DealFatigue
type: channel
description: The landscape of the entertainment business and deal making culture
date: 2019-11-19T07:49:52Z
update period: hourly
update frequency: 1
update base: 2000-01-01T12:00+00:00
generator agent: https://wordpress.org/
items: Reflecting On Oscar
items: The Win-Win Deal-Making Fallacy
items: What It Takes
items: Pride of Ownership
items: Phoning It In
items: More With Less
items: Saturdays With Harvey
items: Success After Success
items: The Club DJ As Celebrity Artist In Residence
items: Resiliency
items: Yet Another Post On SOPA
items: Broken Windows
items: DealFatigue Is Now On Tumblr Too
items: Patching Up Negotiations Redux
items: It’s Not Business, It’s Personal
items: Lost In Translation
items: 4 Movies That Every Rep Should (And My Intern Must) See
items: Rep Zen
items: Performance Anxiety
items: Got Props!
items: Black Box Dealmaking
items: Loose Lips Syncing Shifts
items: My Intern’s Reading (and Viewing) List Part I
items: Quantum Mechanics
items: Patching Up Negotiations
items: Waiting For The Dough
items: Twitter Impersonator
items: Syndicate This!
items: SAG’s Thaw
items: Technical Difficulties
items: Interdependence Day
items: Grass Roots Licensing Of Youtube Fare
items: Lennon Reloaded
items: The Film Industry Is In A Pickle
items: The Economy From A VC’s Perspective
items: Box Office
items: The Bail Out
items: Hatchet Job
items: Negotiation Culture Redux: Lying Makes Sammy Run
items: The Bluffer
items: “You Were Right And I Was Wrong”
items: Getting Out Of Getting In Your Own Way
items: Smart Money vs. Dumb Money
items: Money For Nuthin’ or Nick’s For Free
items: Talking The Talk
items: The Oscars, Reposted.
items: Chorus Line Dancers Make A New Deal
items: WGA Deal (Pretty Much) Closes. Now Let The Healing Begin.
items: The Negotiation Culture: The Approach That (Might Have) Resolved The Strike
items: Potential Breakthrough In Writers Guild Strike
items: Cracks In The Veneer
items: Required Reading
items: Non-Scripted Outlets Want A Bigger Piece Of The Hostess Pie
items: No Strike Waivers For TV Yet But Web Start Ups Tempt Writers
items: Internet Delivery Now Streeting With Traditional Home Video
items: “Drinking From The Trough Of Distrust”
items: London Calling For Outsourced Writing
items: A Rock And A Hard Place
items: Feed Problem Fixed
items: Ari’s Take On The Strike

Reflecting On Oscar
type: item
date: 2015-02-21T21:39:03Z
creator: Peter Kaufman
subject: Actors
subject: Awards
subject: academy awards
subject: execution
subject: oscar
subject: twitter
description: Unlike anywhere else in the world, Oscar weekend has the greatest impact in Los Angeles. Aside from traffic closures and the heartbreak and envy of Oscar parties to the uninvited, Oscar weekend provides the creative community with a weekend of self-reflection, profound anxiety and (dashed?) hopes for the future. The dream of so many here … Continue reading Reflecting On Oscar →
encoded: Unlike anywhere else in the world, Oscar weekend has the greatest impact in Los Angeles. Aside from traffic closures and the heartbreak and envy of Oscar parties to the uninvited, Oscar weekend provides the creative community with a weekend of self-reflection, profound anxiety and (dashed?) hopes for the future. The dream of so many here is that they too will be thanking the Academy for their own Oscar someday. Mindful that so many may be inspired after the Academy Awards to take a different approach, the following post, originally published here and now here offers some guidance. [Ed. note: Added the following on 2/26/15] I expect there are post-#Oscar resolutions from creatives & those who aspire to be a part of it to take risks; to execute. This is good. — Peter Kaufman (@Dealfatigue) February 23, 2015

The Win-Win Deal-Making Fallacy
type: item
date: 2015-02-20T20:21:01Z
creator: Peter Kaufman
subject: Negotiations
subject: The Culture
subject: game theory
subject: twitter
subject: win-win
subject: zero-sum game
description: .@DanWilliams @lrozen win-win should always be the goal in any negotiation, but I get nervous when one side says that. It's a zero-sum tell. — Peter Kaufman (@Dealfatigue) February 11, 2015
encoded: .@DanWilliams @lrozen win-win should always be the goal in any negotiation, but I get nervous when one side says that. It's a zero-sum tell. — Peter Kaufman (@Dealfatigue) February 11, 2015

What It Takes
type: item
date: 2015-02-07T19:24:05Z
creator: Peter Kaufman
subject: Film
subject: The Culture
subject: Writers
subject: development
subject: execution
subject: film business
subject: producing
subject: screenplay
subject: success
subject: twitter
subject: writing
description: 1. Aspiring producers/writers/creatives: dogged persistence, while Capraesque, is not in itself enough (woefully misplaced?) to execute. — Peter Kaufman (@Dealfatigue) February 7, 2015 2 indie or not, to produce for the mass market, requires an understanding that the business of the art views the project as a commodity. — Peter Kaufman (@Dealfatigue) February 7, 2015 … Continue reading What It Takes →
encoded: 1. Aspiring producers/writers/creatives: dogged persistence, while Capraesque, is not in itself enough (woefully misplaced?) to execute. — Peter Kaufman (@Dealfatigue) February 7, 2015 2 indie or not, to produce for the mass market, requires an understanding that the business of the art views the project as a commodity. — Peter Kaufman (@Dealfatigue) February 7, 2015 3. Do you have the rights? Do you have a director that actors want to work with? Do you have folks whose endorsement has weight? — Peter Kaufman (@Dealfatigue) February 7, 2015 4 what are you selling? Passion, enthusiasm, tenacity alone is not enough. Can u execute? How do you prove that? — Peter Kaufman (@Dealfatigue) February 7, 2015 5. Great. So you can make a movie. Who will watch it? Why? The easiest way to answer all of these questions is by providing/serving up… — Peter Kaufman (@Dealfatigue) February 7, 2015 7. The fundamental business elements required to make a movie. Rights to good material Cast that gets butts in seats Capital — Peter Kaufman (@Dealfatigue) February 7, 2015 9. If you don't want to do that or are unable to do that then be honest with yourself that you've chosen a tougher slog. — Peter Kaufman (@Dealfatigue) February 7, 2015

Pride of Ownership
type: item
date: 2014-10-26T14:21:36Z
creator: Peter Kaufman
subject: Career
subject: empowerment
subject: twitter
description: 1. Today's (possible) lunch topic at @filmindependent #FINDForum: you OWN the results of your career/work; both good and bad. — Peter Kaufman (@Dealfatigue) October 25, 2014 2. Sure, fate and luck play a hand, but come on, you know better. #FINDForum — Peter Kaufman (@Dealfatigue) October 25, 2014 3. I write this not to add … Continue reading Pride of Ownership →
encoded: 1. Today's (possible) lunch topic at @filmindependent #FINDForum: you OWN the results of your career/work; both good and bad. — Peter Kaufman (@Dealfatigue) October 25, 2014 2. Sure, fate and luck play a hand, but come on, you know better. #FINDForum — Peter Kaufman (@Dealfatigue) October 25, 2014 3. I write this not to add another layer of blame for work gone wrong. Though by all means take all the credit if your work is going well. — Peter Kaufman (@Dealfatigue) October 25, 2014 4. ..but to create an opportunity for you to be empowered in the outcome of your work, the folks you work with …. #FINDForum — Peter Kaufman (@Dealfatigue) October 25, 2014 5 … and your long term and short term goals as artists. #FINDForum — Peter Kaufman (@Dealfatigue) October 25, 2014

Phoning It In
type: item
date: 2014-10-25T07:21:21Z
creator: Peter Kaufman
subject: Actors
subject: Agents
subject: Career
subject: Lawyers
subject: Notable
subject: Representatives
subject: The Culture
subject: career
subject: execution
subject: rep
subject: twitter
description: 1. Phoning it in but expecting exceptional results is one of the most nefarious forms of self-deception. — Peter Kaufman (@Dealfatigue) October 21, 2014 2. Mind you, sometimes good is good enough but if you're not already conscientious, then you're likely getting in your own way. Often. — Peter Kaufman (@Dealfatigue) October 21, 2014 3. … Continue reading Phoning It In →
encoded: <img src="http://dealfatigue.com/wordpress/wp-content/uploads/2009/03/2543689708_4d0aa63843_o.png" alt=""This Phone Is Tapped" courtesy of sparktography" title=""This Phone Is Tapped" courtesy of sparktography" width="320" height="480" class="align center size-full wp-image-609" srcset="http://dealfatigue.com/wordpress/wp-content/uploads/2009/03/2543689708_4d0aa63843_o.png 320w, http://dealfatigue.com/wordpress/wp-content/uploads/2009/03/2543689708_4d0aa63843_o-200x300.png 200w" sizes="(max-width: 320px) 100vw, 320px" /> 1. Phoning it in but expecting exceptional results is one of the most nefarious forms of self-deception. — Peter Kaufman (@Dealfatigue) October 21, 2014 2. Mind you, sometimes good is good enough but if you're not already conscientious, then you're likely getting in your own way. Often. — Peter Kaufman (@Dealfatigue) October 21, 2014 3. I think fear of failure has a lot to do with this. So does one's self-regard of where one is in the pecking order of things. — Peter Kaufman (@Dealfatigue) October 21, 2014 4. So does run of the mill lethargy and laziness. Why try harder when I can watch "New Girl"? — Peter Kaufman (@Dealfatigue) October 21, 2014 5. The other factor is often the allure of being distracted by busy work instead of doing the hard work . . . — Peter Kaufman (@Dealfatigue) October 21, 2014 6. … that makes the difference between actual execution and "table talk." — Peter Kaufman (@Dealfatigue) October 21, 2014 7. This is all the more so for creatives and those that work for them like attorneys, agents and managers. — Peter Kaufman (@Dealfatigue) October 21, 2014

More With Less
type: item
date: 2014-09-26T04:02:37Z
creator: Peter Kaufman
subject: Independent Film
subject: Internet
subject: Negotiations
subject: Start-ups
subject: The Culture
subject: Venture Capital
description: Closing binder for $3 million film financing (left). Closing binder for $25 million VC startup financing (right).
encoded: <img class="size-full wp-image-2079" src="http://dealfatigue.com/wordpress/wp-content/uploads/2014/05/tumblr_n4z7ef69u91qz937ro1_500.jpg" alt="More With Less" width="500" height="500" srcset="http://dealfatigue.com/wordpress/wp-content/uploads/2014/05/tumblr_n4z7ef69u91qz937ro1_500.jpg 500w, http://dealfatigue.com/wordpress/wp-content/uploads/2014/05/tumblr_n4z7ef69u91qz937ro1_500-150x150.jpg 150w, http://dealfatigue.com/wordpress/wp-content/uploads/2014/05/tumblr_n4z7ef69u91qz937ro1_500-300x300.jpg 300w" sizes="(max-width: 500px) 100vw, 500px" /> More With Less Closing binder for $3 million film financing (left). Closing binder for $25 million VC startup financing (right).

Saturdays With Harvey
type: item
date: 2014-03-17T04:49:51Z
creator: Peter Kaufman
subject: Distribution
subject: Financing
subject: Independent Film
subject: Television
subject: bob weinstein
subject: equity investors
subject: film business
subject: harvey weinstein
subject: symposium
subject: twitter
description: Last week’s Entertainment Business symposium at UCLA lacked the usual spark one feels when 500 lawyers gather together in one room. Even so, I live-tweeted a number of the highlights from the two-day event. #uclaentertainmentsymposiym financing film slates are back — Peter Kaufman (@Dealfatigue) March 8, 2014 #uclaentertainmentsymposiym interesting nugget: so much money in the … Continue reading Saturdays With Harvey →
encoded: Last week’s Entertainment Business symposium at UCLA lacked the usual spark one feels when 500 lawyers gather together in one room. Even so, I live-tweeted a number of the highlights from the two-day event. #uclaentertainmentsymposiym financing film slates are back — Peter Kaufman (@Dealfatigue) March 8, 2014 #uclaentertainmentsymposiym interesting nugget: so much money in the film investment space that studios are raising their distribution fees. — Peter Kaufman (@Dealfatigue) March 8, 2014 Photo: Headline act: Kenny and Harvey Takeaway: TV TV TV mantra (at UCLA Freud Playhouse) http://t.co/qzbG4zSBeI — Peter Kaufman (@Dealfatigue) March 8, 2014 Yes. “@shericandler: TV or just episodic?" My take is both. One-offs with back door pilot potential are less risky though. — Peter Kaufman (@Dealfatigue) March 8, 2014 #uclaentertainmentsymposiym advertisers getting squeezed out of TV and making their own content. Case study: LEGO movie — Peter Kaufman (@Dealfatigue) March 8, 2014 #uclaentertainmentsymposiym Ratner: big brands will go direct to well recognized content creators for longer term deals to use their brand. — Peter Kaufman (@Dealfatigue) March 8, 2014 #uclaentertainmentsymposiym (cont'd) as opposed to going through studios to talent/content creators. — Peter Kaufman (@Dealfatigue) March 8, 2014 "We have a theatrical window followed by a piracy window" #goingforthefunny #uclaentertainmentsymposiym — Peter Kaufman (@Dealfatigue) March 8, 2014 @Dealfatigue So where do we go from here? — Fay Hauser-Price (@Hauslightsfay) March 8, 2014 Bank discount/spread improved to 90% for state tax incentives (from 80%) #uclaentertainmentsymposiym — Peter Kaufman (@Dealfatigue) March 8, 2014 Who's banking incentive paper at 90%? I'm asking for a friend. #uclaentertainmentsymposiym — Peter Kaufman (@Dealfatigue) March 8, 2014 A lot of conversation but very little actual money from China investing in film #uclaentertainmentsymposiym — Peter Kaufman (@Dealfatigue) March 8, 2014 Sov…

Success After Success
type: item
date: 2014-03-10T20:52:54Z
creator: Peter Kaufman
subject: Career
subject: Notable
subject: seth godin
subject: success
subject: twitter
description: This is often said but still not often enough. 2day's nugget: "Success brings with it the fear of blowing it. With more to lose, there's more pressure not to lose it" via @ThisIsSethsBlog — Peter Kaufman (@Dealfatigue) March 9, 2014
encoded: This is often said but still not often enough. 2day's nugget: "Success brings with it the fear of blowing it. With more to lose, there's more pressure not to lose it" via @ThisIsSethsBlog — Peter Kaufman (@Dealfatigue) March 9, 2014

The Club DJ As Celebrity Artist In Residence
type: item
date: 2013-02-16T21:04:34Z
creator: Peter Kaufman
subject: Career
subject: Celebrities
subject: Music
subject: club dj
subject: las vegas
subject: music business
subject: twitter
description: I'm fascinated by the growing celebrity and brand recognition of club DJ's with the general public. This is trending. #fb #in — Peter Kaufman (@Dealfatigue) February 16, 2013 What happens in Vegas, may spread to the rest of the country.
encoded: I'm fascinated by the growing celebrity and brand recognition of club DJ's with the general public. This is trending. #fb #in — Peter Kaufman (@Dealfatigue) February 16, 2013 What happens in Vegas, may spread to the rest of the country.

