Q: What to do ?

A: You are wise to check with an attorney before you sign anything that does not make sense. Generally, the person creating a video clip has an automatically-occurring copyright in that video. The automatic rights are harder to enforce or sell, but the maker of the video clip can register their rights in the official federal copyright process.

Selling the rights to a video clip may be straightforward, or it may not. A 60% / 40% split, as you mentioned, is sometimes offered in a way that results in very little money given to the seller. For example, a licensing agreement for the video might deduct production costs or might subtract a fee for the buyer to process the licensing payments. Further, the agreement might give the buyer permission to alter the video clip in ways that the seller does not approve.

Contact an attorney that offers copyright services. The licensing agreement can be interpreted and explained. It is a good investment to make sure you are making life better, not worse, by signing the papers.

This is general commentary on situations like the one described, not advice specific to your situation.

A: You should consult an attorney to register the copyright in the work, and to represent you in the licensing transaction.

The licensing deal should acknowledge your ownership and provide for a periodic accounting of revenue so that you can be assured of proper payment.