The Independent Film Producer's Survival Guide:
A Business and Legal Sourcebook

 

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Contents

1. How to Use This Book
  1.1 The Third Edition
  1.2 Hollywood Studio Pictures
  1.3 Independent Pictures
  1.4 Micro-Budget Pictures
  1.5 Documentaries and Reality
  1.6 Made For Television

2. Deal Making
  2.1 Hollywood Deal Making
  2.2 Independent Film Deal Making
  2.3 Contracts
  2.4 Material Terms
  2.5 Oral Contracts
  2.6 Offer, Counteroffer, and Acceptance
  2.7 Forms of Paperwork
  2.8 Reliance Letters
  2.9 Short-Form Agreements
  2.10 Deal Memos
  2.11 Certificates
  2.12 Letters of Intent
  2.13 Formal Agreements
  2.14 Standard Terms
  2.15 Letter Agreements
  2.16 One-Sided Agreements
  2.17 Precedent

3. The Development Process
  3.1 Public Domain
  3.2 Copyright Reports
  3.4 Obtaining Rights
  3.5 Fact-Based Stories
  3.6 Satire and Parody
  3.7 Optioning Rights
  3.8 Writer Deals
  3.9 Copyright Registration and Recordation
  3.10 Titles

4. Getting The Star Elements
  4.1 The Pay-or-Play Offer Strategy
  4.2 The Empty Handed Approach
  4.3 Independent Divisions of Major Agencies
  4.4 Personal Managers
  4.5 Entertainment Lawyers
  4.6 Casting Directors
  4.7 Experienced Producers
  4.8 Directors
  4.9 Actor Production Companies
  4.11 Film Festivals, Film Workshops, Seminars and Grants

5. Private Money and Soft Money Pitfalls
  5.1 Private Funding
  5.2 Family and Friends
  5.3 Avoiding Equity Financing Pitfalls: "Show Me the Money"
  5.4 Soft Money
  5.5 Grants
  5.6 Production Assistance and Tax Incentives
  5.7 U.S. Federal Tax Incentives
  5.8 Tax Shelters
  5.9 Co-Production
  5.10 Key Film-Production Incentives
  5.11 Cash Rebates
  5.12 How Tax Credits Work
  5.13 Key USA State Incentives
  5.14 Key International Incentives
  5.15 Other Financing Sources
  5.16 Financing Sources
  5.17 Talent Fee Deferrals
  5.18 Producer Fee Deferrals
  5.19 Soundtrack Album
  5.20 Music Publishing
  5.21 Product Placement
  5.22 Conclusion

6. Presales
  6.1 The Producer's Representative ("Producers Rep")
  6.2 International Sales Agents
  6.3 International Sales Agents Deals
  6.4 Producer Fees
  6.5 Expenses
  6.6 Territory
  6.7 Sales Commissions
  6.8 Media
  6.9 Derivative Productions
  6.10 Term
  6.11 Guild Residuals
  6.12 Approval of Sales
  6.13 Form of Contracts
  6.14 Accountings
  6.15 Credit
  6.16 Delivery
  6.17 Escrow Collection Accounts
  6.18 Cutting Rights
  6.19 Marketing, Publicity, and Advertising
  6.20 Selling Spec Movies Before Completion to Domestic Distributors

7. Production Loans
  7.1 Entertainment Bankers
  7.2 Production Loans
  7.3 Key Terms in Production Loan Agreements
  7.4 Interest Rate
  7.5 Commitment Fees (Points)
  7.6 Opinion Letters
  7.7 Security Interests
  7.8 Loan Repayment
  7.9 Documentation


8. Setting Up the Production
  8.1 The Form of Production Company
  8.2 Sole Proprietorship
  8.3 Partnerships
  8.4 General Partnerships
  8.5 Joint Venture
  8.6 Limited Partnership
  8.7 Corporations
  8.8 Limited Liability Companies
  8.9 Business Accounting
  8.10 Independent Contractors or Employees
  8.11 Loanout Corporations
  8.12 Production Accounting
  8.13 Insurance
  8.14 Script Clearance
  8.15 Firemans Fund Clearance Procedures
  8.16 Production Checklist

9. Hiring Writers

  9.1 Certificates of Engagement

10. Hiring Directors
  10.1 Directors Guild of America
  10.2 Key Deal Terms in Director Deals
  10.3 Conditions Precedent
  10.4 Directors Services
  10.5 The Pay-or-Play and the Pay-and-Play Issue
  10.6 Directors Compensation
  10.7 Deferred Compensation
  10.8 Director Credit
  10.9 Credits on Non-DGA Films
  10.10 Approvals, Controls, Final Cut
  10.11 Suspension and Termination
  10.12 Effect of Suspension
  10.13 Effect of Termination
  10.14 Director�s and Producer�s Remedies
  10.15 Remakes, Sequels, Prequels and Television Productions
  10.16 Works Made For Hire; Waiver of Moral Rights
  10.17 Transportation and Expenses
  10.18 Publicity Services and Publicity Controls
  10.19 Insurance Coverage
  10.20 Videocassette, Laserdisc, and 35mm Print
  10.21 No Quote Deal/Confidentiality