Resiliency
type: item
date: 2013-01-20T05:21:44Z
creator: Peter Kaufman
subject: Career
subject: long game
subject: patience
subject: resiliency
subject: twitter
description: Resiliency is not baked in to us; it's something you learn over time. After in-artfully coping with setbacks and disappointment. Many times. — Peter Kaufman (@Dealfatigue) January 19, 2013
encoded: Resiliency is not baked in to us; it's something you learn over time. After in-artfully coping with setbacks and disappointment. Many times. — Peter Kaufman (@Dealfatigue) January 19, 2013

Yet Another Post On SOPA
type: item
date: 2012-01-22T06:51:50Z
creator: Peter Kaufman
subject: Blogs
subject: Digital Downloads
subject: Internet
subject: Streaming
subject: UGC
subject: evan brown
subject: facebook
subject: hollywood
subject: internet cases
subject: legislation
subject: mpaa
subject: pipa
subject: sopa
description: [Ed. Note: Cross-posted in part from my tumblr blog. See the additional note at the bottom of this post.] I generally don’t blog politics. It can be bad for business. However, the SOPA/PIPA legislation, which pitted new tech against old media, requires a response. Piracy is a serious problem that may or may not need … Continue reading Yet Another Post On SOPA →
encoded: [Ed. Note: Cross-posted in part from my tumblr blog. See the additional note at the bottom of this post.] I generally don’t blog politics. It can be bad for business. However, the SOPA/PIPA legislation, which pitted new tech against old media, requires a response. Piracy is a serious problem that may or may not need additional attention (we already have the DMCA to protect copyright interests). However, the legislation as drafted is bad law. While hardly scientific, most if not all of the entertainment lawyers I discussed the bills with agree – even the ones who work at the studios. If these bills became law then it would be legal for the government to shut down sites without due process. In effect, fair use can be ignored and sites are guilty until proven innocent. Litigation can be costly and few would opt to fight in the face of substantial legal fees and an unprofitable victory. The clip above is a parody using someone else’s copyrighted work. It’s likely that such works – notwithstanding what you think of this particular parody – could survive on the net. That’s not how our country is supposed to work and that’s certainly not how this law should work. This legislation can be redrafted to stem piracy without sacrificing our core values. If you haven’t already, I urge you to read the current drafts of SOPA and PIPA and tell me if you still support these bills. [Ed. Note: Prior to posting here and on Tumblr, a music executive friend of mine and I debated the merits of the bills on Facebook. Much of what I wrote above was part of that debate. After I blogged about it, my friend posted a link on Facebook to a blog post in favor of the legislation. You can find that here. In essence, the post in support argued that those in opposition – even those that took the time to read the bills – were misinterpreting the language and intent of the legislation. However, the fact that the language may be open to misinterpretation or, as many believe, exposes the true intent of th…

Broken Windows
type: item
date: 2012-01-16T08:04:28Z
creator: Peter Kaufman
subject: Distribution
subject: Film
subject: Independent Film
subject: Rights
subject: avc
subject: business model
subject: distribution channel
subject: distribution platforms
subject: distribution windows
subject: film business
subject: fred wilson
subject: movie theaters
subject: on-demand viewing
subject: StarWars
subject: street date
subject: streeting
subject: studio executives
subject: theatrical release
subject: Titanic
subject: traditional distribution
subject: twilight
subject: vod
description: Fred Wilson wrote a piece on his blog today complaining about the film business’ distribution model. Fred wrote in part that: denying customers the films they want, on the devices they want to watch them, when they want to watch them is not a great business model. . . . [Studio executives] insist that they … Continue reading Broken Windows →
encoded: <img src="http://dealfatigue.com/wordpress/wp-content/uploads/2012/01/3630649274_16c3f74c37_z.jpg" alt="" title=""Ventanas rotas. Broken windows." by J.A. Alcaide" width="640" height="420" class="alignnone size-full wp-image-1866" srcset="http://dealfatigue.com/wordpress/wp-content/uploads/2012/01/3630649274_16c3f74c37_z.jpg 640w, http://dealfatigue.com/wordpress/wp-content/uploads/2012/01/3630649274_16c3f74c37_z-300x196.jpg 300w" sizes="(max-width: 640px) 100vw, 640px" /> Fred Wilson wrote a piece on his blog today complaining about the film business’ distribution model. Fred wrote in part that: denying customers the films they want, on the devices they want to watch them, when they want to watch them is not a great business model. . . . [Studio executives] insist that they need their windows. They argue they need to manage access to their films to extract every last dollar from the market. That just doesn’t make sense to me. If they went direct to their customers, offered their films at a reasonable price (say $5/view net to them), and if they made their films available day one everywhere in the world, I can’t see how they wouldn’t make more money. While I have no allegiance to the current business model, I understand it. Producers of any new film hope to see it distributed in a number of distribution windows starting with an exclusive theatrical release and continuing through to wide release on multiple distribution platforms typically over the course of 12-18 months. Wilson advocates simultaneous “streeting” across all distribution platforms. As technology improves, the lines of each traditional distribution window are blurring and will be replaced with something more akin to what Fred is advocating. Even so, I can’t help thinking that audiences might lose something valuable in the process – maybe even movie theaters themselves. That would be ironic since movie execs sounded similar alarms when television was the disrupting technology in the 1950s. Then as now, …

DealFatigue Is Now On Tumblr Too
type: item
date: 2011-12-27T06:56:02Z
creator: Peter Kaufman
subject: Blogs
subject: Internet
subject: The Culture
subject: tumblr
description: Please check out the DealFatigue blog on Tumblr at dealfatigue.tumblr.com. I’ve been blogging on the Tumblr site for the past year or so. It’s briefer and broader in scope than dealfatigue.com. I will continue writing longer posts here and look forward to reading your feedback on both blog sites. Wishing all of us the very … Continue reading DealFatigue Is Now On Tumblr Too →
encoded: <img class="alignleft size-full wp-image-1785" title="Exploring_Tumblr" src="http://dealfatigue.com/wordpress/wp-content/uploads/2011/12/Exploring_Tumblr.jpg" alt="" width="502" height="271" srcset="http://dealfatigue.com/wordpress/wp-content/uploads/2011/12/Exploring_Tumblr.jpg 1004w, http://dealfatigue.com/wordpress/wp-content/uploads/2011/12/Exploring_Tumblr-300x161.jpg 300w" sizes="(max-width: 502px) 100vw, 502px" /> Please check out the DealFatigue blog on Tumblr at dealfatigue.tumblr.com. I’ve been blogging on the Tumblr site for the past year or so. It’s briefer and broader in scope than dealfatigue.com. I will continue writing longer posts here and look forward to reading your feedback on both blog sites. Wishing all of us the very best in 2012!

Patching Up Negotiations Redux
type: item
date: 2010-10-31T06:08:34Z
creator: Peter Kaufman
subject: Deal Points
subject: Guilds
subject: Negotiations
subject: The Culture
subject: aftra
subject: amptp
subject: bansky
subject: christmas trees
subject: ego nickel
subject: leverage
subject: marketshare
subject: monopoly
subject: pumpkin patch
subject: pumpkins
subject: redux
subject: sag
subject: supply and demand
description: [Ed. Note: This is a reprint of my 10/31/09 post.] Last year, procrastination got the best of me and by the time I got around to the annual pumpkin purchase on October 30th, the supermarkets were out of all but the most damaged pumpkins. I was left with no alternative than to deal with the … Continue reading Patching Up Negotiations Redux →
encoded: <img src="http://dealfatigue.com/wordpress/wp-content/uploads/2008/10/159744546_d1ce14b81b.jpg" alt=""Mr. Pumpkin and Mr. Apple" courtesy of Orin Zebest" title=""Mr. Pumpkin and Mr. Apple" courtesy of Orin Zebest" width="375" height="500" size-full wp-image-1061" srcset="http://dealfatigue.com/wordpress/wp-content/uploads/2008/10/159744546_d1ce14b81b.jpg 375w, http://dealfatigue.com/wordpress/wp-content/uploads/2008/10/159744546_d1ce14b81b-225x300.jpg 225w" sizes="(max-width: 375px) 100vw, 375px" /> [Ed. Note: This is a reprint of my 10/31/09 post.] Last year, procrastination got the best of me and by the time I got around to the annual pumpkin purchase on October 30th, the supermarkets were out of all but the most damaged pumpkins. I was left with no alternative than to deal with the local Pumpkin Patch Guy (a/k/a the Christmas Tree Lot Guy). Some might say I was merely on the wrong side of supply and demand. But sitting on his throne of hay bales, Pumpkin Patch Guy went beyond aggressive deal making. He was ripping me off. I should of walked away but it was late and the kids were tired. Feeling like a rube, I pulled out my wallet and gave him forty bucks for a couple of sad looking pumpkins plus another ten for the carving kit. This year, I got smart and didn’t go back. I planned ahead and procured my pumpkins at a substantial discount. Like Pumpkin Patch Guy, a rep has a fiduciary duty to maximize value. But does that always result in doing what’s best for the client? Maybe so if it’s about short term value (it’s about the upfront money, stupid!). But what about over the long term? Pumpkin Patch Guy lost me as a repeat customer by gouging me simply because he could. Effective negotiation and deal making often require more than selling to the highest bidder. In many cases, the parties involved have to be able to work together over the long haul (e.g., SAG and the AMPTP). Good will and occasional restraint by the stronger party can go a long way to salve the pain o…

It’s Not Business, It’s Personal
type: item
date: 2010-09-30T22:34:53Z
creator: Peter Kaufman
subject: Career
subject: Notable
subject: The Culture
subject: alliances
subject: ayn rand
subject: collectivism
subject: connections
subject: hillary clinton
subject: objectivisim
subject: randian thinking
subject: seth godin
subject: tribes
encoded: <img src="http://dealfatigue.com/wordpress/wp-content/uploads/2010/09/2573762303_365ac020f8.jpg" alt="" title=""Rome visit, June 2008 - 57" by Ed Yourdon" width="429" height="500" size-full wp-image-1661" srcset="http://dealfatigue.com/wordpress/wp-content/uploads/2010/09/2573762303_365ac020f8.jpg 429w, http://dealfatigue.com/wordpress/wp-content/uploads/2010/09/2573762303_365ac020f8-257x300.jpg 257w" sizes="(max-width: 429px) 100vw, 429px" /> If you want to get anywhere in any aspect of the entertainment business you need friends in high places. But this business is a business. Friends can easily become enemies even if you make business decisions that in any other context might be appropriate. This is true for most business cultures but it’s all the more acute where, as here, there’s a high concentration of emotionally driven, exceptionally creative (but oftentimes, profoundly insecure) people all fighting for far too few opportunities. With that kind of competition, you may feel that you need all the edge you can get; sometimes, unfortunately, even at the expense of your friends. Sheer tenacity will get your foot in the door. Talent will keep you in the room. But the only way to succeed in this business – and be able to maintain the momentum to remain successful over the long term – is to have friends that you can count on professionally; that make you feel safe creatively; and that make it possible for you to do your best work consistently. It takes a village. That’s the rub. It’s always personal.

Lost In Translation
type: item
date: 2010-06-09T16:43:39Z
creator: Peter Kaufman
subject: Blogs
subject: Internet
subject: Negotiations
subject: The Culture
subject: daily variety
subject: dictionary
subject: lingua franca
subject: lost in translation
subject: nomenclature
subject: slang
subject: slanguage
description: I’ve been collecting expressions I’ve heard or used during negotiations since the start of dealfatigue; most recently updating the page, Lingua Franca last month. So I was pleased to discover Variety’s slanguage dictionary
encoded: I’ve been collecting expressions I’ve heard or used during negotiations since the start of dealfatigue; most recently updating the page, Lingua Franca last month. So I was pleased to discover Variety’s slanguage dictionary here. Variety’s site is a comprehensive companion to Lingua Franca but lacks a number of words and expressions I’ve collected. So use them together as a resource and keep those emails coming so I can keep Lingua Franca timely and useful.

4 Movies That Every Rep Should (And My Intern Must) See
type: item
date: 2010-06-04T06:16:31Z
creator: Peter Kaufman
subject: Agents
subject: Career
subject: Lawyers
subject: Litigation
subject: Negotiations
subject: Notable
subject: Reading List
subject: Representatives
subject: The Culture
subject: al pacino
subject: alan arkin
subject: alec baldwin
subject: always be closing
subject: animal planet
subject: broadway danny rose
subject: david mamet
subject: dominance
subject: ed harris
subject: frank whaley
subject: george huang
subject: glengarry glen ross
subject: hollywood
subject: intern
subject: jack lemmon
subject: james foley
subject: jonathan pryce
subject: kevin spacey
subject: larry blyden
subject: mia farrow
subject: nbc sunday showcase
subject: rep
subject: submission
subject: swimming with sharks
subject: what makes sammy run
subject: woody allen
description: Good repping is the art of persuading people to agree to your terms. Not all salesmen are lawyers but all good lawyers (and agents) are salesmen. You can sell hard or you can sell soft. Over time, many Reps develop a belligerent or schmoozy negotiating style because it works for them (or it doesn’t and … Continue reading 4 Movies That Every Rep Should (And My Intern Must) See →
encoded: Good repping is the art of persuading people to agree to your terms. Not all salesmen are lawyers but all good lawyers (and agents) are salesmen. You can sell hard or you can sell soft. Over time, many Reps develop a belligerent or schmoozy negotiating style because it works for them (or it doesn’t and they’re just built that way). However, situational awareness is key to achieving consistently good outcomes in negotiations, regardless of leverage. The savvy Rep modulates her negotiation approach to conform to a given situation rather than the other way around. See my post on the importance of regularly watching Animal Planet here to learn how animals (including humans) instinctively do this. What follows are a number of movies that portray agents and salesmen in roles a Rep typically confronts (or becomes) during negotiations. The movies are all critically acclaimed and enjoyable to watch. For our purposes though, the story lines are secondary to the archetypes of the characters. 1. Glengarry Glen Ross Here’s Alec Baldwin’s motivation by dominance. “Always Be Closing”: “target=”_blank”> Contrasted with Al Pacino’s softer, I feel your pain and you feel my empathy approach: “target=”_blank”> 2. What Makes Sammy Run? Sammy must win even if he loses: “target=”_blank”> 3. Broadway Danny Rose Our instincts naturally pick up on Danny’s desperation vibe which only serves to work against him: 4. Swimming with Sharks The Alpha in the room. Win by domination and dominate to win: These archetypes shouldn’t be viewed as role models though I have to admit a fondness for Pacino’s portrayal. However, Reps (as well as principals) like those above abound in different permutations in the negotiation culture. You need to be prepared to deal with them as the situation requires.

