PM “had a friend” to fill a biz-critical vendor role. Best bid. Sent contract with illegal fee structure, 4 page AI slop. I spent 2 days writing an industry- standard vendor agreement (favorable to us as, well, what else am I supposed to do when the vendor has next to no content). PM’s friend had a meltdown, absolutely blew up and walked away “I don’t do business like that.” PM embarrassed about the “friend”, CEO pissed at me for “killing it.” “Why didn’t you just do a call?!” Ugh

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This is where you very simply lay out in writing why the fee structure was illegal and why your alternative was the best course of action.

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is the friend a lawyer? if not, tell them to go F themselves. lay out the risks and tell the friend that they can go tell the feds about “not doing business that way” when they get arrested

Fee splitting

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What is an "illegal fee structure?"

Huh. You would think they could easily verify that and get over it.

If any of the interactions with PM/CEO are in writing I’d CYA and tell the exactly why you made those changes, aka it was illegal and the AI risks of proceeding were XYZ. Honestly if it was a large enough company I might just follow up with the email anyway for emphasis with how crazy some of the executives can be sometimes. Also if they’d be engaging with a “friend” of the person who’d be managing the relationship that is an ethics/compliance risk in my company so that aline would have flagged and potentially blocked the deal anyway…

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