On 8 May 1969 John Lennon, George Harrison, and Ringo Starr signed a contract formally appointing Allen Klein as The Beatles’ business manager.
Klein had informally been to the position on 3 February 1969, but it took three months for the contract to be drawn up and signed.
Gentlemen:We hereby appoint you as our exclusive business manager under the following terms and conditions:
I. Period: Three years
a) cancellable at the end of each year by either party giving three months written notice: and
b) cancellable by Apple if Allen Klein for any reason is no longer personally involved with the day to day details of running ABKCO.
II. Terms
a) 20% of the gross income received from any source during the currency of the agreement and 20% of all income whenever received as a result of all agreements signed during the currency of this agreement except as follows:
i) amount of any Beatle record royalties arising from all existing recording agreements, commission being payable only on amount of any increased royalty.
ii) Apple Records – 10% commission on gross receipts.
iii) Merchandising – 25% nett.
iv) Publishing by or on behalf of George Harrison and Richard Starkey – 10% only.b) Apple Records Inc. to pay for all future reasonable travel expenses and provide living quarters for all ABKCO personnel while in London, when travelling at our request.
c) Apple Records Inc. to pay for all reasonable travel and living expenses incurred by ABKCO to date.
d) Apple to deduct to David Platz commission on publishing from ABCO commission.
Very truly yours,
Apple Corps Ltd. on behalf of The Beatles and The Beatles Group of companies
Peter Howard of the legal firm Titmuss, Bainer & Wedd met Lennon at 3 Savile Row on this day. Lennon requested a change to the contract before signing, crossing out a clause stating “The above sets out our general understanding and is subject to forman agreements being prepared by our solocitors.” He added a line saying: “If these terms are agreed to, please sign below and our solicitors will draw up more formal agreements”, suggesting that this was not the final contract.
Howard then took the contract to Kinfauns, George Harrison’s Esher home. In the meantime, Klein had objected to Lennon’s amendment, and requested that the original clause be reinserted. Howard called Lennon from Kinfauns, and Lennon agreed to Klein’s request.
At around 11pm Howard visited Ringo Starr at his home in Elstead, where the drummer added his signature.