Rep Zen
type: item
date: 2010-05-29T22:22:04Z
creator: Peter Kaufman
subject: Negotiations
subject: edith yeung
subject: rep
subject: tammy camp
subject: twitter
subject: zen

Performance Anxiety
type: item
date: 2010-04-25T17:35:59Z
creator: Peter Kaufman
subject: Career
subject: Lawyers
subject: Negotiations
subject: Notable
subject: Representatives
subject: The Culture
subject: cinderella deal
subject: fear
subject: leverage
subject: psychology of the deal
subject: seth godin
description: Most if not all negotiations are a combination choreographed dance, manipulation and fear of loss. The latter stems from our own inbred animal instincts which exert a strong influence over negotiations; even those where one side objectively has more leverage than the other. From knowledge comes strength and while you can’t entirely eliminate fear from … Continue reading Performance Anxiety →
encoded: <img src="http://dealfatigue.com/wordpress/wp-content/uploads/2010/04/3861899397_949d3ef614.jpg" alt="" title=""Agoraphobia" by klaireebearr" width="500" height="375" size-full wp-image-1454" srcset="http://dealfatigue.com/wordpress/wp-content/uploads/2010/04/3861899397_949d3ef614.jpg 500w, http://dealfatigue.com/wordpress/wp-content/uploads/2010/04/3861899397_949d3ef614-300x225.jpg 300w" sizes="(max-width: 500px) 100vw, 500px" /> Most if not all negotiations are a combination choreographed dance, manipulation and fear of loss. The latter stems from our own inbred animal instincts which exert a strong influence over negotiations; even those where one side objectively has more leverage than the other. From knowledge comes strength and while you can’t entirely eliminate fear from negotiations, the zen of knowing that it’s there minimizes its influence. We spend an inordinate amount of time in service of our fear to our detriment. One of Seth Godin’s recent posts sizes it up nicely: . . . . Chipmunks, wolves and other wild animals rarely get jealous. The number one emotion among wild animals isn’t vanity or happiness: it’s fear. Fear is everywhere in the animal kingdom, because fear is a great way to stay alive. Fear is hard-wired into successful species… it doesn’t need to be taught. . . . An entire portion of our brain (the same brain the lizard has) is dedicated to fear. And it can’t wait to spring into action. If your fear keeps you alive, embrace it. The rest of the time, the best strategy for success is figuring out how to ignore it, befriend it or use it as a compass to find what matters. Seth’s use of fear as a compass really resonated with me. If you’re acting in the service of your anxiety then you’re probably not going to get the best result. * Are you filling in awkward silences? * Are you (pre?)-negotiating against yourself by offering an alternative fallback position before the other side has considered (and possibly accepted or rejected) your proposal? *…

Got Props!
type: item
date: 2010-03-30T04:13:42Z
creator: Peter Kaufman
subject: Blogs
subject: attaboy
subject: bizmedia law
subject: entmedialaw.com
subject: mednica
subject: wahab
subject: web aggregator
description: Everyone likes getting attaboys, including me. So I was thrilled that Wahab & Mednica’s Bizmedia Law Blog reviewed Dealfatigue in a recent entmedialaw.com.
encoded: <img src="http://dealfatigue.com/wordpress/wp-content/uploads/2010/03/245744537_9b2401b807.jpg" alt="" title=""Smile!" by seanbjack" width="500" height="333" size-full wp-image-1469" srcset="http://dealfatigue.com/wordpress/wp-content/uploads/2010/03/245744537_9b2401b807.jpg 500w, http://dealfatigue.com/wordpress/wp-content/uploads/2010/03/245744537_9b2401b807-300x199.jpg 300w" sizes="(max-width: 500px) 100vw, 500px" /> Everyone likes getting attaboys, including me. So I was thrilled that Wahab & Mednica’s Bizmedia Law Blog reviewed Dealfatigue in a recent post. Iâ€ ve been out of pocket of late but I will be posting soon. Until then, please check out the Best of Dealfatigue in the upper right of this blog. Full Disclosure: Bizmedia Law and Dealfatigue posts regularly appear on the IP law web aggregator, entmedialaw.com.

Black Box Dealmaking
type: item
date: 2010-01-18T20:00:40Z
creator: Peter Kaufman
subject: Debt
subject: Equity
subject: Financing
subject: Hedge Funds
subject: Independent Film
subject: Lawyers
subject: Negotiations
subject: Notable
subject: bernie madoff
subject: black box
subject: comerica bank
subject: daily variety
subject: debt
subject: due diligence
subject: equity investors
subject: film fund
subject: film investment
subject: lehman brothers
subject: national bank of california
subject: producers
subject: sblc's
subject: shanghai
subject: sole trader
subject: standby letter of credit
subject: taipei
description: Over the past 18 months, I’ve watched countless film projects rise, flounder and fall with the promise of financing. The prevailing wisdom is that things have gotten so bad with oil, gas and real estate investment that film finance actually looks like a safe bet for equity investors. Oh, if it were only so. Film … Continue reading Black Box Dealmaking →
encoded: Over the past 18 months, I’ve watched countless film projects rise, flounder and fall with the promise of financing. The prevailing wisdom is that things have gotten so bad with oil, gas and real estate investment that film finance actually looks like a safe bet for equity investors. Oh, if it were only so. Film investment for equity players continues to be a very risky play. Although debt financing continues to be a dim prospect, Comerica Bank, Union Bank and National Bank of California continue to back certain films from reliable players. From my perspective however, the end of debt financing of motion pictures came almost three months after the collapse of AIG and Lehman Brothers when the US rescued the bank in mid-finance of a movie I was working on. The bank ultimately financed the picture though I like to think that the collective efforts of the lawyers, the bank executives and the producers involved had a hand in getting the deal done. Depending on the day, sheer will to make things happen is either over-rated or under-rated. And so it goes with film financing. I’ve reviewed countless Stand By Letters of Credit (SBLC’s), real estate investments restructured for film finance, Sole Trader deals out of the UK, nine figure film funds from – depending on the day – Vancouver, Taipei, Shanghai and New Jersey and sources of black box financing where, for reasons not entirely clear to me, the identities of the investors and the financing methods used are veiled in secrecy. Not one of these sources of financing has come through. For its part, black box financing may be illegal or even dangerous. In a post-Bernie Madoff world, you just can’t leave the risk of financial games to chance. Get transparency or don’t do the deal. Some of these prospective investors may prove to be the real deal but at best, they are all long shots. Do your due diligence so you know who you’re dealing with, the sources of financing and whether the investor is prepared to provide you with refer…

Loose Lips Syncing Shifts
type: item
date: 2009-12-06T08:20:27Z
creator: Peter Kaufman
subject: Copyright
subject: Internet
subject: Music
subject: UGC
subject: audio id
subject: cable news network
subject: capitol records
subject: cnn
subject: devo
subject: digital rights management
subject: fair use
subject: hip hop
subject: i gotta feeling
subject: io group
subject: lip dub
subject: lipdub
subject: luc-olivier cloutier
subject: marie-eve herbert
subject: mtv
subject: music video
subject: roslyn high school
subject: synchronization rights
subject: the black eyed peas
subject: timed relation
subject: umg
subject: uquam
subject: vimeo
subject: we're through being cool
subject: youtube
description: We’re Through Being Cool which was seen by less than a thousand people at my school’s annual musical revue. [Note to Roslyn High alums, please send me a copy and I will post it here!]. Today, kids produce lip dubs in just a few hours and mass distribute them to millions worldwide through viral video … Continue reading Loose Lips Syncing Shifts →
encoded: <img src="http://dealfatigue.com/wordpress/wp-content/uploads/2009/11/153914580_04c401904d_o.jpg" alt=""Wax Lips" courtesy of Red Clover" title=""Wax Lips" courtesy of Red Clover" width="380" height="480" class="size-full wp-image-1188" srcset="http://dealfatigue.com/wordpress/wp-content/uploads/2009/11/153914580_04c401904d_o.jpg 380w, http://dealfatigue.com/wordpress/wp-content/uploads/2009/11/153914580_04c401904d_o-237x300.jpg 237w" sizes="(max-width: 380px) 100vw, 380px" /> Back in the 80’s, MTV was cutting edge. To many of us growing up back then, music videos were as much a part of the soundtrack to our lives as the music itself. Inspired, my high school class produced its own music video; a lip syncing production of Devo’s We’re Through Being Cool which was seen by less than a thousand people at my school’s annual musical revue. [Note to Roslyn High alums, please send me a copy and I will post it here!]. Today, kids produce lip dubs in just a few hours and mass distribute them to millions worldwide through viral video websites like YouTube. Here’s a lip dub of I Gotta Feeling by The Black Eyed Peas. A couple of kids from the University of Quebec, Montreal (UQAM) shot this video with 172 students in one take and one rehearsal. Here’s “the making of” video of the UQAM lip dub [Subsequently blocked by UMG. I can’t figure why of the two, Universal Music Group chose to block the “making of” footage and not the lip dub itself. Updated: January 21, 2012]: Here’s the original music video produced by The Black Eyed Peas. I prefer the UQAM students’ take. Of course, lip dubbing raises all sorts of legal issues concerning copyright, fair use and commercial exploitation of works owned by others. Apparently, the students didn’t clear the music though I suspect the cost of doing so would have been prohibitive. So are mass distributed, viral lip dubs bad or good for the music business? The band? Do they cut into or promote market share? Do they dilute the promotional power o…

My Intern’s Reading (and Viewing) List Part I
type: item
date: 2009-11-22T01:10:17Z
creator: Peter Kaufman
subject: Lawyers
subject: Litigation
subject: Negotiations
subject: Notable
subject: Reading List
subject: Representatives
subject: The Culture
subject: animal planet
subject: bears
subject: dominance
subject: interns
subject: internship
subject: submission
description: Animal Planet. All negotiations (indeed, most human interactions) can be reduced to basic animal-like drives and instincts. Like the clip
encoded: <img class="size-full wp-image-846" title=""Copier Tech" Courtesy of Yo Spiff" src="http://dealfatigue.com/wordpress/wp-content/uploads/2009/08/2126043460_503547a322.jpg" alt=""Copier Tech" Courtesy of Yo Spiff" width="407" height="385" srcset="http://dealfatigue.com/wordpress/wp-content/uploads/2009/08/2126043460_503547a322.jpg 407w, http://dealfatigue.com/wordpress/wp-content/uploads/2009/08/2126043460_503547a322-300x283.jpg 300w" sizes="(max-width: 407px) 100vw, 407px" /> Every year, I take on at least one intern to work in my office. I expect them to do quite a bit of scut-work and provide support to the office. In return, I let them see and hear what it’s like to negotiate and litigate in the entertainment business. The reps on the other side of the deal are usually gracious enough to allow the interns to listen in on conference calls and the interns attend depositions, hearings and settlement conferences when we’re involved in litigation matters. I also require my interns to complete a reading and viewing list and be prepared to discuss it with me during the course of their internship. Here’s the first in a series of what was on last summer’s list in no particular order: Animal Planet Everything (ok. well, not everything) I know about the entertainment business I learned from watching Animal Planet. All negotiations (indeed, most human interactions) can be reduced to basic animal-like drives and instincts. Like the clip here between a male and female bear or the bull moose locking horns below, negotiations involve the struggle for dominance and submission. Watch it. Really. Trust me. Once you understand that negotiations are really driven by human behavior and human needs, you can increase your ability to address the needs demands of the opposing party without giving away the store. Next: Glengarry Glen Ross

Quantum Mechanics
type: item
date: 2009-11-15T08:11:58Z
creator: Peter Kaufman
subject: Career
subject: Debt
subject: Digital Downloads
subject: Distribution
subject: Equity
subject: Film
subject: Financing
subject: Guilds
subject: Hedge Funds
subject: Home Video
subject: Independent Film
subject: Internet
subject: Markets
subject: Notable
subject: black swan
subject: business model
subject: coraline
subject: deadline hollywood
subject: detroit
subject: distribution channels
subject: distribution windows
subject: district 9
subject: economic downturn
subject: fight club
subject: film business
subject: film fund
subject: film sales
subject: focus features
subject: fox searchlight
subject: german film funds
subject: global business
subject: hollywood
subject: ifta
subject: insurance backed financing
subject: international film and television alliance
subject: nassim taleb
subject: nikki finke
subject: paradigm shift
subject: piracy
subject: pre-sales
subject: private equity
subject: production values
subject: recession
subject: sale lease back
subject: screen gems
subject: slumdog millionaire
subject: summit
subject: twilight
description: Black Swan event. Like a rare black swan, nothing less than an impropable sequence of events like limited access to credit, labor unrest, rampant piracy, the rise of the Internet and the collapse of distribution windows and the pre-sales market can bring about meaningful change to this business. Even so, the fundamentals of the film … Continue reading Quantum Mechanics →
encoded: <img src="http://dealfatigue.com/wordpress/wp-content/uploads/2009/11/176366392_8c58b22924.jpg" alt="Pipe Wrench courtesy of Scott Arch" title="Pipe Wrench courtesy of Scott Arch" width="500" height="264" class="alignleft size-full wp-image-1110" srcset="http://dealfatigue.com/wordpress/wp-content/uploads/2009/11/176366392_8c58b22924.jpg 500w, http://dealfatigue.com/wordpress/wp-content/uploads/2009/11/176366392_8c58b22924-300x158.jpg 300w" sizes="(max-width: 500px) 100vw, 500px" /> Despite all of the self-help books preaching the contrary, people have a hard time living outside the moment. So, it’s difficult for them, let alone a whole industry to shake the mindset that the current ecology of the business will continue to be bleak forever. But this sour economy is just a part of a normal business cycle which will pass. Eventually. If we’re willing to wait. And survive while we’re waiting. Will the business be the same? I doubt it. It will be continue to evolve as it always has in the film business. A decade ago, insurance-backed financing was all the rage. Then came sale-lease back deals from the UK, investment from German film funds and most recently, private equity and hedge fund financing. Those were good times. Good times. However, dramatic, paradigm shifting change – the kind of change required to modify an outmoded, global business model created decades ago and move entrenched players with special interests – requires what Nassim Taleb calls a Black Swan event. Like a rare black swan, nothing less than an impropable sequence of events like limited access to credit, labor unrest, rampant piracy, the rise of the Internet and the collapse of distribution windows and the pre-sales market can bring about meaningful change to this business. Even so, the fundamentals of the film business remain. People like good movies, especially those with good stories and high production values. And there remain untapped distribution channels in emerging markets and emerging tech…

