Animation Contract Guidelines Introduction Now that the 2006-2008 ...
Animation Contract Guidelines Introduction Now that the 2006-2008 ...
Animation Contract Guidelines Introduction Now that the 2006-2008 ...
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1<strong>Animation</strong> <strong>Contract</strong> <strong>Guidelines</strong><strong>Introduction</strong><strong>Now</strong> <strong>that</strong> <strong>the</strong> <strong>2006</strong>-<strong>2008</strong> Independent Production Agreement (“IPA”) is in place, <strong>the</strong>WGC is offering <strong>the</strong> following guidelines to animation writers and <strong>the</strong>ir agents toassist <strong>the</strong>m with negotiating <strong>the</strong>ir contracts. These contract guidelines are <strong>the</strong>result of extensive statistical ga<strong>the</strong>ring and analysis of hundreds of WGC<strong>Animation</strong> contracts from <strong>2006</strong>, and consultation with eperienced WGC staffwho deal with animation contract issues.In <strong>the</strong> IPA <strong>Animation</strong> Section, <strong>the</strong> writer and producer negotiate <strong>the</strong> applicable fee foreach script. Since writers and agents frequently ask for some assistance indetermining <strong>the</strong> appropriate fees, until such time as minimum fees for animation areagreed on in future collective bargaining, <strong>the</strong> following will serve as <strong>the</strong> Guild’sguidelines for individual negotiations.If all writers begin negotiating to <strong>the</strong>se rates (or better!) as a minimum standard, it willreduce <strong>the</strong> current very wide spread in animation script fees. It means more writerswill be making similar amounts for <strong>the</strong> same work (i.e. a half-hour script) and will help<strong>the</strong> WGC to argue for minimums when we bargain <strong>the</strong> next IPA. We will be able tosay, “These are <strong>the</strong> rates <strong>that</strong> <strong>Animation</strong> writers are consistently working for and <strong>that</strong>producers are already paying. There’s no reason not to enshrine <strong>the</strong>m in <strong>the</strong>agreement.”Apart from rates, <strong>the</strong>re are o<strong>the</strong>r items in <strong>the</strong> <strong>Animation</strong> Section <strong>that</strong> require your oryour agent’s attention. They will also be addressed below and are just as importantboth to you and <strong>the</strong> way you work, and to all <strong>Animation</strong> writers collectively, when <strong>the</strong>WGC can go to <strong>the</strong> bargaining table and say “<strong>the</strong>se are <strong>the</strong> terms writers are workingfor, and <strong>the</strong> animation producers consistently agree to <strong>the</strong>m.”Should you or your agent wish to depart significantly from <strong>the</strong> guidelines pleaseconsult with <strong>the</strong> Guild.1. Rates – Payment for delivery of material plus usea) ScriptsThe following are suggested rates for scripts of different standard lengths, based onstatistical data ga<strong>the</strong>red by WGC staff from all animation contracts issued under <strong>the</strong>A Member of <strong>the</strong> International Affiliation of Writers Guilds366 Adelaide Street WestSuite 401Toronto, Ontario M5V 1R9Tel 416 979-79071-800-567-9974Fax 416 979-9273info@wgc.cawww.wgc.ca
2IPA in <strong>2006</strong>. This is considered a fee for all use, unless you negotiate differently inyour own contract.ScriptLength30 minutes 15 minutes 10 minutes Special (45to 60 mins)Feature (75mins +)median $7,500 $3,750 $3,000 $25,000 $55,230high $56,000 $8,500 $3,750 $31,000 $70,000b) BiblesBible (30 min)median $5,000high $6,500In negotiating your bible contract (or script contract, though this is less common),don’t forget to think about <strong>the</strong>se o<strong>the</strong>r items, even if <strong>the</strong> bible contract doesn’t fallunder <strong>the</strong> IPA:i) guaranteed engagement as showrunner or in <strong>the</strong> story department, and aguaranteed number of episodes to writeii) if you are creating <strong>the</strong> characters ra<strong>the</strong>r than developing a show from an existingbook, toy, or o<strong>the</strong>r property, a consideration for <strong>the</strong> merchandising based on thosecharacters.iii) a merchandising royalty if you’re contributing original elements to a show basedon an existing property (i.e. storybooks based on your scripts)iv) a series or character royalty payable to you for every produced episode of <strong>the</strong>series based on your bible or characters (this is often a flat amount, ra<strong>the</strong>r than apercentage of revenues). Even