What Makes A Good Entertainment Contract
A quick guide to entertainment contracts
The entertainment industry is a dynamic and fast-paced environment where creativity meets business.
Whether you are an artist, a manager, a writer, or a producer (or really anything else), having a legal contract is crucial to protect your interests and ensure that everyone involved in the project is on the same page.
Now maybe you're here because you're not entirely convinced you need a legal contract or maybe you're confused about what needs to be in the contract… either way you’ve come to the right place!
Time and time again we have been asked the questions… “What exactly makes a good contract? What should I include in my next contract?” and plenty of other similar questions. So let's get to answering these great questions!
Well for starters let's talk about why you need a contract…
Why you need a contract
In the entertainment industry, legal contracts are an essential aspect of protecting the interests of all parties involved. A legal agreement is crucial in setting out the terms and conditions of the project and what is expected from each party involved.
Here are some reasons why having a legal contract in the entertainment industry is important:
Clarifies expectations and obligations
A legal contract outlines the expectations and obligations of each party involved in a project. This includes the scope of work, deadlines, payment terms, and intellectual property rights.
Without a legal contract, there can be confusion and misunderstandings, which can lead to disputes and potential legal action.
Protects intellectual property
Intellectual property is a valuable asset in the entertainment industry, and a legal contract can protect it. This includes copyrights, trademarks, and patents.
A legal contract can establish who owns the intellectual property and how it can be used. It can also prevent unauthorized use or reproduction of the intellectual property.
Reduces the risk of disputes
Disputes are a common occurrence in the entertainment industry, and they can be costly and time-consuming. A legal contract can reduce the risk of disputes by clearly outlining the terms and conditions of the project.
If a dispute does arise, the legal contract can provide a framework for resolving it, including mediation or arbitration.
Ensures fair compensation
Compensation is a significant aspect of any entertainment project, and a legal contract can ensure that all parties are fairly compensated. This includes payment schedules, bonus structures, and profit sharing.
A legal contract can also establish penalties for non-payment or breach of contract.
Provides legal protection
Finally, a legal contract provides legal protection for all parties involved in an entertainment project.
It can establish liability and indemnification clauses to protect against lawsuits and other legal actions. It can also establish the governing law and jurisdiction for any disputes that arise.
Yes, you need a contract and should certainly have one!
There are countless reasons why having a legal contract is essential and really no reasons as to why you wouldn't want one. So if you ever ask yourself “Should I have a contract for this” then the short answer is yes absolutely!
Now let's get into some types of entertainment contracts and what exactly should be included in them…
Popular types of entertainment contracts and what they include
Appearance Release
This entertainment contract is a legally binding contract between a production company and an individual who appears in a film, television show, or commercial. The agreement outlines the terms and conditions under which the individual's appearance may be used in production.
In addition to the terms of use, this contract also includes provisions for compensation, payment terms, and any other relevant details. The agreement outlines the amount and structure of the compensation to be paid to the individual for using their appearance in the production.
To learn more about appearance releases click here!
Composer Agreement
This entertainment contract is a legally binding contract between a production company and a composer that outlines the terms and conditions of their collaboration on a music project. The agreement sets out the scope of the work to be created, the payment terms, and the timeline for completion.
The agreement also specifies the number of music cues to be composed, the style and genre of music, and any revisions or changes that may be required. This contract also outlines the payment terms for the composer's services, including the compensation for the initial composition and any subsequent revisions or additional music cues.
To learn more about composer agreements click here!
Crew Services Deal Memo
This entertainment contract is a legally binding contract between a production company and a crew member that outlines the terms and conditions of their employment on a film, television, or commercial shoot. The agreement typically includes a Medical Release Waiver, which allows the production company to obtain medical treatment for the crew member in case of an emergency.
This contract sets out the crew member's responsibilities, including their role in the production, work schedule, and payment terms. The agreement also outlines the production company's responsibilities, such as providing equipment, transportation, and insurance coverage.
To learn more about crew services as well as medical waivers click here!
Featured Talent Agreement
This entertainment contract is a legally binding contract between a production company and an individual who appears in an unscripted television show, documentary film or audiovisual project. The agreement outlines the terms and conditions of the individual's participation in the project, including their compensation, payment terms, and other relevant details.
This contract sets out the individual's responsibilities, including their role on the show, work schedule, and any additional obligations, such as media appearances or interviews. The agreement also outlines the production company's responsibilities, such as providing equipment, transportation, and insurance coverage. It also includes provisions for compensation and payment terms.
To learn more about talent agreements click here!
Independent Contractor Agreement
This entertainment contract is a legally binding contract between a company or individual and an independent contractor. The agreement outlines the terms and conditions of the independent contractor's engagement, including the scope of services, payment terms, timelines, and other relevant details.
This contract typically covers various services, such as consulting, design, editing, web development, or other freelance work. The agreement sets out the specific services to be provided, the deadlines for completion, and the payment structure. This agreement is also a valuable reference document in case of disputes or conflicts that may arise during the engagement.
To learn more about independent contractor agreements click here!
Literary Option and Purchase Agreement
This entertainment contract is a legal document that gives a producer, production company, or studio the right to develop, shop, package, set up or produce a film based upon the screenplay, book or other literary work. The agreement grants the producer, production company or studio an exclusive, but temporary, right, (i.e. the option), but not the obligation, to purchase some or all of the copyright in the literary work at a pre-negotiated price.
This contract also sets out the purchase terms for the producer, production company, or studio to purchase all of the rights to the literary work once they know the project will be produced. The agreement outlines the rights to be acquired, the specified time period for the option, any extensions of the option period, and the purchase price. This agreement is a win-win for both the purchaser and the owner of the literary work.
