The Legal Business of the Film Industry It’s All About Money and Credit 11/9/2018 Paul D. Supnik supnik.com
Introduction Contracts/business law Copyright Defamation/privacy Labor law 11/9/2018
Agents, Managers and Lawyers Procure employment Managers Personal managers Advise and counsel Cannot procure employment Business managers Investment advisers CPA’s that pay your bills Lawyers Role can be important even at early stage 11/9/2018
Contracts Oral agreements Written agreements The cocktail napkin Don’t try to make a picture without them 11/9/2018
Special Features of Industry Contracts May be subject to union/guild agreements May prohibit injunctive relief against project May result in continuing obligations 11/9/2018
Types of contracts Producer and creative elements Director Writer Actors Director of Photography Music 11/9/2018
Other contracts Production financing Distribution 11/9/2018
Types of Payments Explicit Contingent Deferred On signing On commencement of principal photography Contingent If box office gross reported in Variety exceeds ______ dollars Deferred $_____ six months after general release 11/9/2018
“Profit” Definitions Profit, proceeds, contingent compensation Defined by contract Gross participants prevent existence of net 11/9/2018
Clearances E&O Insurance Title clearance Defamation and privacy Copyright Clips can break the budget 11/9/2018
Unions and Guilds For employees SAG/AFTRA DGA WGAw IATSE/NABET 11/9/2018
The Screenplay It all begins with the written word If it’s not on the paper, it won’t be on the screen Rights are acquired by: Options Purchase 11/9/2018
The option Time to exercise Extension periods Extension payments Exercise of option Role of agent 11/9/2018
Business effect of using public domain material Is it public domain? No proprietary position 11/9/2018
Organizations Film Independent (FIND) American Film Institute International Documentary Association IFTA FilmL.A. 11/9/2018
Distribution Presales Definition of the work What are the key elements Script Cast Director 11/9/2018
Distribution Territory Media and modes of exploitation Term Recoupable costs Delivery and delivery elements 11/9/2018
IFTA Trade association of producers, distributors and rights holders Sponsors AFM Promotes standardized distribution agreement and terms Long established international arbitration tribunal 11/9/2018