Patching Up Negotiations
type: item
date: 2009-10-31T19:25:28Z
creator: Peter Kaufman
subject: Deal Points
subject: Guilds
subject: Negotiations
subject: aftra
subject: amptp
subject: bansky
subject: christmas trees
subject: ego nickel
subject: leverage
subject: marketshare
subject: monopoly
subject: pumpkin patch
subject: pumpkins
subject: sag
subject: supply and demand
description: gourd.
encoded: <img src="http://dealfatigue.com/wordpress/wp-content/uploads/2008/10/159744546_d1ce14b81b.jpg" alt=""Mr. Pumpkin and Mr. Apple" courtesy of Orin Zebest" title=""Mr. Pumpkin and Mr. Apple" courtesy of Orin Zebest" width="375" height="500" class="alignleft size-full wp-image-1061" srcset="http://dealfatigue.com/wordpress/wp-content/uploads/2008/10/159744546_d1ce14b81b.jpg 375w, http://dealfatigue.com/wordpress/wp-content/uploads/2008/10/159744546_d1ce14b81b-225x300.jpg 225w" sizes="(max-width: 375px) 100vw, 375px" /> Last year, procrastination got the best of me and by the time I got around to the annual pumpkin purchase on October 30th, the supermarkets were out of all but the most damaged pumpkins. I was left with no alternative than to deal with the local Pumpkin Patch Guy (a/k/a the Christmas Tree Lot Guy). Some might say I was merely on the wrong side of supply and demand. But sitting on his throne of hay bales, Pumpkin Patch Guy went beyond aggressive deal making. He was ripping me off. I should of walked away but it was late and the kids were tired. Feeling like a rube, I pulled out my wallet and gave him forty bucks for a couple of sad looking pumpkins plus another ten for the carving kit. This year, I got smart and didn’t go back. I planned ahead and procured my pumpkins at a substantial discount. Like Pumpkin Patch Guy, a rep has a fiduciary duty to maximize value. But does that always result in doing what’s best for the client? Maybe so if it’s about short term value (it’s about the upfront money, stupid!). But what about over the long term? Pumpkin Patch Guy lost me as a repeat customer by gouging me simply because he could. Effective negotiation and deal making often require more than selling to the highest bidder. In many cases, the parties involved have to be able to work together over the long haul (e.g., SAG and the AMPTP). Good will and occasional restraint by the stronger party can go a long way to salve the pain of accepting unpopular deal points …

Waiting For The Dough
type: item
date: 2009-09-29T04:52:43Z
creator: Peter Kaufman
subject: AFM
subject: Cannes
subject: Digital Downloads
subject: Distribution
subject: Equity
subject: Film
subject: Financing
subject: Home Video
subject: Independent Film
subject: Internet
subject: Markets
subject: Print
subject: Streaming
subject: TIFF
subject: afm
subject: american film market
subject: cannes film festival
subject: distribution revenues
subject: equity investors
subject: film business
subject: independent producer
subject: pre-sales
subject: recession
subject: toronto film festival
description: I decided not to attend the Cannes Film Festival back in May because of the dismal economy and what I expected to be a poor showing there. I learned things were even worse than expected when my colleagues in distribution reported from the near-empty beaches of the Cote d’Azur that the bottom had fallen out … Continue reading Waiting For The Dough →
encoded: <img src="http://dealfatigue.com/wordpress/wp-content/uploads/2009/10/500377607_49d48889ca.jpg" alt=""Commute, N Judah" courtesy of Heather" title=""Commute, N Judah" courtesy of Heather" width="500" height="375" class="alignleft size-full wp-image-963" srcset="http://dealfatigue.com/wordpress/wp-content/uploads/2009/10/500377607_49d48889ca.jpg 500w, http://dealfatigue.com/wordpress/wp-content/uploads/2009/10/500377607_49d48889ca-300x225.jpg 300w" sizes="(max-width: 500px) 100vw, 500px" /> I decided not to attend the Cannes Film Festival back in May because of the dismal economy and what I expected to be a poor showing there. I learned things were even worse than expected when my colleagues in distribution reported from the near-empty beaches of the Cote d’Azur that the bottom had fallen out of the pre-sales market. The Toronto Film Festival was supposed to be different. Four months after Cannes, with the banks flush with TARP funds and individual investors reportedly swapping oil and gas investments for classic cars, surely an uptick in motion picture finance had to be right around the corner. I thought that Toronto would present a sea change in the degrading economics of the business; that the credit markets would thaw; and the cash equity of retired Silicon Valley and Wall Street insiders, the Chinese, the Indians and institutional investors would make the trek up to Canada in droves. But Toronto felt like a bad dream about a big party that everyone attends but the host forgets to cater. People took meetings, did lunch, partied, went to screenings and generally did the things one does at a film market except buying, selling and investing in films. All of the elements for a successful market were there except cash. The money, it turned out, stayed at home. Looking back at it now, I was overly optimisitic but hardly alone in my rosey outlook. Yes, there were well-publicized exceptions to the lack of a market at the market. However, to the rank and file independent …

Twitter Impersonator
type: item
date: 2009-05-13T17:12:02Z
creator: Peter Kaufman
subject: Actors
subject: Celebrities
subject: Internet
subject: Social Media
subject: christopher walken
subject: cnn
subject: don draper
subject: eriq gardner
subject: facebook
subject: fictional characters
subject: hollywood reporter
subject: mad men
subject: maria russo
subject: myspace
subject: paul isakson
subject: stephen strauss
subject: the wrap
subject: twitter
subject: twitter impersonator
description: As with the Internet, cyber-squatters are hording the names of celebrities and other well-known people on Twitter. Some are even going so far as to pose as fictional characters like
encoded: <img src="http://dealfatigue.com/wordpress/wp-content/uploads/2009/05/2838505123_3d8d91e5a0.jpg" alt=""Mr And Mrs. Vader" courtesy of Cayusa" title=""Mr And Mrs. Vader" courtesy of Cayusa" width="500" height="500" class="alignleft size-full wp-image-777" srcset="http://dealfatigue.com/wordpress/wp-content/uploads/2009/05/2838505123_3d8d91e5a0.jpg 500w, http://dealfatigue.com/wordpress/wp-content/uploads/2009/05/2838505123_3d8d91e5a0-150x150.jpg 150w, http://dealfatigue.com/wordpress/wp-content/uploads/2009/05/2838505123_3d8d91e5a0-300x300.jpg 300w" sizes="(max-width: 500px) 100vw, 500px" /> As with the Internet, cyber-squatters are hording the names of celebrities and other well-known people on Twitter. Some are even going so far as to pose as fictional characters like Don Draper from Mad Men. If you’re an actor, be sure to register your name on Twitter while it’s still available (if it’s not too late already). In this age of self-branding and the rising reliance on the Internet by the public at large, the famous and the famous to be need to maintain control of their names especially on social media sites like Twitter, Facebook and MySpace. Twitter’s policy is to shut down fake Twitterers, most notably an ersatz Christoper Walken. However, there are exceptions to Twitter’s practices. As reported in The Hollywood Reporter and elsewhere, CNN recently had to pay to recover the Twitter name “CNNbrk.” Let’s not even think about the attorneys’ fees. Do not pass Go. Get your Twitter name now for free or pay later! [Thanks to Stephen Strauss for the heads-up on this one!]

Syndicate This!
type: item
date: 2009-04-26T21:33:20Z
creator: Peter Kaufman
subject: Internet
subject: The Culture
subject: aggregator
subject: anne thompson
subject: bizmedialaw.net
subject: entertainment and media law
subject: entmedialaw.com
subject: gordon p. firemark
subject: jonathan handel
subject: marc john randazza
subject: the legal satricon
subject: tony karrer
subject: wahab & medenica
description: DealFatigue is now being featured on entmedialaw.com, a website that aggregates legal and business writing specific to the entertainment industry. A little less than a month since its launch, entmedialaw.com is already bringing an impressive network of people together who focus on entertainment law, deal making and the business culture of the entertainment business including … Continue reading Syndicate This! →
encoded: <img src="http://dealfatigue.com/wordpress/wp-content/uploads/2009/04/224189000_a4c911ca91.jpg" alt=""Hollywood . . ." Courtesy of Epzibah" title=""Hollywood . . ." Courtesy of Epzibah" width="500" height="375" class="alignleft size-full wp-image-732" srcset="http://dealfatigue.com/wordpress/wp-content/uploads/2009/04/224189000_a4c911ca91.jpg 500w, http://dealfatigue.com/wordpress/wp-content/uploads/2009/04/224189000_a4c911ca91-300x225.jpg 300w" sizes="(max-width: 500px) 100vw, 500px" /> DealFatigue is now being featured on entmedialaw.com, a website that aggregates legal and business writing specific to the entertainment industry. A little less than a month since its launch, entmedialaw.com is already bringing an impressive network of people together who focus on entertainment law, deal making and the business culture of the entertainment business including Gordon Firemark, Jonathan Handel, bizmedialaw.net and feeds from The Legal Satyricon, Anne Thompson and others. It takes a lot of web surfing to keep up with the ever changing legal landscape of the entertainment business but entmedialaw.com is poised to bring all of it to you in one place. Check it out and let me know what you think.

SAG’s Thaw
type: item
date: 2009-04-20T16:50:47Z
creator: Peter Kaufman
subject: Guilds
subject: Negotiations
subject: SAG
subject: aftra
subject: alan rosenberg
subject: amptp
subject: artful writer
subject: craig mazin
subject: daily variety
subject: dave mcnary
subject: dga
subject: feature production
subject: film and tv
subject: membership first
subject: sag
subject: screen actors guild
subject: television actors
subject: unity
subject: wga
description: Variety‘s Dave McNary reported that the Screen Actors Guild’s national board just approved a tentative two year deal on its film-TV contract, triggering a ratification vote by the guild’s members on June 1st. As McNary writes in today’s Variety: Should the deal be approved by members, it will extinguish what’s been a nagging uncertainty for … Continue reading SAG’s Thaw →
encoded: <img src="http://dealfatigue.com/wordpress/wp-content/uploads/2009/04/2385829898_fa9e4fc3f1.jpg" alt=""Fire & Ice" courtesy of Nathan Harper" title=""Fire & Ice" courtesy of Nathan Harper" width="500" height="377" class="alignleft size-full wp-image-660" srcset="http://dealfatigue.com/wordpress/wp-content/uploads/2009/04/2385829898_fa9e4fc3f1.jpg 500w, http://dealfatigue.com/wordpress/wp-content/uploads/2009/04/2385829898_fa9e4fc3f1-300x226.jpg 300w" sizes="(max-width: 500px) 100vw, 500px" /> Variety‘s Dave McNary reported that the Screen Actors Guild’s national board just approved a tentative two year deal on its film-TV contract, triggering a ratification vote by the guildâ€ s members on June 1st. As McNary writes in today’s Variety: Should the deal be approved by members, it will extinguish what’s been a nagging uncertainty for the business for the past year. Production on film and TV was thrown off-kilter by the writers work stoppage, then by studios’ and nets’ fears that a SAG strike might emerge. During the period of uncertainty in the fall, control of SAG’s national board shifted to a moderate coalition, while the economic crisis helped create a big slowdown in local feature production. (First-quarter off-lot activity in Hollywood was at an all-time low.) The terms of the new deal are generally the same as those the networks and studios agreed to with the WGA, DGA and AFTRA. That means that all of the guild’s protracted stang und drum sturm und drang was a waste of time and may have even hurt SAG’s chances to assert jurisdiction over all television programming. SAG and AFTRA have joint jurisdiction over dramatic television and most television actors are members of both unions. The networks saw an opening and took it by entering into TV agreements with AFTRA instead of SAG. For the first time in 30 years, AFTRA split from SAG and negotiated its primetime contract without SAG. By doing so, the networks scored a twofer by fostering discord between and within eac…

Technical Difficulties
type: item
date: 2009-03-09T00:15:26Z
creator: Peter Kaufman
subject: No tags
description: My blog broke during a WordPress upgrade in mid-January. Even so, I’ve been writing posts but couldn’t publish them until now. Now that the fix is in, I will publish these posts over the next week or so instead of all at once here and here. Piecemeal publishing makes the content last longer. Make sure … Continue reading Technical Difficulties →
encoded: My blog broke during a WordPress upgrade in mid-January. Even so, I’ve been writing posts but couldn’t publish them until now. Now that the fix is in, I will publish these posts over the next week or so instead of all at once here and here. Piecemeal publishing makes the content last longer. Make sure you scroll down to catch up.

Interdependence Day
type: item
date: 2009-02-12T15:25:28Z
creator: Peter Kaufman
subject: Distribution
subject: Film
subject: Financing
subject: Independent Film
subject: 20th century fox
subject: academy of motion picture arts and sciences
subject: ampas
subject: clint eastwood
subject: crash
subject: ethan coen
subject: fox searchlight
subject: frost/nixon
subject: harry potter
subject: harvey weinstein
subject: independent motion pictures
subject: indie productions
subject: joel coen
subject: jonathan wakeham
subject: martin scorsese
subject: mastersvo
subject: milk
subject: million dollar baby
subject: miramax
subject: new line cinema
subject: no country for old men
subject: oscar
subject: paramount
subject: patrick goldstein
subject: paul haggis
subject: picture house
subject: picturehouse
subject: pixar
subject: scott rudin
subject: slum dog millionaire
subject: sony pictures
subject: the big picture
subject: the curious case of benjamin button
subject: the dark knight
subject: the departed
subject: the los angeles times
subject: the reader
subject: universal pictures
subject: warner bros.
subject: warner brothers
subject: wip
description: There’s been quite a bit of up-selling of independent pictures in Hollywood. With the box office success of Slumdog Millionaire, indie films are the new darlings of the movie business after decades of being relegated to the wilderness of limited theatrical distribution and even more limited marketing budgets. Seeking to capture greater market share, the … Continue reading Interdependence Day →
encoded: <img src="http://dealfatigue.com/wordpress/wp-content/uploads/2009/03/3317428110_9445f487cf.jpg" alt=""118/365/year2 marionette" courtesy of "Riot Jane" aka Bethany" title=""118/365/year2 marionette" courtesy of "Riot Jane" aka Bethany" width="375" height="500" class="alignleft size-full wp-image-612" srcset="http://dealfatigue.com/wordpress/wp-content/uploads/2009/03/3317428110_9445f487cf.jpg 375w, http://dealfatigue.com/wordpress/wp-content/uploads/2009/03/3317428110_9445f487cf-225x300.jpg 225w" sizes="(max-width: 375px) 100vw, 375px" /> There’s been quite a bit of up-selling of independent pictures in Hollywood. With the box office success of Slumdog Millionaire, indie films are the new darlings of the movie business after decades of being relegated to the wilderness of limited theatrical distribution and even more limited marketing budgets. Seeking to capture greater market share, the majors absorbed distributors like New Line Cinema and Miramax years ago. However, the studios never expected that their independent labels might produce pictures that would threaten to cannibalize their tent-pole productions. Patrick Goldstein recently wrote in The Big Picture blog about Slumdog’s surprise performance and its likely chances of getting an Academy Award here. [Ed. Note: Goldstein’s post has since been removed but can now be found here]. After all, the irony of all ironies is that after giving “Slumdog” the bum’s rush, Warner Bros. spent millions running a best picture campaign for “The Dark Knight,” the highest-grossing film of 2008, which still ended up being largely ignored by Oscar voters, who failed to give it a best picture, best director or even a best original screenplay nomination. * * * * * * * * * * * * * The sad truth is that most studios today don’t have the patience, the artistic desire or the skilled manpower to release a film like “Slumdog.” My guess is that Warners, having unloaded all of its specialty divisions, both Picturehouse and WIP, eyed its li…

