California Film and TV Packaging Attorney Sebastian Gibson
California Film and TV Packaging Attorney Sebastian Gibson
The WGA Lawsuit To Stop The Talent Agency Practice of Charging Film and Television Packaging Fees
The Writers Guild Association has filed a lawsuit to change the current system of talent agencies charging packaging fees to producers. Until writers were advised to fire their talent agencies, talent agencies have charged a “packaging fee” to producers to put together a cast, an A-list actor, the right director and most important to the WGA, the right writer for the producer’s project. In the opinion of California Film and TV Packaging Attorney Sebastian Gibson, this may have a huge effect on the practice by Talent Agencies charging film and television packaging fees.
Talent agencies have commonly refused to submit a project to their talent unless they have a viable production company with good prospects for distribution of the project and importantly to the issue at hand and the WGA lawsuit, a packaging fee has been agreed to between the producer and the talent agency.
The WGA filed suit against four key talent agencies in April 2019, seeking to invalidate packaging fees. WGA members then fired their agents after the April 13 order that members can only be represented by agencies that have signed the WGA’s Code of Conduct. Only a small number of talent agencies have signed the code at the time this article is being written.
As of the date this article is being written, two of those talent agencies have now responded to the WGA lawsuit by filing an antitrust suit against the Writers Guild of America.
The WGA is expected to respond in a few days with own assertions of antitrust conduct by the agencies and has directed all of its 15,000 members to fire their agents.
As it thus would appear, claims and counterclaims are being asserted, negotiations have stalled and as of the date of this writing, negotiations do not appear to be going anywhere. The present stalemate is expected to continue through the summer and could last until there is a court determination or court-ordered mediation.
How Packaging Fees Work
The packaging fee generally comes out of the eventual budget and is eventually paid by the producer or the studio entity, and that is what causes this additional issue. It’s been argued by the WGA that by looking to their own interests as opposed to that of the talent they represent, including that of writers signed by the agency, the packaging fee system creates a serious conflict of interest.
When a talent agency charges a producer a packaging fee and won’t pass a project to their talent until a packaging fee has been agreed to with a producer, it is also being argued that packaging fees violate California’s Unfair Competition Law.
Anti-kickback provisions in federal law prevent any representative of an employee from receiving any money or other things of value from the employee’s employer.
The California Entertainment Law Firm of California Film and TV Packaging Attorney Sebastian Gibson
California entertainment attorney Sebastian Gibson has been called “Brilliant” and “A Legend” and is a cum laude graduate of UCLA. He has law degrees both from the University of San Diego School of Law and from Cardiff University in Wales where he graduated magna cum laude.
With these dual law degrees in the U.S. and Great Britain, and over 40 years of combined experience both in London and California, Sebastian Gibson is the international entertainment law firm to turn to for music events, festivals and world tours, music, film, television, songwriting, film music licensing, film and TV production agreements, publishing, modeling, athlete representation, and other creative aspects of the entertainment industry in the U.S., the UK and around the world.
California Film and TV Packaging Attorney Sebastian Gibson
Focused on bringing great film projects to UK film producers who recognize the unique voice of British actors, directors and crews and as a California entertainment powerhouse working with actors, musicians, songwriters, novelists, models and athletes from offices just near enough to Hollywood but far enough from the congestion of LA, Sebastian Gibson is the right choice and the law firm to choose for all your entertainment endeavours from California to the UK and throughout the world.
California Film and TV Packaging Attorney Sebastian Gibson has been named one of the 2020 Top Lawyers by the prestigious Palm Springs Life Magazine for the past 12 years in a row and is one of the most acclaimed lawyers in the Coachella Valley of California. He has written for the Los Angeles and San Francisco Daily Journal Newspapers, is a published novelist and wrote and recorded the music and lyrics for the musical, Shake in London. He has a top rating of “Superb” by Avvo, their highest rating, which rates attorneys all across the U.S.
Alternatives to Paying Talent Agency Packaging Fees
As a result of this practice, some of the more experienced entertainment lawyers have attempted to negotiate deals between the producer and the writer, the actors, the director and distributors. By doing so, some producers have in some instances been able to avoid this systematic hold over producers by which talent agencies refuse to pass projects on to talent signed by the agency before a packaging fee has been arranged.
It’s also become more common as well for top name talent, including Jennifer Lawrence and Leonardo DiCaprio to bypass the talent agency system and to have their own representatives negotiate the actors’ deals themselves.
