Heading into the fall festivals some US sales agents are considering whether to forego SAG-AFTRA interim agreements allowing actors to promote their independent acquisition titles so that buyers will not be bound by the Guild’s proposed contract terms.
Screen has learned of one case where a sales agent has already refused to sign the agreement for one of its TIFF titles out of concern that acquisition executives will be less likely to transact.
SAG-AFTRA has said any sale of an independent feature covered by an interim agreement will bind buyers to the Guild’s proposed terms unveiled during the failed contract talks with Alliance Of Motion Picture And Television Producers (AMPTP).
The Guild’s national executive director and chief negotiator Duncan Crabtree-Ireland stated the policy during a virtual press conference with media on Tuesday.
“The contract contains assumption provisions which require any party that acquires rights under that collective bargaining agreement to assume the obligation to pay the residuals that are required by the contract,” Crabtree-Ireland told reporters, later adding that once a deal is struck with AMPTP, terms under the interim agreement and a new three-year contract would be reconciled.
For sellers, the primary focus is holding on to a film’s sales potential – even if it means not bringing talent to promote a film.
The situation is also causing headaches for buyers. SAG-AFTRA’s proposed standard terms include a share of streaming revenue for actors, triggering a rumour that streamers might temporarily put the brakes on film acqisitions. Crabtree-Ireland refered to this on Tuesday, although Screen understands that is not necessarily the case and streamer acquisition teams will be scouring the fall festivals for opportunistic buys.
Nonetheless there remains concern that the SAG-AFTRA terms may discourage the acquisitions sector more broadly and dampen activity at the fall festivals, which kick off awards season. On top of that, buyers suspect asking prices are set to rise again – after recent hikes due to inflation and other factors – given that demand for new titles is likely to be high as the widescale production shutdown caused by the strikes impacts the 2024 release calendar.
Crabtree-Ireland’s words and SAG-AFTRA’s interim agreement policy have compounded the confusion surrounding what producers, buyers and sellers can and cannot do in the run-up to the fall festival trifecta of Telluride, Venice and Toronto.
What has not helped matters is that of the more than 200 interim agreements already handed out – which cover production permission and talent promotion permission – some approved projects involve AMPTP-related companies.
Apple is the worldwide distributor on Tehran, the spy series that received an interim agreement to shoot its third season in Israel. Similarly there has been an interim agreement on The Watchers, the debut feature by M Night Shyamalan’s daughter Ishana Night Shyamalan, which has been shooting in Ireland and involves Warner Bros Discovery-owned New Line Cinema.
Crabtree-Ireland reiterated on Tuesday that conflict of labour laws meant that in some cases projects with AMPTP elements shooting outside the US jurisdiction could go ahead. He also said that while the Guild assesses applications for interim agreements to ensure there are no “AMPTP fingerprints on them”, its primary focus is to confirm no AMPTP signatory is producing and/or financing a project, while some projects involving distributors affiliated to AMPTP might get through.
SAG-AFTRA tweaked its rules on Monday so that going forward any independent project written under Writers Guild Of America (WGA) contracts will be ineligible for an interim agreement. Crabtree-Ireland said on Tuesday that some 15-20% of projects the Guild is looking at are covered by WGA contracts. The policy tweak will not affect any project that has already received an interim agreement.
The executive added that, 33 days into the SAG-AFTRA strike, he wanted to resume contract talks. “We remain very eager to get back to the table with the AMPTP as we’ve said every day since July 12. We have been ready, willing and able to continue bargaining with them and we very much want the AMPTP to come back to the table.”
He expressed “cautious optimism” over the WGA and AMPTP talks, which appear to be inching back into life after more than 105 days of industrial action. The parties sat down on August 11 and WGA is reviewing a new counter-proposal from the AMPTP.
After the press conference Crabtree-Ireland issued the following statement: “We urge our members to audition for projects approved under the interim agreement. If they appear in an approved production, they should be comfortable celebrating and fully promoting it. SAG-AFTRA believes these agreements are an important opportunity to improve the union’s bargaining position, while giving room for journeyman actors and crew to work during the strike.”
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