Grass Roots Licensing Of Youtube Fare
type: item
date: 2009-01-12T20:10:11Z
creator: Peter Kaufman
subject: Distribution
subject: Internet
subject: Licensing
subject: Notable
subject: Rights
subject: Streaming
subject: UGC
subject: ancillary exploitation
subject: animation
subject: barriers to entry
subject: caddyshack
subject: charlie the unicorn
subject: charlie the unicorn 2
subject: content creator
subject: eyeballs
subject: filmcow.com
subject: flash animation
subject: hot topic
subject: jason steele
subject: leverage
subject: merchandise
subject: music business
subject: retail merchandise
subject: self distribution
subject: shorts
subject: the simpsons
subject: traditional media
subject: youtube
description: My kids turned me on to “Charlie The Unicorn” shortly after it made its debut on youtube several years ago. Like most user generated content, Charlie, a flash animated 2D short, was made on a shoestring and the production values reflect that. Still, the work is smart, funny and quotable in the vein of Caddyshack … Continue reading Grass Roots Licensing Of Youtube Fare →
encoded: My kids turned me on to “Charlie The Unicorn” shortly after it made its debut on youtube several years ago. Like most user generated content, Charlie, a flash animated 2D short, was made on a shoestring and the production values reflect that. Still, the work is smart, funny and quotable in the vein of Caddyshack and The Simpsons. Charlie has been viewed over 35 million times worldwide and spawned a sequel. Still, I wasn’t really intrigued until I visited Hot Topic, a teen-oriented store in my local mall, and spotted Charlie <a href="http://search.hottopic.com/search?bmForm=frm_ht_search&bmFormID=1237264901242&bmUID=1237264901242&bmIsForm=true&bmPrevTemplate=%2Fhottopic%2Findex.jsp&bmHidden=pricelistname&pricelistname=PRC_USA_Standard&bmHidden=SEARCH_INPUT%3C%3EATR_Available_In_Inventory&SEARCH_INPUT%3C%3EATR_Available_In_Inventory=true&bmHidden=p&p=Q&bmHidden=ts&ts=custom&bmHidden=asug&asug=charl&bmText=w&w=charlie+the+unicorn&bmImage=submit_search.x&bmImage=submit_search.y&bmImage=submit_search&bmHidden=FOLDER%3C%3Efolder_id&FOLDER%3C%3Efolder_id=2534374302028372&bmFields=bmForm%2CbmFormID%2CbmUID%2CbmIsForm%2CbmPrevTemplate%2CbmHidden%2CbmText%2CbmImage&bmHash=61b189e894e7776ce068d791e7420535dbece941" target="_blank">merchandise. Plenty of talented (and not so talented) folks make shorts and distribute them on youtube. Far fewer generate millions of views or eyeballs; and only a handful of those successfully make the jump to ancillary exploitation. Whether Charlie’s creator is making meaningful revenues isn’t really the point (nor is the aesthetic value of such a work). Charlie’s transition from youtube short to retail merchandise represents nothing less than a sea change in the ability of a single content creator to leverage the internet and its potential access to millions to build a following and potentially profit from ancillary and derivative exploitation of content without the need or prohibitive expense of traditional distribution channels. It means that se…

Lennon Reloaded
type: item
date: 2008-12-26T22:33:31Z
creator: Peter Kaufman
subject: Actors
subject: Celebrities
subject: Licensing
subject: Rights
subject: actra
subject: advertising
subject: aftra
subject: dead celebrities
subject: digital technology
subject: joel anderson
subject: john lennon
subject: looker
subject: los angeles lawyer magazine
subject: loyola of los angeles entertainment law review
subject: michael crichton
subject: one laptop per child
subject: reanimation
subject: sag
subject: the new york times
subject: wizard of ahhhhs
subject: yoko ono
subject: youtube
description: The “One Laptop per Child” Foundation released a television commercial on Christmas Day of John Lennon – almost 30 years after his assassination – pitching viewers to buy laptops for poor children. The Foundation produced the spot using digital technology; creating an ersatz version of Lennon saying “I tried to do it through my music, … Continue reading Lennon Reloaded →
encoded: The “One Laptop per Child” Foundation released a television commercial on Christmas Day of John Lennon – almost 30 years after his assassination – pitching viewers to buy laptops for poor children. The Foundation produced the spot using digital technology; creating an ersatz version of Lennon saying “I tried to do it through my music, but now you can do it in a very different way. You can give a child a laptop and more than imagine, you can change the world.” Variations on the technology have been around for years. Michael Crichton predicted the advent of the technology in “Looker” in 1981. In 1995, I cited Crichton’s work when I wrote about the use of digital technology to reanimate deceased celebrities in new works – and the possible legal complications – here. Although the ethical and business dilemmas of using digital automatons instead of real actors are still in flux, the legal issues remain the same. The commercial exploitation of dead celebrities requires the consent of the celebrity’s estate. In this case, Yoko Ono, Lennon’s widow approved the spot. When I wrote my article in 1995, the infinite possibility of the internet was largely unknown to the public. Our understanding of its potential now combined with advances in digital reanimation technology will only bring these issues to the forefront. You can find out more about One Laptop Per Child’s donation program here.

The Film Industry Is In A Pickle
type: item
date: 2008-11-16T18:12:44Z
creator: Peter Kaufman
subject: AFM
subject: Debt
subject: Distribution
subject: Equity
subject: Film
subject: Financing
subject: Hedge Funds
subject: Independent Film
subject: Markets
subject: Notable
subject: adrian ward
subject: afm
subject: american film market
subject: aron govil
subject: bollywood
subject: china
subject: dan benton
subject: debt
subject: depression
subject: distribution platforms
subject: dreamworks
subject: eastern europe
subject: economic climate
subject: film business
subject: film fund
subject: film sales
subject: freyr thor
subject: geo-filtering
subject: hollywood
subject: ida martins
subject: india
subject: internet distribution
subject: ipod
subject: josh levin
subject: ken dubow
subject: leman cetiner
subject: lenny shapiro
subject: middle east
subject: mobile phones
subject: paramount
subject: pickle magazine
subject: private equity
subject: recession
subject: reliance
subject: ron lavery
subject: sell through
subject: short films
subject: steven spielberg
subject: strath hamilton
subject: subscription model
description: Pickle Magazine, a film industry publication based in India about all things Bollywood and now, Hollywood, recently asked producer and sales agent, Ron Lavery to interview me and ten others for its American Film Market edition. After reading all eleven interviews, it’s clear that none of us agree on what the long term and short … Continue reading The Film Industry Is In A Pickle →
encoded: Pickle Magazine, a film industry publication based in India about all things Bollywood and now, Hollywood, recently asked producer and sales agent, Ron Lavery to interview me and ten others for its American Film Market edition. After reading all eleven interviews, it’s clear that none of us agree on what the long term and short term effects will be on the film business given the latest seismic shocks (and those to come) to the overall global economy. Here’s my take: Lavery: How do you think the current economic situation will effect AFM business this year? Me: The entertainment business, like most businesses runs on credit. Although there appears to be a credit thaw . . . if the financial environment gets worse or even if it continues to improve at its current pace, the credit freeze will definitely affect AFM business this year. With limited access to the credit markets, buyers will be less inclined to close deals and will have limited buying power in the short term. Over the longer term though – and Iâ€ ve already witnessed it first hand – private equity will step in to do more traditional debt financing (albeit at a premium) if the banks are unable to do so. Lavery: Do you foresee any mergers between distribution companies? Me: Yes. Although mergers are already a part of the overall trend towards the consolidation of the business, the current economic climate will only accelerate this process. Lavery : Are there any news ways of financing films on the horizon? Me: Over the last decade and longer, people have been and continue to try to build a better film financing business model as the economics of the film business shift. This process will likely [continue to] shift at a tectonic pace especially if credit remains tight, the costs of production continue to rise and equity sources dry up. With the Internet as a potentially new distribution platform with untested sources of revenue based on either a subscription model (which wonâ€ t work) and advertising (whic…

The Economy From A VC’s Perspective
type: item
date: 2008-10-11T05:20:54Z
creator: Peter Kaufman
subject: Start-ups
subject: Venture Capital
subject: avc
subject: depression
subject: economic downturn
subject: economy
subject: eric upin
subject: fred wilson
subject: recession
subject: sequoia capital
subject: venture capitalists
description: View SlideShare presentation or Upload your own. Venture Capitalist, Sequoia Capital put together a simplified slide presentation on start-ups and the economic downturn. Less is more and this presentation simplifies a lot of the complexity of the current economic mess we’re all in. Be sure to check out slide #21 for the take away. Many … Continue reading The Economy From A VC’s Perspective →
encoded: View SlideShare presentation or Upload your own. Venture Capitalist, Sequoia Capital put together a simplified slide presentation on start-ups and the economic downturn. Less is more and this presentation simplifies a lot of the complexity of the current economic mess we’re all in. Be sure to check out slide #21 for the take away. Many thanks to Fred Wilson’s blog A VC for alerting me to this.

Box Office
type: item
date: 2008-10-06T05:15:42Z
creator: Peter Kaufman
subject: Actors
subject: Celebrities
subject: Distribution
subject: Film
subject: Financing
subject: audience interest
subject: batman sequel
subject: box office
subject: brad pitt
subject: burn after reading
subject: cinelogic
subject: distribution windows
subject: ethan coen
subject: fred hogge
subject: george clooney
subject: heath ledger
subject: horse race
subject: joel coen
subject: motion picture distribution
subject: the dark knight
subject: theatrical release
subject: variety
subject: weekend box office
description: The Coen Brother’s Burn After Reading starring George Clooney and Brad Pitt is an awful movie that, despite being awful has been critically acclaimed (for the most part; my opinion notwithstanding). The budget for the picture was $37 million and as of this writing, has already grossed over $57 million during its theatrical release. The … Continue reading Box Office →
encoded: The Coen Brother’s Burn After Reading starring George Clooney and Brad Pitt is an awful movie that, despite being awful has been critically acclaimed (for the most part; my opinion notwithstanding). The budget for the picture was $37 million and as of this writing, has already grossed over $57 million during its theatrical release. The picture stands to make substantially more when (and if) it goes into wider theatrical release internationally and through ancillary exploitation on video and pay/free TV. This disconnect of a mediocre film doing well at the box office got me thinking of my UK client Fred Hogge’s post on his blog cinelogic about how box office success builds audience interest regardless of the merits of a particular motion picture. With respect to the interest in the latest Batman sequel, Fred said: The Dark Knight, just won big. Sure, it helps that they opened on over 4000 screens, but people are excited to see it. The reports coming back from those that have are overwhelmingly positive. So more people will go. And this is regardless of all the side-bar hype, largely focused on the late Heath Ledger, his death having, sadly, been turned into a marketing tool. I responded that: The general public follows weekend B.O. performance like a Wall Street stock index for one simple reason. People like horse races and the weekend box office is just that. This isn’t about quality pictures; it’s about “who’s winning now.” B.O. stats used to be restricted to Variety and other trade publications. Now they’re found in virtually every major news source around the world (at least those in countries that distribute motion pictures from the West). To be sure, more people will buy tickets to a movie based on a horse race mentality because they “heard” the movie was good (just based on the initial B.O.). The fact that the horse race might be a fiction or, to be more charitable, of limited use as a barometer of [sic] quality picture is largely irrelevant to most of them. T…

The Bail Out
type: item
date: 2008-10-01T05:14:04Z
creator: Peter Kaufman
subject: Equity
subject: Film
subject: Financing
subject: Independent Film
subject: Notable
subject: Start-ups
subject: Venture Capital
subject: bail out
subject: busts
subject: charles heaphy
subject: city national bank
subject: congress
subject: dave mcnary
subject: david brooks
subject: debt
subject: downturn
subject: dreamworks
subject: emerging markets
subject: equity investors
subject: fred wilson
subject: global market
subject: hedge funds
subject: jason calacanis
subject: lehman brothers
subject: liquidity crisis
subject: market psychology
subject: media rights capital
subject: metro goldwyn mayer
subject: mgm
subject: negative thinking
subject: panacea
subject: peter bart
subject: private equity
subject: prozac
subject: recession
subject: relativity media
subject: ryan kavanaugh
subject: self defeating behavior
subject: steven spielberg
subject: the new york times
subject: toronto film festival
subject: variety
subject: venture capitalists
subject: web 2.0
description: No matter our behavior, the economy fluctuates from boom to bust on a fairly predicable basis. However, the severity of a bust is based in part on group (read: global market) psychology and bad, unregulated choices (don’t get me started on so-called “free market” thinking!). Right now, the group think is pretty pessimistic and we’re … Continue reading The Bail Out →
encoded: No matter our behavior, the economy fluctuates from boom to bust on a fairly predicable basis. However, the severity of a bust is based in part on group (read: global market) psychology and bad, unregulated choices (don’t get me started on so-called “free market” thinking!). Right now, the group think is pretty pessimistic and we’re in dire need of the equivalent of a global prescription for Prozac. A downturn is not a question at this point; only the extent of the damage and the timing of the recovery remain up for grabs. The bail out measure before Congress will by no means prove to be a panacea. I keep hoping they will find a better way since the legislation – despite all the money – will not alter the landscape of losses or willingness to lend. However, it will remove a barrier to lending and mitigate some of the negative thinking. So, the sooner Congress works it out, the better for all of us. I was recently assured by an elder statesman in the business that the industry will continue to flourish as it has in prior recessions and during the Great Depression since people continue to spend on entertainment as an escape from bad news. Peter Bart smugly approved in his column in Monday’s Variety: Compared to the turmoil on Wall Street, Hollywood seems like an object lesson in prudent management. That’s why billions keep flowing into the movie business even when other industries are starved for capital. OK, I know that’s really not the reason. Sucker money traditionally flows to Hollywood because investors want to meet girls, attend parties with movie stars and say they’re business partners with Steven Spielberg. Nonetheless, it’s still surprising to count the big bucks involved in the DreamWorks deal or in Ryan Kavanaugh’s Relativity Media or in Media Rights Capital’s portfolio at a time when the rest of the economy is locked in a liquidity crisis. Suddenly, Hollywood’s managers seem downright austere compared with the crazies at Lehman Brothers. And movie-star sal…

