Writer points on finished production?

CRProductions

CRProductions

Active member
Is it normal for a writer to get 15% of all profits if the person who hires them to write the script pays them 9k up front for it? Like does the writer become part owner of said script? This is all hypothetical of course, but this is what I've been told and I don't think it's correct.
 
It all depends what you agree upon. Generally, the writer in a situation like you describe is a writer for hire so whomever is paying the 9k is the "owner." As far as any back end goes, that is entirely up for negotiation. I wouldn't say it is "normal" for the writer to receive 15% of all profits UNLESS there is some overriding reason for him to do so...
 
Thank you Blaine, that's what I thought, this writer tried to cut this deal with me. He asked me for 4500 up front, 4500 after completion. And 15% of all future profits if I self produced the film..saying we were co-owners of the script, he also asked for 50% if I sold the script.

Seemed a little wrong and I wasn't feeling it, I feel if I pay you for the treatment/first draft/ all subsequent drafts, etc...then I should owe the film and not owe you any percentage of my profit, certainly not 15%
 
Well, while I agree 15% is quite steep it is wrong to say that you own the whole film and don't owe the writer even a small percentage. Depending on your budget, the writer does deserve some cut, even if it is just 1% or 2% after all without their work you wouldn't be making jack.
 
I agree, which is why I thought they were paid the 9k upon completion of the final draft right? I mean if the payment is deferred then I could see handing over a percentage to the writer. But if they are paid for their service then why give a percent as well?

Does the person/company responsible for building Wal-Mart get a percentage of everything Wal Mart sells as well? The film belongs to the buyer, and the money belongs to the writer, correct?
 
ConspiracyPenguin said:
Well, while I agree 15% is quite steep it is wrong to say that you own the whole film and don't owe the writer even a small percentage. Depending on your budget, the writer does deserve some cut, even if it is just 1% or 2% after all without their work you wouldn't be making jack.
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This is entirely negotiable, Nick. It's up to the parties involved (assuming we not talking WGA, here). It is a straight work for hire in this case. It's always nice to get a part of the picture but the producer in under no obligation to pony up points. In this case, he's paying up front (and upon completion) for something that may never actually get made. I guess I'm also figuring that this is a story the producer has come up with. Otherwise, it's really a spec script that is being "purchased" before writing starts. Points are going to depend a lot on the expertise and experience of the writer. Then again, on an indie production you're probably never going to see those points anyway...
 
Yes, it is the producers story where he is hiring the writer to turn it into a screenplay.

I know it's "nice" to give points to the writer, but honestly this business isn't about being "nice" handing over 9k and THEN handing over a percent of a movie that MAY be produced is really nice. Especially after dishing out nearly 10% of the films budget to the writer. Which is a HUGE compensation on ANY feature, especially to someone who isn't even in the WGA. What if the film only gets a 500k budget, then that writer just got 20%...plus points?? For all of that the writer should have a big enough name that it draws both TALENT, INVESTORS and DISTRIBUTION to the film. Am I right?
 
CRProductions said:
Especially after dishing out nearly 10% of the films budget to the writer. Which is a HUGE compensation on ANY feature, especially to someone who isn't even in the WGA. What if the film only gets a 500k budget, then that writer just got 20%...plus points??
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Check your math...9k is 10% of a 90k budget. 9k is not 20% of 500k...unless this some kind of NEW MATH that I'm not familiar with...:cheesy:
 
Many use the guild minimum, which is something like 50K for features, or 5% of the budget. There no standard though.

If you're profit-sharing, then attached yourself as a producer or make sure that your proceeds come before anyone elses.

Writers usually don't get points unless they're superstars or producers.
 
Blaine said:
This is entirely negotiable, Nick. It's up to the parties involved (assuming we not talking WGA, here). It is a straight work for hire in this case. It's always nice to get a part of the picture but the producer in under no obligation to pony up points. In this case, he's paying up front (and upon completion) for something that may never actually get made. I guess I'm also figuring that this is a story the producer has come up with. Otherwise, it's really a spec script that is being "purchased" before writing starts. Points are going to depend a lot on the expertise and experience of the writer. Then again, on an indie production you're probably never going to see those points anyway...
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This writer is in the position to negotiate whatever he wants. If he is a WGA member, he is somewhat operating within the confines / guidelines of the MBA. You may not simply be able to hire him and keep the work as if it is your original work.

The screenwriter, if he has no previous interest in the original work (e.g., original story, concept, novel, short story, article, life-story et-cetera), might be hired to write an adaptation or original screenplay.

If he does have some ownership of the original work (upon which the derivative work will be based), he should have an literary agent working with you and your attorney on his behalf. The fifteen point request does not sound like a standard option / development term.

He might have residual interest in this product and certainly has the right to negotiate for same.

The very best advice is to consult an entertainment attorney before you get too mired in negotiations or enter into an agreement (simpler isn't better in the option / purchase / work-for-hire arena) that might render the entire project untenable for legal reasons.

e
 
Erik Olson said:
This writer is in the position to negotiate whatever he wants. If he is a WGA member, he is somewhat operating within the confines / guidelines of the MBA. You may not simply be able to hire him and keep the work as if it is your original work.

The screenwriter, if he has no previous interest in the original work (e.g., original story, concept, novel, short story, article, life-story et-cetera), might be hired to write an adaptation or original screenplay.

If he does have some ownership of the original work (upon which the derivative work will be based), he should have an literary agent working with you and your attorney on his behalf. The fifteen point request does not sound like a standard option / development term.

He might have residual interest in this product and certainly has the right to negotiate for same.

The very best advice is to consult an entertainment attorney before you get too mired in negotiations or enter into an agreement (simpler isn't better in the option / purchase / work-for-hire arena) that might render the entire project untenable for legal reasons.

e
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Nothing there that I disagree with. :thumbsup:
 
Thanks Erik and Blaine!

Blaine, you're right my math was BAJABBLED there for a minute, that's what happens when you watch TV while typing.

But yea, I really wasn't interested in giving up points to the writer, since the story is mine, I SERIOUSLY wasn't interested in giving up 15% Not unless the writer's name is going to be getting investors and talent to attach.

I'd much rather spend 5k on a writer for my low budget feature, ya know?
 
CRProductions said:
Thanks Erik and Blaine!

Blaine, you're right my math was BAJABBLED there for a minute, that's what happens when you watch TV while typing.

But yea, I really wasn't interested in giving up points to the writer, since the story is mine, I SERIOUSLY wasn't interested in giving up 15% Not unless the writer's name is going to be getting investors and talent to attach.

I'd much rather spend 5k on a writer for my low budget feature, ya know?
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I know, I'm reading your samples but you sent me like 2mbs of work so it's taking me a little longer to get through them, lol!
 
15% is a pretty large piece of the pie. Honestly I don't think you will see 15% unless you write/produce or write/direct or write/act.

Most indie's never see a return either, so those points are worthless most of the time.
 
On the plus side, I won't ask for points and I won't expect to 'co-own' the script. If you pay for it, then you own it. You're free to change it, get someone else to rewrite it, or whatever you want to do.
 
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