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First Time Negotiating With Network
Hello Folks,
I am a fairly regular poster to this forum under a different name. I have some questions regarding a contract negotiation that I am engaged in, and felt it was best to post this question under an alias. You have all been at this a lot longer than I have, and I know that there is a lot of great advice to be found here.
I was the co-director, co-producer, executive producer (funded the film entirely out of my pocket) writer, director of photography and editor on a feature length documentary that premiered in last year. Since then, things have been going very strong for us as we’ve screened the film at local venues. A few months after the premiere, we received an email from a very high-profile cable network stating that they were interested in the US broadcast rights to our movie. Fast forward to this spring and we have an actual offer on the table. The very modest offer was for about 1/3 the average price of a new car for 4 years of exclusive non-standard TV rights, with a “hold” on broadcast rights. So, we’ll essentially be prevented from shopping the film to another TV outlet (broadcast, cable, satellite) for 4 years. The network sensed that their offer was too low and said the highest they could go was 1/2 the average price of a new car for the 4 years. The network is also looking to cut our film down to a broadcast hour (42 minutes), leaving over half of the film out of the broadcast. Despite the low offer, and the heavy editing for time, as young filmmakers, we felt that the power of the resume piece of having a nationally televised film would be beneficial. We also would still hold exclusive rights to Blu-Ray, DVD, and Internet On-Demand sales. We assumed we could attract buyers on those fronts, especially if they knew that there was still 45 minutes of the film they didn’t see on TV. This week, after our sales agent and attorney worked out the ins and outs of the contract terms, we were ready to sign the deal. Yesterday, we found out (prior to signing), that the network also plans to change the title of our work. Their desire to change the title sent up red flags for me, and I am now very suspicious as to what their plans are for our film. The contract essentially gives them full creative control of the piece, and even gives the right to incorporate elements of our film into a multi-episode series of some sort. Time and time again, the network has assured us that their only plans are to rework our film into a broadcast hour, and that they have no plans of re-inventing the wheel. However, the language of the contract still allows them to do, essentially, anything they want with our film once we sign. The questions I have are as follows:
Are we getting screwed on the money end of this? Is the money their offering over 4 years for a 91 minute feature a lowball offer?
Is the network’s plan to re-title the work a possible sign that their finished product will be a far cry from the original film?
As a young filmmaker should I sign this deal, take my lumps and hope that the next deal is a fair deal?
Thanks in advance for your advice!
Dennis