Hatchet Job
type: item
date: 2008-08-23T23:25:44Z
creator: Peter Kaufman
subject: Start-ups
subject: acquisition
subject: exit strategy
subject: founders
subject: management
subject: merger
description: A friend of mine was fired last week. Nothing unusual, given the current economic climate unless you consider that he was terminated from his own company. “B” started the business several years ago. As time passed, his company prospered and he was able to open a second office and then a third. Later this year, … Continue reading Hatchet Job →
encoded: A friend of mine was fired last week. Nothing unusual, given the current economic climate unless you consider that he was terminated from his own company. “B” started the business several years ago. As time passed, his company prospered and he was able to open a second office and then a third. Later this year, he successfully sold his business to another company with the understanding that he, along with his employees would continue working at his newly acquired company. I don’t rep him and don’t know any of the particulars of his deal which leaves me free to speculate about it here. Buyers frequently require that founders remain with an acquired company for a period of time as a condition of purchase. Aside from assets and revenues, often what a buyer is buying is the founders’ good will, business relationships and brain trust. So it’s good business for the founders to continue working with the company after it’s acquired by someone else. Unfortunately, it’s been my experience that such arrangements rarely if ever work in practice because of a clash of cultures and a fundamental mismanagement of each party’s expectations. 1. Founders hate “working for the Man.” That’s why they went off on their own in the first place. Founders are by definition entrepreneurial so they naturally resist taking cues from someone else about how to run – what was until recently – their own company. 2. Buyers want the entrepreneurial benefits of independent thinking without its costs which can be based on erratic, random and emotional factors. 3. Founders take risks; they execute. Gut feelings can outweigh financial and legal risks. (See #2 above). However, they can be horrible team players especially when they’re no longer the quarterback. (See #1 above). 4. Buyers tend to be more organized and institutionalized. They tend to integrate uniform and consistent protocols ranging from hiring practices to the brand of coffee in the break room. I like to think that both parties have only t…

Negotiation Culture Redux: Lying Makes Sammy Run
type: item
date: 2008-07-31T18:50:51Z
creator: Peter Kaufman
subject: Agents
subject: Career
subject: Internet
subject: Lawyers
subject: Negotiations
subject: Notable
subject: Representatives
subject: The Culture
subject: budd schulberg
subject: business affairs
subject: conventions
subject: deal making
subject: due diligence
subject: leverage
subject: lying
subject: managers
subject: material term
subject: networks
subject: precedents
subject: quote
subject: what makes sammy run
description: There’s nothing new about lying during negotiations. Almost sixty years ago, Budd Schulberg wrote What Makes Sammy Run, a novel about an agent who lies to get ahead in the movie business. There have been a number of other works published or produced on the subject as well. More recently, I wrote about it here. … Continue reading Negotiation Culture Redux: Lying Makes Sammy Run →
encoded: There’s nothing new about lying during negotiations. Almost sixty years ago, Budd Schulberg wrote What Makes Sammy Run, a novel about an agent who lies to get ahead in the movie business. There have been a number of other works published or produced on the subject as well. More recently, I wrote about it here. Then as now, negotiating is nothing less than a confrontational (and largely, animal instinct-driven) struggle for limited resources. There’s only so much pie to go around and a rep wants the client’s slice to be as big as possible; not just for the deal on the table but to set precedent or the quote for other deals down the road. These precedents greatly influence, if not become the floor to subsequent negotiations, taking into account the project’s budget and vintage of the quote. Agents, managers and sometimes, lawyers have an added incentive since their fees are based on a percentage of what the client makes on a particular project. It’s only natural then that some reps feel that they have an absolute obligation to their clients (and to their law firms or agencies) to maximize their slice-to-total-pie ratio even if it means lying to the other side about a material term. I suspect it was that desire that recklessly drove one particular rep to repeatedly lie to me about his client’s quote during negotiations; the first time by more than double the actual quote. The rep stalled over days when I asked for documentary backup to the quote (a pro forma request usually provided on demand or verbally confirmed by the studio or network business affairs exec who initially put the quoted deal together). And when the days of stalling turned into weeks, I suspected the worst and only pressed harder. He ultimately confessed that he had misquoted the figure and that his client’s quote was really [a number that was about a third more than the actual figure]. I was furious. When I insisted on seeing the prior deal, the rep had the gall to blame me for drawing negotiations o…

The Bluffer
type: item
date: 2008-06-30T19:47:01Z
creator: Peter Kaufman
subject: Lawyers
subject: Negotiations
subject: The Culture
subject: business affairs
subject: fox searchlight
subject: joey demarco
subject: lord of the flies
subject: negotiator
subject: rep
description: In the early 90’s, I occasionally played in a monthly poker game. The regulars were all guys; mostly lawyers; mostly working in the entertainment business. One of the regulars was a guy named Joey DeMarco. Joey was working in business affairs at Fox (and later, Fox Searchlight) and … Continue reading The Bluffer →
encoded: In the early 90’s, I occasionally played in a monthly poker game. The regulars were all guys; mostly lawyers; mostly working in the entertainment business. One of the regulars was a guy named Joey DeMarco. Joey was working in business affairs at Fox (and later, Fox Searchlight) and was a rising star at the studio. Although the location varied, I seemed to play most often when he hosted the game. Joey lived in a large house on Stone Canyon near the Bel Air Hotel. Despite the impressive zip code, the decor was decidedly single straight guy with a set of weights and a bench press prominently on display in the living room of the 1940’s ranch house. The vibe was more “Lord Of The Flies” than a friendly game of poker and on the nights in which I played, Joey dominated if not controlled the game. He clearly knew the odds of each hand and usually did quite well against the rest of us. Joey often had the cards to beat; and when he didn’t, he was quite good at bluffing. Even when you were sure he didn’t have the cards, you dare not call him on the bluff. He was so good at it, that you usually doubted your own judgment. I negotiated against Joey only once and it was years after I stopped playing in the game. Given past experience, I braced for what I thought was going to be an aggressive negotiation with a formidable alpha-male. He surprised me by being straightforward and fair from the very start. Joey didn’t try to dominate or bluster through the open points and we “got the deal done” in short order. Later, I learned that the tone of his negotiations was more the rule for him than the exception. Joey died two weeks ago at the age of 48. Although it’s doubtful that I will ever be as skilled a poker player, I will aspire to be just as good a negotiator as he was. Joey epitomized skilled negotiating without the need for hostility or dominance. For him, the best negotiating didn’t need to feel like negotiating at all and it was OK if everybody left feeling like a winner. Still, …

“You Were Right And I Was Wrong”
type: item
date: 2008-05-12T08:06:36Z
creator: Peter Kaufman
subject: Career
subject: Negotiations
subject: Notable
subject: Representatives
subject: Agents
subject: budd schulberg
subject: Deal Points
subject: decision making process
subject: dissent
subject: good counsel
subject: iago
subject: judgment
subject: Lawyers
subject: managers
subject: othello
subject: rep
subject: what makes sammy run
subject: william shakespeare
encoded: Some time ago, a client called me to apologize for not taking my advice on a deal that ultimately went bad for her. “Alright” she said. “Let’s get this over with. Tell me you told me so.” “No,” I said. “We discussed the risks, you considered my advice very carefully and then you made your own decision.” A rep’s judgment should never in itself become a substitute for your own judgment. As between the rep and you, you alone will likely have to live with the consequences. Most big decisions in this business (and in life) are a crap shoot; there’s rarely a bright line to follow. However, there are a few things you can do to increase the odds in your favor. 1. Â Â Â Surround yourself with smart people of good will (that’s by far the hardest part). Look up the word “supportive.” It doesn’t mean working with reps who are yes men and it doesn’t mean silencing their dissent. However, it does mean ensuring that your reps are acting in your – not in their or someone else’s – best interests. See e.g., Iago in “Othello” or more apropos, Sammy in “What Makes Sammy Run?” 2. Â Â Â Actively seek out your reps’ counsel. Don’t assume their silence means that they approve. They might just be inattentive, lazy or misunderstand their role in the decision making process. If so, go back to step #1. Consider the risks, benefits and alternatives that they provide (as well as your own take). 3. Â Â Â Then and only then make up your own mind. And if you screw up against your reps’ best advice, that’s OK. Everyone screws up at some point. But your reps better still be there for you to help clean up the mess. That, and their good counsel is what you pay them for. Of course, if anyone doubts that, just tell them I told you so.

Getting Out Of Getting In Your Own Way
type: item
date: 2008-04-17T05:54:59Z
creator: Peter Kaufman
subject: Actors
subject: Notable
subject: Television
subject: The Culture
subject: audition fatigue
subject: charlie rose
subject: good first impression
subject: marc andreessen
subject: metadata
subject: opportunity knocks
subject: right place at the right time
subject: self defeating behavior
subject: seth godin
subject: steve martin
encoded: I recently called four actors about a potential gig on a television series. Only one of them got back to me. Four days later. By email. All of them, without exception, regularly complain to me about the lack of work in L.A. and now, all of them, without exception, were missing an opportunity to work in their field. Worse still, I might not call them next time. It’s possible that the opportunity wasn’t right for them. Or they each had scheduling conflicts. Or, they each just got in their own way. Call it audition fatigue. The continuous, consistent rejection inherent to the profession is bound to erode the motivation and enthusiasm of even the hardiest of thespians. I’ve seen the same self-defeating behavior in lawyers, agents, production executives and other so-called “suits” in the business. Recently, I received a resume by email in response to an opening with my law firm. The resume arrived in a word.doc format which when opened, was covered with very visible, “red-lined” changes clearly revealing that the job seeker’s CV was based on someone else’s resume. If you’re going to take all the time, effort and expense of putting yourself out there, you might as well follow through by taking just a bit more time and a bit more effort to do it right the first time (in the above case, by removing all the metadata before sending or better yet, attaching a .pdf file to preserve formatting). In the short term, that old saw is true: you never get a second chance to make a good first impression. Marc Andreesen, co-founder of Netscape and developer of the first widely used web browser recently raised similar concerns in his blog: Opportunities that present themselves to you are the consequence — at least partially — of being in the right place at the right time. They tend to present themselves when you’re not expecting it — and often when you are engaged in other activities that would seem to preclude you from pursuing them. And they come and go quickly — if you don’t jump all …

Smart Money vs. Dumb Money
type: item
date: 2008-03-25T04:46:59Z
creator: Peter Kaufman
subject: Equity
subject: Film
subject: Financing
subject: Internet
subject: Notable
subject: Producing
subject: Start-ups
subject: The Culture
subject: Venture Capital
subject: advisory board
subject: board of directors
subject: dumb money
subject: equity investors
subject: film finance
subject: movie producers
subject: optics
subject: producers
subject: smart money
subject: venture capitalists
description: One of my web start-up clients recently extolled the virtues of smart money over dumb money. My client asserted that smart money is the best way to grow a start-up. In addition to capital, smart money may provide infrastructure, personnel and the input of boards of directors and advisers. These boards provide additional expertise and … Continue reading Smart Money vs. Dumb Money →
encoded: One of my web start-up clients recently extolled the virtues of smart money over dumb money. My client asserted that smart money is the best way to grow a start-up. In addition to capital, smart money may provide infrastructure, personnel and the input of boards of directors and advisers. These boards provide additional expertise and guidance. Moreover the optics or perception of their association with the start-up increases the venture’s curb appeal and chances for success. Dumb money, he cautioned, isnâ€ t pejorative; it merely describes a cash investment with little or no oversight of the actual use of the funds other than initial approval of certain elements, cash flow and the overall budget. To be fair, it’s like comparing apples and oranges. Smart and dumb money deals are structured in different ways to address different risks and expected returns of very different investors. Nevertheless, I was struck by the disparate thinking of movie producers and start-up entrepreneurs; film financiers and venture capitalists in their capital preferences. My start up client preferred working with smart money from VC investors because he could leverage greater resources into the growth of his company than he could with the same amount of dumb money. I explained that smart money is anathema to movie people unless it comes with distribution and even then, they’re never thrilled with an investor armed with approval rights over talent, budget and distribution. Dumb money shuts up and stays out of the way. That said, we both agreed that if an investor offers up smart money, dumb money or any other kind of money, take it (provided it’s legal).

Money For Nuthin’ or Nick’s For Free
type: item
date: 2008-03-18T10:07:49Z
creator: Peter Kaufman
subject: Actors
subject: Deal Points
subject: Negotiations
subject: Profit Participation
subject: Television
subject: aftra
subject: bill zuckerman
subject: business affairs
subject: cable
subject: cable outlet
subject: child actors
subject: collective bargaining agreement
subject: daily variety
subject: dave mcnary
subject: food network
subject: hannah montana
subject: kim roberts hedgpeth
subject: labor law
subject: martha stewart
subject: miley cyrus
subject: nickelodeon
subject: participation interest
subject: revenue participation
subject: talent
subject: talent reps
subject: the disney channel
description: AFTRA accused Nickelodeon of improperly negotiating talent revenue participation for the cable outlet outside of Nick’s shows. A copy of AFTRA’s purported letter to Nick (I couldn’t verify its authenticity) is here. More specifically, AFTRA’s letter asserts that Nick requires “that the performer grant to the employer a right to a ‘profit participation’ interest in … Continue reading Money For Nuthin’ or Nick’s For Free →
encoded: AFTRA accused Nickelodeon of improperly negotiating talent revenue participation for the cable outlet outside of Nick’s shows. A copy of AFTRA’s purported letter to Nick (I couldn’t verify its authenticity) is here. More specifically, AFTRA’s letter asserts that Nick requires “that the performer grant to the employer a right to a ‘profit participation’ interest in the talent’s third-party income as a condition of employment” in violation of AFTRA’s collective bargaining agreement and possibly California law. I don’t think that AFTRA has a leg to stand on or they would have cited the applicable provisions of their agreement and the law chapter and verse. I suspect that Nick’s lawyers came to the same conclusion. What is clear is that the major studios, networks and cable outlets are looking for the next Martha Stewart or, in Nick’s case, their answer to the Disney Channel’s “Hannah Montana”; building brands on the backs of the talent they break with the goal of cashing in on their success essentially forever. While it’s difficult to empathize with the big entertainment companies, production costs are rising and viewership is more fragmented. As a result, they’re on a desperate search for new revenue streams. I posted about this emerging deal point several months ago when the Food Network started asking for similar language in their talent agreements. With Nick now taking up the cause, a trend has developed and it won’t be long before the rest follow suit. What was once an unreasonable “ask,” will become – if it isn’t already – business affairs policy unless talent reps develop the leverage to collectively reject it. However, with the potential millions to be made by breaking the next Miley Cyrus and a surplus of talented kids (and their parents) hoping to make it big, I doubt that’s possible.

Talking The Talk
type: item
date: 2008-03-01T22:27:08Z
creator: Peter Kaufman
subject: Negotiations
subject: The Culture
subject: aggressive
subject: chazer
subject: cinderella deal
subject: counter-productive
subject: dictionary
subject: draconian
subject: ego nickel
subject: entertainment law
subject: glossary
subject: hinky
subject: lingua franca
subject: nomenclature
subject: opressive
subject: piggish
subject: pre-negotiated
subject: pregnant
subject: rep
subject: self-destructive
subject: trough of distrust
subject: yiddish
description: As in any business, there are terms of art that are commonly used in negotiations in the entertainment business. I’ve added a glossary that defines some of the words and phrases used, devised or overheard during these discussions. I encourage my colleagues to email me any additions or corrections. You can click “Lingua Franca” on … Continue reading Talking The Talk →
encoded: As in any business, there are terms of art that are commonly used in negotiations in the entertainment business. I’ve added a glossary that defines some of the words and phrases used, devised or overheard during these discussions. I encourage my colleagues to email me any additions or corrections. You can click “Lingua Franca” on the gray strip above or here to get to the page. This is a work in progress, so please check often for updates.

