establish a Transparent Revenue-Sharing Model
Since multiple people are involved in selling the course, it’s critical to define revenue distribution upfront.
How to Structure Revenue Sharing in Course Co-Production:
📌 Percentage Split: Common models include 50/50, 60/40, or 70/30, depending on contribution levels.
📌 Fixed Payouts: One partner receives a flat payment instead of a percentage of sales.
📌 Tiered Payments: Revenue splits change based on sales volume (e.g., 60/40 for the first 100 sales, then 50/50).
📌 Equity-Based Compensation: If a business entity is formed, partners own shares in the business instead of receiving direct revenue.
💡 Pro Tip: Use an escrow service or automated payment system (like Stripe Connect) to ensure transparent revenue distribution.
5. Protect Confidentiality with an NDA (Non-Disclosure Agreement)
An NDA prevents partners from stealing ideas, content, or business strategies and using them elsewhere.
Key NDA Terms to Include:
📌 Confidential Information Definition – What information is protected (e.g., marketing strategies, pricing, student data).
📌 Duration of Confidentiality – How long the NDA remains in effect (e.g., 2-5 years after the partnership ends).
📌 Consequences for Violating the NDA – Legal actions that will be taken if someone breaches the agreement.
💡 Pro Tip: Have all partners, employees, and freelancers sign an NDA before gaining access to sensitive information.
6. Set Legal Protections for Refunds and Student Complaints
Since co-produced courses are often sold through third-party platforms (e.g., Hotmart, Teachable, Kajabi), partners need to agree on:
📌 Who Handles Refunds & Chargebacks – Define whether one partner or both are responsible.
📌 Student Support Responsibilities – Clarify who answers student questions and manages community engagement.
📌 Legal Liability Protection – Use terms of service that limit liability for course outcomes.
💡 Pro Tip: Always have a clear refund policy written on the sales page to avoid disputes.
7. Plan for Partnership Exit Strategies and Conflict Resolution
Even successful partnerships may not last forever, so it’s important to plan ahead for how to dissolve the agreement if needed.
What to Include in an Exit Strategy:
📌 What Happens to the Course? – Does one partner keep it, or can both continue selling it separately?
📌 Buyout Clauses – Can one partner buy out the other’s share of the business?
📌 Dispute Resolution – Will conflicts be resolved through mediation, arbitration, or legal action?
💡 Pro Tip: Setting clear exit terms from the beginning prevents legal battles later.
8. Use a Business Entity to Protect Personal Assets
If your course generates significant revenue, it’s wise to form a legal business entity (LLC, partnership, or corporation) to:
✅ Separate personal and business assets
✅ Reduce tax liabilities
✅ Limit personal legal liability in case of lawsuits
💡 Pro Tip: Consult with an accountant or business attorney to choose the best structure for your partnership.
Final Thoughts: Securing Your Course Co-Production Legally
A legally protected course co-production partnership reduces risk, prevents disputes, and ensures fair revenue distribution.
By creating a strong contract, defining ownership rights, structuring revenue sharing, and planning for potential conflicts, you can build a successful, long-term partnership with confidence.