Common use of Production Fee Clause in Contracts

Production Fee. On the first day of principal photography, the Producer shall pay each credited Writer contracted under this Agreement share of the Production Fee. In the case of a Documentary, on recording of final Narration, or at the fine cut if no Narration recording, the Producer shall pay to each credited Writer contracted under this Agreement share of the Production Fee (See Article for the division of the Production Fee.) This Production Fee shall be calculated on the basis of the Budget, as follows: If the is: The Production Fee is: plus of the Budget plus of the Budget in excess of plus of the Budget in excess of plus of the Budget in excess of of the Budget in excess of For a Budget in excess of million the Production Fee is negotiable, but the floor for such negotiation is Following is a table setting out examples of these payments: shall not be less than plus of plus of plus of In the case of a Series, the Budget for an episode shall be the Budget for that episode, or the total Budget for the Series, including amortized items, divided by the number of episodes in the Series. The option chosen by the Producer shall apply to the entire Series. If the Budget is expressed in a foreign currency, then the Production Fee shall be calculated at a conversion rate no less favourable to the Writer than the conversion rate set by the Producer’s bank within three business days prior to the start of principal photography. Script Fees paid to a credited Writer contracted under this Agreement may be deducted from share of the Production Fee to a maximum of the Writer’s share of the Production Fee but no other deductions of any kind may be made. In the event of a dispute as to the credits, the Producer shall on the first day of principal photography pay the maximum amount of the Production Fee the maximum amount payable to any and all based on any potential credit arbitration decision) due the to the Guild to be held in trust for such until a credit arbitration has been concluded. If there are credited Writers contracted under other guild agreements and not under this Agreement, the contracted under this Agreement shall be paid a share of the Production Fee and Distribution Royalty calculated as if all Writers were contracted under this Agreement, provided that the other guild agreement has been negotiated by a member of the International Affiliation of Writers Guilds Where the other credited engaged are not contracted under an Guild, then the credited contracted under this Agreement shall receive the following share of the Production Fee and Distribution Royalty: when the Writer has written element (e.g. Story, Treatment) when the Writer has written elements (e.g. Story and Rewrite, Rewrites) when the Writer has written elements when the Writer has written elements Should the Production Fee share based on writing credit as per Article exceed the above amounts the Writer shall receive the greater share of the Production Fee. Writers not contracted under this Agreement shall be paid in accordance with their own guild agreement individual contract. The Producer shall pay to the credited contracted under this Agreement (subject to Article a Distribution Royalty of three point two per cent (3.2%) of the total amount of the Distributors’ Gross Revenue less one hundred and thirty percent (130%) of the Budget in accordance with the provisions herein. x of Budget) Distribution Royalty payments shall be made at least annually. Distributors’ Gross Revenue shall mean all monies derived by the Producer, the Head Distributor sub-distributors, as provided below, in any manner whatsoever from the distribution of the production, including through the sale, license or other like means of distribution of the production and shall be calculated before or simultaneously with any other gross participants from first dollar, without deductions of expenses of any kind. For greater certainty:

Production Fee. On the first day of principal photography, the Producer shall pay each credited Writer contracted under this Agreement share of the Production Fee. In the case of a Documentary, on recording of final Narration, or at the fine cut if no Narration recording, the Producer shall pay to each credited Writer contracted under this Agreement share of the Production Fee (See Article for the division of the Production Fee.) This Production Fee shall be calculated on the basis of the Budget, as follows: If the is: The Production Fee is: plus of the Budget plus of the Budget in excess of plus of the Budget in excess of plus of the Budget in excess of of the Budget in excess of For a Budget in excess of million the Production Fee is negotiable, but the floor for such negotiation is Following is a table setting out examples of these payments: shall not be less than plus The Writers Guild of plus of plus Canada Independent Production Agreement (IPA) Page of In the case of a Series, the Budget for an episode shall be the Budget for that episode, or the total Budget for the Series, including amortized items, divided by the number of episodes in the Series. The option chosen by the Producer shall apply to the entire Series. If the Budget is expressed in a foreign currency, then the Production Fee shall be calculated at a conversion rate no less favourable to the Writer than the conversion rate set by the Producer’s 's bank within three business days prior to the start of principal photography. Script Fees paid to a credited Writer contracted under this Agreement may be deducted from share of the Production Fee to a maximum of the Writer’s 's share of the Production Fee but no other deductions of any kind may be made. C In the event of a dispute as to the credits, the Producer shall on the first day of principal photography pay the maximum amount of the Production Fee (i.e. the maximum amount payable to any and all based on any potential credit arbitration decision) due the to the Guild to be he held in trust for such until a credit arbitration has been concluded. If there are credited Writers contracted under other guild agreements and not under this Agreement, the The Writers Guild of Canada Independent Production Agreement (IPA) Page of contracted under this Agreement shall be paid a share of the Production Fee and Distribution Royalty calculated as if all Writers were contracted under this Agreement, provided that the other guild agreement has been negotiated by a member of the International Affiliation of Writers Guilds Where the other credited engaged are not contracted under an Guild, then the credited contracted under this Agreement shall receive the following share of the Production Fee and Distribution Royalty: when the Writer has written element (e.g. Story, Treatment) when the Writer has written elements (e.g. Story and Rewrite, Rewrites) when the Writer has written elements when the Writer has written elements Should the Production Fee share based on writing credit as per Article AI exceed the above amounts the Writer shall receive the greater share of the Production Fee. Writers not contracted under this Agreement shall be paid in accordance with their own guild agreement and/or individual contract. The Producer shall pay to the credited contracted under this Agreement (subject to Article a Distribution Royalty of three point two per cent (3.2%) of the total amount of the Distributors’ Gross Revenue less one hundred and thirty percent (130%) of the Budget in accordance with the provisions herein. x of Budget) Distribution Royalty payments shall be made at least annually. Distributors’ Gross Revenue shall mean all monies derived by the Producer, the Head Distributor sub-distributors, as provided below, in any manner whatsoever from the distribution of the production, including through the sale, license or other like means of distribution of the production and shall be calculated before or simultaneously with any other gross participants from first dollar, without deductions of expenses of any kind. For greater certainty:.