One of the unique aspects about contracting within the entertainment industry is the presence of various guilds, such as SAG-AFTRA, Directors Guild of America (DGA), and Writers Guild of America (WGA). Unlike a generic commercial agreement, an attorney practicing within this space needs to consider guild rules, as they may affect the terms of a deal.
Recently, in an effort to avoid a strike, the WGA and Alliance of Motion Picture and Television Producers (AMPTP) “reached a tentative agreement on a new three-year film and TV contract”. Among its changes are a “15% increase in Pay TV residuals, roughly $15 million in increases in High-Budget SVOD residuals, and, for the first time ever, residuals for comedy-variety writers in Pay TV.”
While the tentative agreement still needs to be approved by the WGA West’s board and WGA East’s council as well as ratified by the guilds’ members, these negotiations are significant because they will affect upcoming contracts within the entertainment industry. Furthermore, these negotiations may act as a barometer for the upcoming SAG-AFTRA contract negotiations.
To read more about the potential WGA strike visit:
http://deadline.com/2017/05/wga-strike-averted-tentative-deal-film-tv-contract-amptp-1202081121/
Ross A. Carbone, Esq. is New Jersey-based corporate and entertainment attorney.