a royalty of $1,000 an episode can really add up over<strong>the</strong> life of a series.v) A format royalty if <strong>the</strong> format of your show is used to create ano<strong>the</strong>r show specificto ano<strong>the</strong>r country, but in <strong>the</strong> model of your show.vi) your entitlement to a “Created by” or “Developed for television by” credit on everyepisode2. Writing CreditsAll of <strong>the</strong> credit terms and forms of credit used in <strong>the</strong> live-action IPA (i.e. Written by orStory by combined with Teleplay by, etc.) now also apply in <strong>the</strong> <strong>Animation</strong> Section.Advise <strong>the</strong> WGC promptly if you encounter any variation from <strong>the</strong>se regulated credits.A Member of <strong>the</strong> International Affiliation of Writers Guilds366 Adelaide Street WestSuite 401Toronto, Ontario M5V 1R9Tel 416 979-79071-800-567-9974Fax 416 979-9273info@wgc.cawww.wgc.ca
33. <strong>Animation</strong> CopyrightOne of <strong>the</strong> major gains in <strong>the</strong> 2003-2005 CFTPA and APFTQ IPAs was <strong>the</strong> retentionof copyright in <strong>the</strong> <strong>Animation</strong> Script. Previously, in <strong>the</strong> 2000-2002 IPA (<strong>the</strong> first tocover animation) <strong>the</strong> <strong>Animation</strong> writer gave up copyright in <strong>the</strong>ir script material to <strong>the</strong>Producer, but <strong>that</strong> is no longer <strong>the</strong> case.The producer does not need copyright in <strong>the</strong> script to make and market <strong>the</strong>production. It’s important for you to keep copyright because many secondary usemonies require <strong>the</strong> writer keeping copyright in <strong>the</strong>ir script in order to get <strong>the</strong>semonies. The parties at <strong>the</strong> bargaining table agreed to <strong>the</strong> writer’s retention ofcopyright in <strong>the</strong> <strong>Animation</strong> Section in Article 801. Article 801 in <strong>the</strong> IPA reads:801 “The Producer acknowledges <strong>that</strong> <strong>the</strong> <strong>Animation</strong> Writer is <strong>the</strong> owner of copyrightin <strong>the</strong> Script Material.”That is a minimum term of <strong>the</strong> agreement, and like any minimum term, cannot bewaived. (See Article 108 of <strong>the</strong> <strong>Animation</strong> Section.)Even under <strong>the</strong> new IPA, however, you may still see a draft contract with <strong>the</strong>copyright in <strong>the</strong> script being assigned to <strong>the</strong> producer. This may be due to productioncompanies continuing to use <strong>the</strong>ir old contract templates, for whatever reason. Donot sign any animation contracts with an assignment of copyright. It is, ineffect, signing for less than a minimum term (a violation of WGC working rules on <strong>the</strong>member’s part), and <strong>the</strong> WGC <strong>the</strong>n has to attempt to get <strong>the</strong> producer to amend <strong>the</strong>contract. This is much more difficult to pursue after <strong>the</strong> fact than if <strong>the</strong> clause werenot in <strong>the</strong> contract in <strong>the</strong> first place. It is also important for <strong>the</strong> collection ofsecondary use monies <strong>that</strong> <strong>the</strong> copyright be retained in <strong>the</strong> contract, ra<strong>the</strong>r thanrelying on “<strong>the</strong> IPA will override it” if <strong>the</strong> producer does not comply with amending <strong>the</strong>contract.Article 803 in <strong>the</strong> <strong>Animation</strong> SectionArticle 803 of <strong>the</strong> <strong>Animation</strong> Section reads:803 “Nothing in this Section limits <strong>the</strong> <strong>Animation</strong> Writer and Producer fromnegotiating alternative division of rights with respect to copyright in <strong>the</strong> Script Materialto <strong>that</strong> described in 802 above.”Some producers have attempted to use Article 803 to take back <strong>the</strong> copyright <strong>that</strong>has been retained by <strong>the</strong> writer in Article 801. However, Article 803 does not modifyA Member of <strong>the</strong> International Affiliation of Writers Guilds366 Adelaide Street WestSuite 401Toronto, Ontario M5V 1R9Tel 416 979-79071-800-567-9974Fax 416 979-9273info@wgc.cawww.wgc.ca
