Decisions · Layer 1
Should you use formal partner earn agreements
Use a formal earn agreement whenever a partner event creates points or liability. Define the qualifying event, evidence, rate, adjustments, settlement, and dispute owner before launch.
Use a formal earn agreement whenever a partner event creates points or liability. Define the qualifying event, evidence, rate, adjustments, settlement, and dispute owner before launch.
## The decision boundary An earn agreement translates partner activity into an authorised reward event. It needs a shared event definition, proof standard, calculation, refund treatment, data handoff, and dispute path.
## The options ### Fixed event agreement Choose this when the qualifying event is stable and easy to verify. The cost is additional operating complexity. ### Variable performance agreement Choose this when funding should follow measured outcomes. The cost is more measurement and exception handling. ### Manual settlement Choose this when the partner event is rare or bespoke. The cost is a stronger funding and review obligation.
## What it costs you The currency is liability, margin, engineering time, operating capacity, or member trust. In a hypothetical illustration, 2 points per dollar on 400 dollars of spend creates 800 points. At a hypothetical 1 cent value, that is 8 dollars of liability. Ten comparable cases therefore represent 80 dollars of stated value.
## How to decide 1. Name the behaviour or obligation the rule must control. 2. Identify the independent evidence that proves the event. 3. Price the member, operating, and liability cost of each option. 4. Choose the least complex control that protects the least reversible outcome. 5. Set the evidence that would cause a later review.
## What breaks The failure mode is a rule that measures its own success. Keep source evidence, eligibility, issuance, adjustment, and fulfilment separately observable. Revisit the recommendation when the balance has no meaningful value or the event cannot be independently verified.