11. Hiring Actors

  11.1 Actors
  11.2 The Screen Actors Guild
  11.3 The Star Deal
  11.4 Deal Terms
  11.5 Role
  11.6 Compensation
  11.7 Start Date
  11.8 The Work Period
  11.9 Credits
  11.10 Perquisites
  11.11 Dressing Facility
  11.12 Still Approvals
  11.13 Likeness Approval
  11.14 Merchandising/Soundtrack Album
  11.15 Commercial Tie-Ins and Endorsements
  11.16 Doubles, Dubbing, Outtakes & Nudity
  11.17 Premieres and Previews
  11.18 Videocasette, Videodisc/DVD, 35mm Print
  11.19 Insurance Matters
  11.20 Tax Matters
  11.21 Favored Nations

12. Hiring Producers and Other Production Personnel
  12.1 Producers
  12.2 Other Production Personnel
  12.3 Casting Directors

13. Releases and Miscellaneous Production Matters
  13.1 Film Permits
  13.2 Location Agreements
  13.3 Releases
  13.4 Personal Releases
  13.5 Crowds and Background Extras
  13.6 Prop Releases
  13.7 Using Clips
  13.8 Working With Animals

14. Music in Film
  14.1 Licensed Music
  14.2 Composers
  14.3 Music Income
  14.4 Other Composer Issues
  14.5 Theme Music
  14.6 Music Supervisors
  14.7 Soundtrack Albums

15. Selling Your Completed Independent Picture
  15.1 Film Festivals
  15.2 Industry Screenings: For Connoisseurs Only
  15.3 Distributor Screenings: Assembling the Troops
  15.4 Selective Private Screenings; What Distributors Do Alone in the Dark
  15.5 Recruited Audience Screenings: Do Your Research
  15.6 Sending Videotapes to Distributors and Sales Agents
  15.7 Publicity and Marketing; From Teaser to Pleaser
  15.8 Making the Deal: Read the Fine Print
  15.9 Administering the Deal: The Best Execution You’ll Ever Afford

16. Distribution, Sales Agency, and Licensing Agreements
  16.1 Key Terms in Domestic Distribution Agreements
  16.2 Picture Specifications
  16.3 Presentation, Company Credits
  16.4 Advance
  16.5 Bonuses
  16.6 Rights Granted
  16.7 Reserved Rights
  16.8 Security Interest
  16.9 Term
  16.10 Territory
  16.11 Prints and Advertising
  16.12 Delivery
  16.13 Assumption of Producers Obligations
  16.14 Gross Participation
  16.15 Participation After Deduction of Distribution Fees
  16.16 Distribution Expenses
  16.17 Sums Payable to Producer
  16.18 Access to Materials
  16.19 Collection Account
  16.20 Consultation / Approval Rights
  16.21 Cutting Rights
  16.22 Premieres / Festivals
  16.23 Accounting
  16.24 Additional Terms
  16.25 International Territorial Licensing Agreements
  16.26 Delivery
  16.27 Essentials
  16.28 Delivery Schedule Issues
  16.29 Made for Television

17. Digital Promotion, Marketing, and Distribution
  17.1 The Long Tail
  17.2 The Official Website
  17.3 Blogs
  17.4 Social Networking
  17.5 Viral Marketing
  17.6 Movie Websites
  17.7 Search Engines
  17.8 Building Awareness Before Your Project Is Produced
  17.9 Grassroots Marketing
  17.10 Selling and Distributing Your DVD Online
  17.11 Digital Distribution
  17.12 Developing the Plan and Goals

18. Key Issues in Online Distribution
  18.1 The Threshold Issue
  18.2 The Grant of Rights
  18.3 Exclusivity
  18.4 Territory
  18.5 Licensing Period
  18.6 Advertising and Promotion
  18.7 License Fee/Payment Terms/Audit
  18.8 Cross-Links
  18.9 Delivery of Materials
  18.10 Piracy/Unauthorized Playback & Duplication
  18.11 Protection of Intellectual Property
  18.12 Residuals & Contingent Payments
  18.13 Breach/Injunction
  18.14 Representations, Warranties and Indemnities
  18.15 No Sale Guarantees
  18.16 Conclusion

19. Profits
  19.1 Profit Definitions
  19.2 Revenue
  19.3 Costs
  19.4 Distribution Fees
  19.5 Financing Costs
  19.6 Production Costs
  19.7 Third-Party Profits
  19.8 Typical Splits of Profits
  19.9 Profits on Independent Pictures
 
20. The Last Scene and Closing Credits

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