Policy Concerning Payments to Artists and Artist Shop Owners

POLICY CONCERNING PAYMENTS TO ARTISTS AND ARTIST SHOP OWNERS

By submitting Artwork to the Website and/or opening an Artist Shop, You authorize Threadless.com to display the Artwork, and to manufacture, sell and distribute products displaying your Artwork. You also authorize Threadless.com to collect and hold the retail price ("Retail Price") of all products displaying your Artwork that are purchased via the Website.

The Retail Price charged to customers who purchase products featuring Artwork includes the (i) manufacturing fees, (ii) Threadless.com’s fee for hosting the marketplace and/or Your Artist Shop, (iii) a processing fee for facilitating the transaction equal to 5% of the Retail Price (the manufacturing fees, Threadless.com’s fee and the processing fee are referred to collectively, and inclusive of tax, as the "Base Fee"), (iv) Your compensation (the "Artist Compensation"), (v) any relevant tax (such as GST, VAT, etc), and (v) shipping charges.

You authorize Threadless.com to deduct both (i) the Base Cost and (ii) any shipping charges from the Retail Price of the product(s) featuring your Artwork before distributing the remainder (i.e., the Artist Compensation and tax where relevant), to You. Unless you opt out of Managed Pricing, in no event will the Artist Compensation be less than 10% of the item’s sale price during promotional pricing events with the exclusion of skateboards. Skateboards minimum earnings are $2.50 per unit on items sold at retail price less than $50.00, $5.00 per unit between $50.00 and $99.99 and $10 per unit between $100.00 - $199.99.

On certain limited occasions Threadless may include the Artwork in miscellaneous items such as, without limitation, calendars or books that promote the Threadless brand or community, and You will not be owed or paid any royalties or payments for such use.

Timing and Method of Payment to Artists and Shop Owners. Payments will be made on a monthly basis, via PayPal. You are required to provide Threadless.com with Your PayPal account information. You will not be charged by PayPal for any payment made to You by Threadless.com. You alone are responsible for the payment of any tax that arises as a result of receiving any payment from Threadless.com, its subsidiaries, related companies, partners or licensors.

Threadless.com will not pay You for sales of any product that incorporates Artwork that violates the Terms of Use. For example, if Threadless.com discovers that Your Artwork infringes someone else's copyright or that You do not have the right to use the Artwork, Threadless.com reserves the right to reverse all payments for products featuring such Artwork, whether due or already paid.

Threadless Base Costs (not sold through Artist Shops or Marketplace). The prices for Artwork sold outside an Artist Shop are set by Threadless.com and are subject to change in Threadless.com’s discretion.

Artist Shops Base Costs. If you've opted out of Managed Pricing, you are responsible for setting your own prices at or above the provided Base Costs. In addition, there is no minimum Artist Compensation guaranteed to an Artist Shop Owner who has opted out of Managed Pricing.

Threadless Marketplace Base Costs (sold through Threadless). The prices for Artwork sold on the Threadless Marketplace, are set by Threadless.com and are subject to change in Threadless.com’s discretion. If there is a discrepancy regarding Threadless Marketplace Managed Pricing, Threadless reserves the right to apply the base cost deemed appropriate for the situation.

Find the full list of Base Costs for Threadless, Threadless Discover and Artist Shops in the POLICY CONCERNING PAYMENTS TO ARTISTS AND ARTIST   OWNERS of the Threadless.com Community Guidelines and Terms of Use.

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