However, generally for most of the talent in Hollywood, talent agents have been compared to the guardians who control the gates which can open or close deals. They can make or break projects as they control so much of the talent base in Hollywood.
While producers and directors have felt the need to work with talent agencies who can submit projects to Netflix, Amazon, Hulu, and other streaming services and platforms, and now with HBO Max and NBCUniversal and other streaming services gearing up to compete, if the WGA members’ firing of their talent agencies and lawsuit breaks the talent agency practice and hold over their talent, things could open up for producers who wish to avoid having to pass muster with talent agencies before their projects are passed on to their talent.
There are also some experienced entertainment law firms who can also submit projects to talent in the UK and thereafter to British broadcasters and producers and who have the contacts and experience in Europe markets.
One of those markets, Great Britain, for instance, is arguably producing some of the finest dramatic television series and natural history documentaries in the world not to mention films which consistently win Oscars.
Instead of an actor paying 10% to their agent, and then another 15% to their manager, thereby substantially reducing their earnings, actors and other talent producers and actors such as Leonardo DiCaprio and Jennifer Lawrence realize they can utilize an entertainment law firm on more favorable terms to negotiate their deals and deal points.
How Talent Gets Locked Into The Talent Agency System
Talent in today’s entertainment industry has become locked into the talent agency system on an exclusive basis, just as they were locked into exclusive deals with studios in decades past. While being represented by a talent agency which represents a number of major productions can be advantageous, not all talent agencies have the same clout.
Talent agencies do, however, often have massive contacts within film and television production companies and studios which gives them access to information on projects in development and the casting directors looking to fill roles for those projects. But if, as a result of the WGA members’ firing of their talent agencies and lawsuit open those lines of communication previously exclusive to talent agents, there could be changes to the current packaging fee practice of talent agencies.
More On The Writers Guild Lawsuit
The Writers Guild of America has filed suit in a Los Angeles Superior Court against talent agency packaging fees, alleging they are illegal. The Writers Guild in their lawsuit is asking the court to declare these packaging fees unlawful and to enjoin the agencies from future deals. They also want damages and disgorgement of “illegal profits” made pursuant to this practice. Some offers have been made to settle the lawsuit, but at the date this article is written, the case has not been settled.
By charging and then being paid by studios rather than by their talent, the WGA says a talent agency has no financial incentive to get writers more money.
Talent agents contend that packaging benefits their clients. However, writers state that as agents and fiduciaries, the agents are required to provide their clients with undivided loyalty and packaging, the writers claim, does not do that, and creates a conflict of interest.
The Writers Guild wants talent agents to abide by a new Code of Conduct and agree not to have an ownership interest in the production and distribution of content which is what in essence occurs with packaging fees being paid to talent agents.
The WGA newly installed Code of Conduct requires writers to fire the talent agents who refuse to abandon their practice of packaging and their affiliations with content production companies.
Time permitting, when the case is decided or settled, this article will be updated by California Film and TV Packaging Attorney Sebastian Gibson.
A California Entertainment Lawyer and the Law Firm of California Film and TV Packaging Attorney Sebastian Gibson
From Malibu to San Diego where California entertainment attorney Sebastian Gibson graduated from the University of San Diego School of Law, to his current offices in the Palm Springs area and Newport Beach to London where he has practiced law extensively, California Film and TV Packaging Attorney Sebastian Gibson is the right choice for all your entertainment film and television productions, projects in development and film and TV agreements for productions in the U.S., the UK and around the world.
With offices in the Palm Springs area where Live Nation will be opening a new arena in 2021 to Palm Desert to the eastern portion of the Coachella Valley where AEG subsidiary Goldenvoice produces the Coachella Valley Music and Arts Festival and the Stagecoach Music Festival, Sebastian Gibson is the Coachella Valley’s premier entertainment lawyer.
California Film and TV Packaging Attorney Sebastian Gibson
The law firm of California Film and TV Packaging Attorney Sebastian Gibson not only has Southern California covered, from Palm Springs to Orange County, but we have the world covered as well from London where some of the finest films and television series continue to be produced.
For many years one of the world’s most iconic entertainment law firms for modeling and publishing, representing models and writers throughout the world, California Film and TV Packaging Attorney Sebastian Gibson is on track to becoming one of the world’s leading attorneys for music, film, television, theater and worldwide entertainment events in addition to its expertise in the fields of modeling and publishing.
