1. The Legal Business of the Film Industry
It’s All About Money and Credit
11/9/2018
Paul D. Supnik
supnik.com

2. Introduction Contracts/business law Copyright Defamation/privacy
Labor law
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3. 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
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4. Contracts Oral agreements Written agreements The cocktail napkin
Don’t try to make a picture without them
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5. Special Features of Industry Contracts
May be subject to union/guild agreements
May prohibit injunctive relief against project
May result in continuing obligations
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6. Types of contracts Producer and creative elements Director Writer
Actors
Director of Photography
Music
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7. Other contracts
Production financing
Distribution
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8. 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
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9. “Profit” Definitions Profit, proceeds, contingent compensation
Defined by contract
Gross participants prevent existence of net
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10. Clearances E&O Insurance Title clearance Defamation and privacy
Copyright
Clips can break the budget
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11. Unions and Guilds For employees SAG/AFTRA DGA WGAw IATSE/NABET
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12. 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
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13. The option Time to exercise Extension periods Extension payments
Exercise of option
Role of agent
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14. Business effect of using public domain material
Is it public domain?
No proprietary position
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15. Organizations Film Independent (FIND) American Film Institute
International Documentary Association
IFTA
FilmL.A.
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16. Distribution Presales Definition of the work What are the key elements
Script
Cast
Director
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17. Distribution Territory Media and modes of exploitation Term
Recoupable costs
Delivery and delivery elements
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18. IFTA Trade association of producers, distributors and rights holders
Sponsors AFM
Promotes standardized distribution agreement and terms
Long established international arbitration tribunal
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