The CEO of Hooded Horse, the publisher of Manor Lords, contends that the agreements related to games infringe upon fundamental contract principles

The head of Hooded Horse, the publisher behind Manor Lords, Tim Bender, has expressed his views on traditional developer agreements, emphasizing that most of these contracts do not align with efficient contract principles.

In a conversation with PC Gamer, Bender criticized how publishing agreements often place developers at a disadvantage, highlighting that there is a significant imbalance in how risks and rewards are divided.

During his legal training, Bender learned that contracts should distribute risk to the party that can handle it best, reflecting on how this principle is often neglected. He stated, "Game publishing contracts typically infringe on the principles that make a contract efficient," further explaining that Hooded Horse strives for fairer terms.

In their agreements, Hooded Horse typically offers developers a 65% share of revenues, with exceptions when the publisher has invested in the game's development. Notably, their contracts include no recoupment clause, meaning they do not prioritize reclaiming their investments from the game's earnings.

Bender criticized common recoupment practices, labeling them as counterproductive. He remarked that some games, despite challenging starts, could thrive if not burdened by stringent recoupment terms, which often result in financial strain on developers.

Bender argued that publishers profit from successful games rather than recouping advances from those that underperform. Without such terms, developers have more motivation and resources to improve their work, ultimately benefiting all parties involved.

In the previous year, Bender articulated that Hooded Horse would refrain from collaborating with studios employing generative AI, describing the technology as detrimental to the industry.