The Oscars, Reposted.
type: item
date: 2008-02-23T05:02:58Z
creator: Peter Kaufman
subject: Awards
subject: Deal Points
subject: Film
subject: Negotiations
subject: Producing
subject: Television
subject: academy awards
subject: ampas
subject: atas
subject: crash
subject: daily variety
subject: emmy awards
subject: executive producers
subject: gray's anatomy
subject: house
subject: little miss sunshine
subject: mpaa
subject: producers
subject: shakespeare in love
subject: television academy
subject: the departed
description: Since this year’s Academy Awards are on Sunday, I’m reposting my August 28, 2007 post, “Credit Where Credit Is Due: Is There Enough Room On Awards Night For More Producers?” for Dealfatigue readers. Two pictures in contention – “Michael Clayton” and “Juno” – each have four credited producers but according to the Academy’s website, only … Continue reading The Oscars, Reposted. →
encoded: Since this year’s Academy Awards are on Sunday, I’m reposting my August 28, 2007 post, “Credit Where Credit Is Due: Is There Enough Room On Awards Night For More Producers?” for Dealfatigue readers. Two pictures in contention – “Michael Clayton” and “Juno” – each have four credited producers but according to the Academy’s website, only three producers on each of these pictures are eligible to accept the Best Picture award. So if either of these pictures picks up the award for Best Picture, apparently one producer won’t be getting an Oscar but the other three will. This, despite the fact that the Motion Picture Academy’s rules allow for the inclusion of an additional producer under “extraordinary circumstances.” * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * After five producers received Best Picture Oscars for “Shakespeare in Love” in 1999, the Motion Picture Academy placed a three producer per Oscar limit on any film under contention. The Academy also required the honored three to be fully functioning producers on the pictures; studio execs, personal managers and lawyers (oh, well) need not apply. Subsequent to enactment, certain producers who were credited on “Crash,” “Little Miss Sunshine” and “The Departed” but eliminated for award contention by this rule made some compelling objections against it. As a result, the Academy is relaxing its requirements, albeit slightly, to allow for the inclusion of one additional producer under certain rare and extraordinary circumstances. Each of the producers must be credited as “producer,” thereby excluding any individuals with executive producer or associate producer credits. Meanwhile, the Television Academy is tightening its eligibility requirements in an effort to “crackdown on producer credit inflation” by capping the number of individual producers who can receive an Emmy for a comedy series at 11 and a drama series at 10. But even with these higher numbers, exceptions seem to be proliferating with “Gr…

Chorus Line Dancers Make A New Deal
type: item
date: 2008-02-16T19:08:10Z
creator: Peter Kaufman
subject: Dance
subject: Deal Points
subject: Legit
subject: Negotiations
subject: a chorus line
subject: broadway
subject: campbell robertson
subject: john breglio
subject: leverage
subject: life story rights
subject: michael bennett
subject: royalties
subject: the new york times
description: Although “A Chorus Line” opened on Broadway over thirty years ago, the dancers who signed away their life story rights as the basis for the musical back in 1974 recently renegotiated the terms of their deal. The dancers originally signed away these rights for $1 each during “workshop” sessions for the musical. In 1975, Michael … Continue reading Chorus Line Dancers Make A New Deal →
encoded: Although “A Chorus Line” opened on Broadway over thirty years ago, the dancers who signed away their life story rights as the basis for the musical back in 1974 recently renegotiated the terms of their deal. The dancers originally signed away these rights for $1 each during “workshop” sessions for the musical. In 1975, Michael Bennnett, the producer, choreographer and co-writer of the book for the show, renegotiated these terms after “A Chorus Line” moved to Broadway; dividing about one-tenth of his own royalties and about one-third of his rights income derived from the show and its subsidiary rights with the dancers. “This kind of arrangement has now become standard, though with less generous terms, for people involved in workshops that lead to Broadway productions,” wrote Campbell Robertson for The New York Times. Apparently, many of the dancers remained unsatisfied with these terms. For a more complete chronology, read here. The Bennett Estate’s recent revival of the show on Broadway triggered the renegotiations. The previous agreement only applied to the original Broadway production not to first class productions like Broadway revivals and related road shows. The revival presented the dancers with a unique opportunity to renegotiate. After 16 months, the dancers successfully negotiated an additional (undisclosed) share of revenues in the current production as well as in all past and future first-class productions of the show. The “Chorus Line” renegotiation provides broader implications to deal making for two reasons: 1. Leverage only comes from immediately recognizing the other party’s needs and fears in a particular deal and then effectively using that leverage in negotiations. Accurately assessing your leverage can be tricky since your own needs and fears are always in play (this is so even if you have representation – e.g., the writers strike negotiations). Here, the Estate wanted to mount a new production of “A Chorus Line” which required additional permiss…

WGA Deal (Pretty Much) Closes. Now Let The Healing Begin.
type: item
date: 2008-02-10T00:48:20Z
creator: Peter Kaufman
subject: Guilds
subject: Internet
subject: Podcasting
subject: Television
subject: Writers
subject: bill carter
subject: bill young
subject: bob iger
subject: entertainment law
subject: laeta kalogridis
subject: les moonves
subject: michael cieply
subject: peter chernin
subject: residuals
subject: robert iger
subject: separated rights
subject: strike
subject: the new york times
subject: unitedhollywood.com
subject: wga
subject: wga strike
subject: writers guild of america
description: Everywhere you look, change is in the air. All indications point to the writers strike being called off by Monday; certainly by sometime next week, at the latest. This is great news but it will likely take many months for the industry to get back on its feet and much longer to discern how the … Continue reading WGA Deal (Pretty Much) Closes. Now Let The Healing Begin. →
encoded: Everywhere you look, change is in the air. All indications point to the writers strike being called off by Monday; certainly by sometime next week, at the latest. This is great news but it will likely take many months for the industry to get back on its feet and much longer to discern how the industry changed forever as a result of the strike. With NBC head Jeff Zucker talking about changing the business model that dominated the development and production of television shows for the past 50 years, you can be rest assured that some things will never be the same. The strike in many ways affected a discreet group of people working in the business: the major studios and networks and those writers employed by them. This group by no means represents the entire entertainment industry. Despite the strike, many non-signatory independents continued to do business and there was a boon in reality television production. Scribes writing screenplays for non-signatory companies continued to write. Nevertheless, there remained a cloud of dread over the entire industry. Now that the strike appears to be over, I expect that the most dramatic short-term effect will be a spike in industry-wide morale rather than a spike in production. In my negotiations with reps this week, most are optimistic about the near future. To be sure, there is much to be happy about. However, it is unlikely that there will be a significant difference between working conditions over the next few weeks and those of the last few. The WGA’s rank and file must approve the new contract (though it appears that the strike will be called off while the details are worked out). Many TV shows will remain shut down until next season; some shutting down permanently, making it unlikely that many writers and crew will have jobs to return to next week. The local economy will continue to languish; with industry job losses and mortgage foreclosures likely continuing into the spring if not longer. However, the new deal should mak…

The Negotiation Culture: The Approach That (Might Have) Resolved The Strike
type: item
date: 2008-02-05T06:16:22Z
creator: Peter Kaufman
subject: Negotiations
subject: The Culture
subject: alfredo barrios
subject: amptp
subject: bob iger
subject: cynthia littleton
subject: daily variety
subject: dave mcnary
subject: entertainment law
subject: peter chernin
subject: robert iger
subject: strike
subject: unitedhollywood.com
subject: wga
subject: wga strike
subject: writers
subject: writers guild
subject: writers guild of america
description: As of this writing, news outlets are cautiously optimistic that striking writers will be able to close a deal with the AMPTP within the next few days. But what broke the impasse? Writers’ dwindling bank accounts? The studios’ mounting revenue losses? The Oscar telecast? While all of these elements were contributing factors, there’s no doubt … Continue reading The Negotiation Culture: The Approach That (Might Have) Resolved The Strike →
encoded: As of this writing, news outlets are cautiously optimistic that striking writers will be able to close a deal with the AMPTP within the next few days. But what broke the impasse? Writers’ dwindling bank accounts? The studios’ mounting revenue losses? The Oscar telecast? While all of these elements were contributing factors, there’s no doubt that the addition of studio principals to the negotiations made all the difference. Several weeks ago, Alfredo Barrios, a former corporate lawyer turned writer and WGA strike captain, posted a missive on a pro-WGA blog, unitedhollywood.com urging that studio principals become directly involved in talks in order to restart negotiations. Regardless of which side you’re on, and despite Alfredo Barrios’s obvious bias in favor of striking writers like himself, Barrios eloquently describes the “psychology” of the deal for both sides; a mindset that ultimately required the principals to take the lead in strike negotiations. The following is an edited version of Barrios’s post. You can read it in its entirety here. * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * BASIC RULES First, understand the relationship between Nick Counter and the studios. Itâ€ s essentially a lawyer-client relationship. The AMPTP is run by lawyers like Nick Counter and Carol Lombardini. Think of it as an in-house law firm. Their goal is to “negotiateâ€ deals with unions on behalf of their clients – the studios. As lawyers, Counter and Lombardi have to justify their paycheck. What does that mean? They have to add value. Theyâ€ ve promised to deliver a more favorable labor deal than the studios would get without them. Otherwise, there would be no point in hiring them (or more aptly, keeping them around). So our loss is their gain. And the bigger our loss, the bigger their gain. Now hereâ€ s the thing to remember, fairness and reasonableness have NOTHING TO DO with their approach. No corporate lawyer Iâ€ ve ever known has ever met with a client …

Potential Breakthrough In Writers Guild Strike
type: item
date: 2008-02-04T04:25:50Z
creator: Peter Kaufman
subject: Internet
subject: Negotiations
subject: Streaming
subject: Television
subject: amptp
subject: bob iger
subject: Deal Points
subject: dga
subject: directors guild of america
subject: entertainment law
subject: fall schedule
subject: guild leaders
subject: internet streaming
subject: labor law
subject: michael winship
subject: patric verrone
subject: peter chernin
subject: pilot season
subject: residuals
subject: richard verrier
subject: robert iger
subject: sag
subject: screen actors guild
subject: separated rights
subject: strike
subject: the los angeles times
subject: wga
subject: wga strike
subject: wgae
subject: wgaw
subject: writers guild of america
description: The Los Angeles Times and other news outlets reported over the weekend that the broad strokes of a deal between the AMPTP and the WGA could be in the offing as early as next Friday. The parties reportedly closed the gap over how much the studios should pay writers for free streaming of movies and … Continue reading Potential Breakthrough In Writers Guild Strike →
encoded: The Los Angeles Times and other news outlets reported over the weekend that the broad strokes of a deal between the AMPTP and the WGA could be in the offing as early as next Friday. The parties reportedly closed the gap over how much the studios should pay writers for free streaming of movies and television programs over the Internet. The parties still need to find a mutually agreeable distinction between content exploitation in which residuals would be payable and content promotion which would be residual-free. The Directors Guild closed their deal over these issues last month but many striking writers (and SAG members) criticized that deal for not going far enough on streaming. The breakthrough came when Bob Iger and Peter Chernin, the designated studio heads negotiating the deal, included more favorable streaming residuals than those in the DGA deal and separated rights for shows created for the Internet so writers receive extra compensation and credit for television shows based on online programming. However, Guild leaders issued the following cautionary statement on Sunday morning: To Our Fellow Members, While fully mindful of the continuing media blackout, we write you to address the rumors and reports that undoubtedly you have been hearing. The facts: we are still in talks and do not yet have a contract. When and if a tentative agreement is reached, the first thing we will do is alert our membership with an e-mail message. Until then, please disregard rumors about either the existence of an agreement or its terms. Until we have reached an agreement with the AMPTP, it is essential that we continue to show our resolve, solidarity, and strength. Picketing will resume on Monday. Our leverage at the bargaining table is directly affected by your commitment to our cause. Please continue to show your support on the line. We are all in this together. Best, Patric M. Verrone President, WGAW Michael Winship President, WGAE As I posted earlier, the break in the impasse h…

Cracks In The Veneer
type: item
date: 2008-01-29T07:36:36Z
creator: Peter Kaufman
subject: Negotiations
subject: amptp
subject: cobert report
subject: craig mazin
subject: dave mcnary
subject: Deal Points
subject: ego nickel
subject: entertainment law
subject: grammy awards
subject: jon stewart
subject: stephen cobert
subject: strike
subject: strike rules
subject: the daily show
subject: wga
subject: wga strike
subject: writers guild of america
description: The three month old writers strike dramatically reduced the number of produced programs for the 2007-08 television season and pilot season is now in jeopardy. Movie deals are on hold; term deals have been terminated for force majeure and thousands are either out of work or about to be let go (including several agents I … Continue reading Cracks In The Veneer →
encoded: The three month old writers strike dramatically reduced the number of produced programs for the 2007-08 television season and pilot season is now in jeopardy. Movie deals are on hold; term deals have been terminated for force majeure and thousands are either out of work or about to be let go (including several agents I know who are hard pressed to find any other form of meaningful work – go figure!). Studios and guild reps are under a news blackout while they engage in back channel and informal discussions regarding the strike impasse with the goal of more formal talks in the next few days; the first since negotiations broke down on December 7th. Guild leaders recently withdrew their animation and reality TV proposals. They also agreed not to picket the Grammys. The Guild’s actions could be viewed as good faith concessions to help restart negotiations. On the other hand, they could simply be signs of strike fatigue and capitulation. Whatever the motivation, the AMPTP’s perception (and that of the WGA membership) stand to profoundly affect the psychology of pending negotiations and ultimately, the outcome of any deal. While the Guild’s alternatives are limited, their current tactics may weaken the leverage that only a complete shut-down could support. The Guild continues to enter into piecemeal agreements with independent production and distribution companies – most recently, Lions Gate, RKO, Marvel and The Weinstein Company – based on the WGA’s initial proposals in an attempt to gain additional leverage. The WGA is betting that these deals will put pressure on the studios and networks to settle. However, the AMPTP dismissed these pacts as meaningless “one-off” agreements since the terms will be superseded by any deal ultimately negotiated by the parties. The Guild also runs the risk that these deals will split the rank in file between those working and getting paid on waiver-projects and those that remain unpaid and on picket lines. The Guild is already contending w…