4Article 801 in which <strong>the</strong> writer keeps copyright, only Article 802. Article 802 is <strong>the</strong>clause <strong>that</strong> speaks to <strong>the</strong> licensing (not an assignment) of copyright to <strong>the</strong> producer.Therefore, Article 803 can only be used for an alternative division of licensing ofcopyright, not ownership of copyright. It may be used, for example, to reservecertain additional rights for <strong>the</strong> writer, ra<strong>the</strong>r than grant <strong>the</strong> broad range of rights <strong>that</strong>are currently licensed in 802. Such an alternative division of rights would constitutemore favorable terms for <strong>the</strong> writer than <strong>the</strong> minimum terms, and is allowed under <strong>the</strong>IPA. Watch all draft contracts for <strong>the</strong> use of Article 803 to take <strong>the</strong> copyright in <strong>the</strong>script for <strong>the</strong> producer, and do not sign contracts with <strong>the</strong>se terms. Most producersare not attempting this, however <strong>the</strong> odd producer still might.In <strong>the</strong> IPA, <strong>the</strong> copyright provisions of <strong>the</strong> <strong>Animation</strong> Section are reinforced by Article807 which speaks to Secondary Use Payments, and ends with:“…and <strong>the</strong> <strong>Animation</strong> Writer shall retain copyright in <strong>the</strong> Script Material for suchpurpose.”The Canadian Screenwriters Collection Society (CSCS) collects secondary usemonies on behalf of screenwriters and we encourage all WGC members to join CSCSin order to receive any monies due to <strong>the</strong>m. There is more information on CSCS atthis link: http://www.wgc.ca/cscs/home.html.4. Story EditingThe vast majority of <strong>Animation</strong> Story Editing contracts provide fees per episode. Thisis not as much <strong>the</strong> case in live-action, where Story Editing contracts are morefrequently for fees paid per week or day. Fees by <strong>the</strong> episode mean <strong>that</strong> <strong>the</strong> StoryEditor could spend weeks rewriting one episode (with endless notes constantlycoming in from multiple co-producers or broadcasters, since animation is frequentlyinternationally co-produced and pre-licensed to many outlets). And for all this work,<strong>the</strong> Story Editor receives <strong>the</strong> one per-episode story editing fee, instead of additionalfees for <strong>the</strong> additional weeks you have to work on <strong>the</strong> script. This practice harksback to <strong>the</strong> days of “payment on acceptance” thinking, before <strong>Animation</strong> came under<strong>the</strong> IPA.Seriously consider negotiating your Story Editing contracts with a time-based fee(weekly, or even daily, if it’s a short tem gig) ra<strong>the</strong>r than an episode-based one.A Member of <strong>the</strong> International Affiliation of Writers Guilds366 Adelaide Street WestSuite 401Toronto, Ontario M5V 1R9Tel 416 979-79071-800-567-9974Fax 416 979-9273info@wgc.cawww.wgc.ca
55. Digital Content (webisodes, mobisodes, etc.)Additional script material you write for <strong>the</strong> internet or cellphones, or o<strong>the</strong>r digital useshould be covered by an additional contract. Fees in this area remain negotiable.Consider negotiating a first right to be engaged for such additional material.Animated digital content defaults to <strong>the</strong> <strong>Animation</strong> Section, as opposed to Section F –Digital Production. The Digital <strong>Guidelines</strong> developed by <strong>the</strong> WGC can still be used asa guide to negotiating rates for this work, even though it may be animated. Contact<strong>the</strong> WGC if you haven’t received a copy, or find <strong>the</strong>m athttp://www.wgc.ca/members_only/bulletins/digitalwriting.html.7. Signatory StatusRemember <strong>that</strong> production companies become signatory to <strong>the</strong> IPA on a per-projectbasis. Check with <strong>the</strong> WGC office before you sign your contract to make sure <strong>that</strong><strong>the</strong> producer has signed on for your show. O<strong>the</strong>rwise, you may be signing a nonunioncontract, which is a violation of your WGC membership.8. Non-membersAgents representing animation writers are reminded <strong>that</strong> non-members hired by asignatory producer also fall under <strong>the</strong> IPA now, along with members.As always, if you have any questions, please don’t hesitate to contact <strong>the</strong> appropriateagreement administrator, or Laurie Channer, or Christine Ru<strong>the</strong>rford at <strong>the</strong> WGC.Writers Guild of Canada366 Adelaide St. West, Suite 401Toronto, ON M5V 1R9Canada1-800-567-9974 or (416) 979-7907www.wgc.caA Member of <strong>the</strong> International Affiliation of Writers Guilds366 Adelaide Street WestSuite 401Toronto, Ontario M5V 1R9Tel 416 979-79071-800-567-9974Fax 416 979-9273info@wgc.cawww.wgc.ca