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Jul 20, 2019 · Distribution agreements come in many flavors, and it is important to know what type of agreement is in question before analyzing any given issue. The various types of distribution agreements are ...
Dec 8, 2023 · Distribution agreements create a relationship between the licensor and licensee with many opportunities for ambiguity and disputes. More important than the written agreement is the character of ...
In these agreements, the distributor – typically a major film studio or a Video on Demand (VOD) company – commits to purchasing the finished film for a pre-agreed, fixed price upon its delivery. This arrangement provides a clear financial target for the producers and a secured distribution path for the film.
A film distribution agreement is a thorough contractual framework governing the relationship between a filmmaker or production company and a distributor. It outlines the terms and conditions defining the rights, responsibilities, and expectations of each party in the distribution and exploitation of a film. The agreement includes key components ...
- Written & Verbal Inconsistencies
- Lack of Clarity
- Commissions and Expenses
- Sales Agency and Distribution Agreements – Lack of Obligations
- No Provision to Get Details
- Lack of Balanced Rights and Risk
It may be deliberate, or not, but the draft agreement you’re being asked to sign doesn’t always match what you’ve been told. Even though the sales agent made a statement, even a promise, doesn’t mean the agreement you’re being asked to sign is consistent with those prior statements. A simple example: if you’re told you’re getting an “advance” (i.e....
A key purpose of having an agreement is to clearly define your rights and obligations, and the rights and obligations of the sales agent. Pay close attention to provisions relating to what rights the sales agent is acquiring, where, and for how long those rights can be exploited. As a producer, you may wish to limit the rights to a specified term (...
The formula used to determine how much money you keep from sales made by the sales agent on your behalf is likely to be “gross revenue” less the sales agent’s commission (typically a percentage of the sale) and expenses. Without a clear definition of commissions and expenses, you may never get paid anything. For example, if you sign on with a sales...
What do you want the sales agent to do? Spend money on marketing and promotion? Attend specific trade shows? If they aren’t willing to put their verbal commitments in writing, maybe they actually aren’t going to do anything more than add the project to their catalogue and wait for buyers to contact them. Whether a sales agent is going to put your c...
The sales agent must have an obligation to provide you with details about their sales, collections and calculations of your share. They typically provide that report quarterly, with a cheque for any amount owing to you. Make sure that you have the right to audit their numbers.
There are a variety of “general” agreement terms, from representations to indemnities, which are found in all types of agreements. Just because they’re commonplace, doesn’t mean the terms you’re reading were drafted reasonably. Ensure that: a) you can terminate the agreement and get your content back if the sales agent isn’t promoting your content,...
Oct 28, 2024 · A distribution agreement is the most common and essential document of film distribution. It lays out the rights granted to the distributor, territories covered, revenue-sharing terms, and the distributor’s obligations regarding marketing, promotion, and advertising. These agreements can be global or limited to specific regions.
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Aug 10, 2021 · Pre-sale distribution agreements, sometimes referred to as pre-sale financing, involves the creation of a distribution agreement. In which the distributor agrees to purchase the film for distribution when complete in exchange for cash upfront to provide for production. Generally a completion bond or guarantee is necessary to seal the deal.