Required Reading
type: item
date: 2008-01-20T20:45:08Z
creator: Peter Kaufman
subject: Celebrities
subject: Copyright
subject: Distribution
subject: Gaming
subject: Home Video
subject: Independent Film
subject: Internet
subject: Legit
subject: Licensing
subject: Print
subject: Rights
subject: Television
subject: entertainment law
subject: Negotiations
subject: strike
subject: the los angeles times
subject: the new york times
subject: wga
subject: wga strike
subject: writers guild of america
description: As part of my daily online read, I culled the following from the past week or so. Usually I post these links and any editorial to facebook. I am going to start posting the most significant ones – those that I think are required reading for reps (and our respective clients) – on a regular … Continue reading Required Reading →
encoded: As part of my daily online read, I culled the following from the past week or so. Usually I post these links and any editorial to facebook. I am going to start posting the most significant ones – those that I think are required reading for reps (and our respective clients) – on a regular basis to dealfatigue. Please let me know what you think. Scrabulous Facing Copyright Infringement Charges Change in the Business Model at EA Games In Tentative Deal, Directors Send Message To Screenwriters Arts Council in England Taketh (and Giveth), Leaving Anger in Its Wake Netflix lifts limits on seeing online movies Read this if you read anything today. This is where video (and TV…) are headed. Wondering if it’s possible to do a deal with Netflix and Apple directly as you can with music. Which comes on the heels of . . . Apple Bets on Online Movie Rentals Oprah Winfrey getting her own TV network TV studios cut more overall deals Companies cite WGA strike as main cause Steroids beyond sports Celebrities now among those linked to drug shipments American Library Association announces literary award winners

Non-Scripted Outlets Want A Bigger Piece Of The Hostess Pie
type: item
date: 2007-12-22T17:29:07Z
creator: Peter Kaufman
subject: Actors
subject: Deal Points
subject: Negotiations
subject: Non-Scripted Programming
subject: Notable
subject: Television
subject: bobby flay
subject: emeril lagasse
subject: entertainment law
subject: food network
subject: hgtv
subject: host
subject: hostess
subject: mario batali
subject: network
subject: rachael ray
subject: reality television
subject: scripps
subject: the new york times
description: The Food Network made Emeril Lagasse and Rachael Ray into television stars and household names. They’ve also become multi-millionaires from the sales of countless books and other merchandise; revenues the network admits are typically excluded from their talent deals. The NY Times reports that about a year ago, the “Food Network began aggressively trying to … Continue reading Non-Scripted Outlets Want A Bigger Piece Of The Hostess Pie →
encoded: The Food Network made Emeril Lagasse and Rachael Ray into television stars and household names. They’ve also become multi-millionaires from the sales of countless books and other merchandise; revenues the network admits are typically excluded from their talent deals. The NY Times reports that about a year ago, the “Food Network began aggressively trying to change that with new deals that were ‘way more onerous’ from the starsâ€ point of view, said a person who has been affected by the changing strategy, by insisting on a stake in book deals and licensing ventures, and control over outside activities.” This is an important sea change in talent negotiations on non-scripted programming. While my experience has been that network participation in merchandising has been part of the ask from cable outlets, it has not, for the most part, been a deal breaker and then only when it arose from an outlet’s desire to embark on its own merchandising efforts (i.e., revenues from branding the network as opposed to the talent). The Food Network’s approach will likely influence future negotiations at other outlets breaking new talent in their programming though probably less so on deals featuring talent with more hosting experience (i.e., brand recognition in their own right) or have pre-existing merchandising deals. Such talent will have more negotiating leverage but if pressed, may be able to negotiate limited outlet participation “above a baseline” from any bump in merchandising revenues after hosting the outlet’s programming.

No Strike Waivers For TV Yet But Web Start Ups Tempt Writers
type: item
date: 2007-12-18T08:14:59Z
creator: Peter Kaufman
subject: Guilds
subject: Internet
subject: Television
subject: conan o'brian
subject: daily variety
subject: dave mcnary
subject: david letterman
subject: entertainment law
subject: film roman
subject: icebox.com
subject: jay leno
subject: joseph menn
subject: labor law
subject: level13.net
subject: strike
subject: the los angeles times
subject: the new york times
subject: the tonight show
subject: wga
subject: wga strike
subject: writers
subject: writers guild of america
subject: youtube
description: Variety’s Dave McNary reported that the WGA rejected requests for strike waivers by the Golden Globes and Oscar telecasts today. While the Guild granted waivers during the strike in 1988, I doubt they will now- even to Letterman and Leno -until and unless meaningful negotiations resume for two reasons. Awards shows present a high profile … Continue reading No Strike Waivers For TV Yet But Web Start Ups Tempt Writers →
encoded: Variety’s Dave McNary reported that the WGA rejected requests for strike waivers by the Golden Globes and Oscar telecasts today. While the Guild granted waivers during the strike in 1988, I doubt they will now- even to Letterman and Leno -until and unless meaningful negotiations resume for two reasons. Awards shows present a high profile opportunity to make an adverse and very public impact on the quality of these telecasts. Secondly, any waiver now, absent meaningful negotiations and in the face of mounting holiday debts for WGA members, may erode the widespread support of Guild members to the cause. * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * The LA Times ran a story that striking writers are in talks with venture capitalists to finance and launch Internet start-up companies. “Silicon Valley investors historically have been averse to backing entertainment start-ups, believing that such efforts were less likely to generate huge paydays than technology companies.” There’s been a change in that perspective, albeit a limited one, after the success of Youtube. I’ve been involved in several of these deals. One started just before the strike and was in production as late as last week. They’re interesting opportunities on the cutting edge of where the entertainment business appears to be headed. However, without the right business model, these ventures will – if they go anywhere – lead to cross-over deals for TV programming rather than a big pay day for an Internet venture. It reminds me of Web 1.0’s icebox.com or my stint with Film Roman’s Level 13 back in the day. Despite the risks, more and more of my clients are migrating to the Internet, if not for the potential payoff then for a chance to broaden their experience and marketability down the road.

Internet Delivery Now Streeting With Traditional Home Video
type: item
date: 2007-12-16T21:57:57Z
creator: Peter Kaufman
subject: Home Video
subject: Internet
subject: Licensing
subject: Markets
subject: Negotiations
subject: Rights
subject: Television
subject: blu-ray
subject: dvd
subject: entertainment law
subject: jonathan handel
subject: the bourne ultimatum
subject: the los angeles times
subject: vudu
description: Jonathan Handel’s blog alerted me to the pending “day and date” release of the “The Bourne Ultimatum” on both DVD and via Internet delivery on December 18th. As Handel and the LA Times report, this will be the first day and date release of a motion picture on video in both Internet/electronic media and physical … Continue reading Internet Delivery Now Streeting With Traditional Home Video →
encoded: Jonathan Handel’s blog alerted me to the pending “day and date” release of the “The Bourne Ultimatum” on both DVD and via Internet delivery on December 18th. As Handel and the LA Times report, this will be the first day and date release of a motion picture on video in both Internet/electronic media and physical media. Usually (if there is such a thing given the pace of things now), electronic delivery of a motion picture streets with the pay-per-view or pay-TV windows. Simultaneous Internet/Home Video release dates are consistent with current deal terms and those of older vintage that producers and distributors routinely negotiate for home video rights on motion pictures. The difference now is the form of delivery; physical media vs. electronic media. Although the revenue splits on existing deals might get tricky depending on the terms negotiated, the business is already acclimated to evolving home video revenue structures having moved from the traditional royalty formula to revenue sharing. While Handel correctly raises the prospect of brick and mortar retailer resistance, I suspect the issue of greater impact will come from producers, actors, financiers and other profit participants on motion pictures. Once they become aware of the more favorable cost differential between video tape manufacturing costs and broadband delivery they will expect a payment structure that accounts for the savings much as the WGA is demanding now.

“Drinking From The Trough Of Distrust”
type: item
date: 2007-12-10T09:46:34Z
creator: Peter Kaufman
subject: Guilds
subject: Negotiations
subject: Notable
subject: Writers
subject: craig mazin
subject: dave mcnary
subject: entertainment law
subject: huffington post
subject: jonathan handel
subject: labor law
subject: robert king
subject: strike
subject: wga
subject: wga strike
subject: writers
subject: writers guild of america
description: That’s what I said as I cautioned the rep on the other side of recent negotiations unrelated to the WGA strike talks. I was sharing my very real concern that our negotiations were polarizing our respective clients and actually making it harder, if not impossible for us to close a deal. Strike negotiators for both … Continue reading “Drinking From The Trough Of Distrust” →
encoded: That’s what I said as I cautioned the rep on the other side of recent negotiations unrelated to the WGA strike talks. I was sharing my very real concern that our negotiations were polarizing our respective clients and actually making it harder, if not impossible for us to close a deal. Strike negotiators for both sides are well advised to conduct themselves accordingly. Dave McNary wrote in Variety that talks tanked late on Friday “after two weeks of bitter and unproductive negotiations” with no real sign of when or whether they will continue any time soon. Sounds pretty grim but maybe a holiday hiatus from hostilities (and several good nights’ of sleep, I suspect) will make for more productive negotiations. For a thorough breakdown of the issues, check here and here. Prior to Friday’s “cratering,” Robert King, a member of the WGA Negotiating Committee, blogged prosaic on the state of negotiations and the current mindset of the parties this way: Part of the problem of negotiations—and especially this negotiation—is that both sides tend to interpret the contractual proposals and counter-proposals in one way: as an attempt to fuck them. This is complicated by the fact that sometimes managementâ€ s proposals are designed to do exactly that; and sometimes they arenâ€ t designed to do that, but might be used later by less enlightened souls to do that. So dialogue, in a smaller room, with fewer people, and less of the theatrics of negotiations, allows everyone to discover what wasnâ€ t designed to fuck; or was designed to protect against being fucked by someone else and has only the appearance of a personal fuck; what was inelegantly put; what has unintended consequences, etc. Itâ€ s also a place where language can be designed that satisfies everyoneâ€ s fears of being fucked. In other words, sometimes there is the illusion of being farther apart than we actually are; and smaller side bar dialogue helps us discover if thatâ€ s indeed the case. And then again there is …

London Calling For Outsourced Writing
type: item
date: 2007-11-19T04:25:14Z
creator: Peter Kaufman
subject: Guilds
subject: Independent Film
subject: Writers
subject: canadian writers
subject: daily variety
subject: entertainment law
subject: labor law
subject: london calling
subject: strike
subject: uk writers
subject: wga
subject: wga strike
subject: writers
subject: writers guild
subject: writers guild of america
subject: writers guild of canada
description: With the WGA strike two weeks old tonight, the demand for quality writers (or near-acceptable substitutes) is getting acute. The Guild only has jurisdiction in the US; making Canadian or UK writers a potential writing resource during the strike. In other words, Canadian and UK writers living and working in their respective countries should be … Continue reading London Calling For Outsourced Writing →
encoded: With the WGA strike two weeks old tonight, the demand for quality writers (or near-acceptable substitutes) is getting acute. The Guild only has jurisdiction in the US; making Canadian or UK writers a potential writing resource during the strike. In other words, Canadian and UK writers living and working in their respective countries should be able to write for the studios and networks without retribution. However, reps with writing clients overseas – myself included – are advising caution. As far as the Guild is concerned, the less writing anywhere, in any media, the better negotiating leverage they have with the studios.The Guild’s Strike Rules threaten non-union scribes with denial of future Guild membership if they’re caught scab-writing for struck companies. The Writers Guild of Canada made it clear it would turn in any Canadian writers caught working for struck companies during the strike. Although UK resident writers could likewise write during the strike, there is mounting pressure for them to stand down as well. Could India be next? Here in Los Angeles, rep confusion abounds. I’ve debated with several agents and lawyers over what constitutes permitted writing for Guild members and non-members during the strike. For instance, can a WGA member: work for a non-struck company? work on an Internet-based project? work in animation? go to meetings for the writer’s optioned property? Not really, it depends, maybe and probably not. Not exactly a bright line. The WGA Strike Rules prohibit its members from working for “struck companies;â€ typically companies that are signatories to the now-expired Minimum Basic Agreement. The distinction between struck (signatory) companies and non struck, non-signatory companies is a fallacy since WGA members are prohibited from working for non signatory companies. Although the Guild encourages its members to contact them for clarity, anecdotal evidence suggests otherwise as the Guild has yet to return any of my clients’ calls. In t…

A Rock And A Hard Place
type: item
date: 2007-11-05T05:26:36Z
creator: Peter Kaufman
subject: Guilds
subject: Negotiations
subject: Writers
subject: craig mazin
subject: entertainment law
subject: labor law
subject: rock and a hard place
subject: strike
subject: wga
subject: wga strike
subject: writers
subject: writers guild of america
description: Craig Mazin waxes philosophical on tomorrow’s likely strike in his blog, The Artful Writer. Mazin wrote “I love the idea of [a] strong strike threat that leads to a deal. That’s my greatest hope (and it’s not dead yet). I hate the idea of a strike itself, which I think will hurt us. That’s my … Continue reading A Rock And A Hard Place →
encoded: Craig Mazin waxes philosophical on tomorrow’s likely strike in his blog, The Artful Writer. Mazin wrote “I love the idea of [a] strong strike threat that leads to a deal. Thatâ€ s my greatest hope (and itâ€ s not dead yet). I hate the idea of a strike itself, which I think will hurt us. Thatâ€ s my greatest fear.” Craig must be reading my blog posts. More likely, we both understand the foreseeable consequences. Like Craig, I still hold out the possibility for more talk of a deal and less of a strike. My bet against a strike is still good – for now. An informal poll of my colleagues and clients supports the conclusion that a strike is a lose-lose outcome for everyone in the business; the writers in particular, regardless of any gains for the Guild at the negotiating table. Mazin writes: The WGA will always suffer more than the companies in a strike. And, I think given the realties of the industry today, I think the WGA will always lose a strike. Always. . . . If we strike, itâ€ s about proving to the companies that weâ€ re still a union that can do something. And for many writers here, that may be reason enough.

Feed Problem Fixed
type: item
date: 2007-11-03T07:20:47Z
creator: Peter Kaufman
subject: No tags
subject: entertainment law
description: Apparently, my feed hasn’t been working for some time. I fixed it and it is now available. Just click the orange box marked “subscribe” in the right hand column of my blog. Sorry for the inconvenience.
encoded: Apparently, my feed hasn’t been working for some time. I fixed it and it is now available. Just click the orange box marked “subscribe” in the right hand column of my blog. Sorry for the inconvenience.

Ari’s Take On The Strike
type: item
date: 2007-11-02T02:11:36Z
creator: Peter Kaufman
subject: Agents
subject: Guilds
subject: Writers
subject: ari emmanuel
subject: entertainment law
subject: strike
subject: wga
subject: wga strike
subject: wme agency
subject: writers guild
description: Found this interesting reading re Ari Emanuel @ Endeavor’s take on the Writers’ Strike. Nikki Finke doesn’t agree.
encoded: Found this interesting reading re Ari Emanuel @ Endeavor’s take on the Writers’ Strike. Nikki Finke doesn’t agree.