Date: 2012-10-06 09:40 pm (UTC)
As a professional contractor, I cannot tell you how often I am approached with "free" project ideas and work. Every week, just about.

The big mistake here was agreeing to work for a company that had no room for budget. The entire model of "percentage of sales after finished product" is one that generally fails. There are times when it's appropriate, even fun, to work on projects...but it sounds like you didn't do enough research on this "company" before you leaped headfirst. If these are not trusted friends, or even adults, I would have backed off immediately. This is not meant as an offense, it is simply a mistake made often by those just dipping into this line of work.

You are not under contract or obligation to continue. You have not signed over any rights to this company of work you've done, and I believe you still retain all IP until you officially sign it over. I could be wrong however. There are such things as verbal agreements that can hold. But I have a feeling this 'company' of minors won't be coming after to you in court. So I don't see a threat.

Simply tell them you don't have time to dedicate to a non paying job, and that you have other opportunities elsewhere. It's not rude, or even wrong, to decline work like this. You are not "for hire" because you aren't being hired or even paid. You donated time and volunteered your efforts to a fruitless endeavor basically.

I would give them the pixel art for free, unless you have use for the image I wouldn't fight over it as you did go into this entire project with hopes or working for them in some light. It'd be polite to let them keep the work you did do, out of courtesy and might make parting even easier for them as they will probably be upset that you're dropping it.

----

Don't get me wrong, I really love working with young artists but generally I would not ever go into an agreement without first knowing every little detail about the company. (if they are a company? do they have a license? Or are they a makeshift studio?) Ask for website details, work history, budget...all that good stuff, before jumping in. Hope it works out!
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