To learn more about an option and purchase agreement click here!
Location Agreement
This entertainment contract is a legal document that outlines the terms and conditions for using a specific location for a film, television, or commercial shoot. This agreement is typically used when a production company wishes to use private or public property as a filming location.
This contract sets out the details of the location, including the address, owner's name, and contact information. The agreement also outlines the specific dates and times for the production, along with any restrictions or conditions for the use of the location. It also includes provisions for compensation, payment terms, and any other relevant details.
To learn more about location agreements click here!
Materials Release
This entertainment contract is a legal document granting a production company permission to use materials provided by a third party in a film, television, or commercial production. The materials could include photographs, artwork, music, sound effects, or other types of creative content.
This agreement sets out the terms and conditions for using the materials, including the duration, purpose, and any restrictions or conditions. The agreement also outlines the compensation, payment terms, and other relevant details. It also includes provisions for the protection of the intellectual property rights of the third party.
To learn more about materials release click here!
Music Licensing Agreement
This entertainment contract is a legal document that outlines the terms and conditions for using music in a film, television, or commercial production. The agreement is typically used when a production company wishes to use pre-existing music in their production rather than creating original music.
This agreement sets out the details of the music, including the title, composer, and performer. The agreement also outlines the specific use of the music, including the duration and purpose of use, along with any restrictions or conditions. It also includes provisions for compensation, payment terms, and any other relevant details.
To learn more about music licensing agreements click here!
Notice of Filming & Photography
This entertainment contract is a legal document that notifies the public and property owners that a filming or photography production will occur at a specific location. This notice is typically used for film, television, and commercial shoots in public places or private properties.
This contract sets out the production's date and time, the shooter's location, and the duration of the filming or photography. It also provides information on the type of production, such as the name of the production company and the nature of the shoot. It also includes provisions for the use of the images and footage captured during the production.
To learn more about filming and photography click here!
Production Services Agreement
This entertainment contract, also known as a PSA, is a legally binding contract between a production company and a service provider that outlines the terms and conditions of a production project. This agreement sets out the roles and responsibilities of the parties involved, the scope of services to be provided, payment terms, delivery schedules, and other relevant details.
This contract ensures that all parties involved in the production are on the same page and that the project is completed on time, within budget, and to the desired quality.
To learn more about production services agreements click here!
Shopping Agreement
This entertainment contract is a legal document that outlines the terms and conditions of a production company's efforts to sell or license a film or television project to a distributor or network. The agreement is typically used when a production company is seeking to sell or license their completed project to a third-party for distribution or broadcast.
This contract sets out the details of the project, including the title, genre, and target audience. The agreement also outlines the specific distribution or broadcast territories and the channels or platforms through which the project will be distributed or broadcasted.
To learn more about shopping agreements click here!
Showrunner Agreement
This entertainment contract is a legally binding contract between a production company and a showrunner for a television series. The showrunner is responsible for managing the show's creative direction and overall production, and the agreement outlines their roles, responsibilities, and compensation.
This contract typically includes provisions for intellectual property rights, creative control, and the showrunner's duties, such as writing, producing, directing, or overseeing other creative personnel. The agreement also outlines the length of the showrunner's engagement, payment terms, and any bonuses or incentives.
To learn more about showrunner agreements click here!
So, what makes a good, solid entertainment contract?
Simply put, having a legal agreement in place is a good start to having a solid contract. Having one that protects YOU and your partners and sets clear expectations is what you want in a contract and one that clearly defines that is what makes a good contract.
The content of the contract obviously differs as the type of contract changes, as you can see above in the different types of contracts. Typically a good contract is made by breaking down how the goal of a project will be met by each party involved, what the expectations are, if there are to be any long lasting rules involved such as confidentiality, and terms to protect each parties’ assets and intellectual property.
Pro tip:
You should avoid writing your own contracts. Not only is it time consuming but unless you are a lawyer you will likely make one or two mistakes. While they may be small mistakes when it comes to legal contracts, a small mistake can have huge ramifications…
Having a contract that is well written and looked over by a lawyer is best practice. A template design already created by a lawyer is oftentimes the most cost effective and used method. This saves you thousands of dollars on lawyer fees as well as gives you a template to work with in the future. Not to mention it has the quickest turnaround time which is a must in the entertainment industry!
Always have a contract in place…
We’ve said it once in this article and we will say it again: you need a contract! Protecting yourself, your partners, and your art whatever it may be is of the utmost importance in entertainment.
There are many different types of contracts used in the entertainment industry and depending on the goal, situation or people involved the contract and content inside will differ but it is always best practice to have a professionally designed contract in order to best safeguard yourself.
So next time you're working on a movie, licensing deal, photoshoot, or really just about anything else in the entertainment industry make sure that you are legally protected with a GOOD, SOLID contract!
Tags: Legal Agreements, Entertainment Contracts, Music Licensing, Film Production, Television Industry, Showrunner, Contract Importance, Creative Collaborations, Legal Protection.
DISCLAIMER: This entertainment contract is a legal document between the owner of a creative work and a producer that gives the producer an exclusive (usually) right to “shop” the work to production companies, studios, film distributors, networks, financiers, or literally any other type of backer for a limited period of time. This contract sets outlines the producer’s responsibilities, including the amount of time a producer has to shop the work, ownership rights, and the compensation the producer will receive if the work is sold. This contract also details the owner’s rights to approve any deal the producer has found for the work.