Signing Your First Screenwriting Contract, the Do's and Don'ts
A basic introductory guide to the types of screenwriting contract agreements one might come across, how to manage them, and what etiquette is expected throughout the negotiation process. So, now that you finally made it. . .
FOR THE SCREENWRITER
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You receive your first call back. A producer is interested in your work. They even offer you a deal. There comes a sensation of relief, all those years of hashing out scripts have finally paid off. But then you ask yourself, what kind of deal will be proposed to you? What will it entail? What kind of creative work will you be doing? How much will you get paid? And how long will it take? These are the common wonders when going into our first contracts, and rightfully so. There are some lessons to be learned along the way.
DO
familiarize yourself with screenwriting contracts and how they differ.
Option agreement
An option is when a producer purchases, or ‘rents’, exclusive rights to your script or concept for a given period of time. You retain ownership of your work while they explore potential talent to package, partnerships, financing, etc. They have sole rights to buy your script during or at the end of the option period. In the current marketplace, unpaid options are becoming more common, but many producers still pay. Options can include revisions of your work. If you want to receive compensation for revisions, make sure they are included in the contract.
Purchase agreement
This one is self-explanatory. It is when a producer or studio purchases your script or concept. The property is forever theirs’ unless they sell it elsewhere. If selling your ‘babies’ sounds tragic, remind yourself that a sale will most-likely be your biggest payday and, maybe more importantly, the closest step to production.
Shopping deal
A shopping deal gives producers the right to ‘shop around’ your script or concept to potential buyers. They are usually non-exclusive but sometimes can be. Shopping deals are unpaid. Producers or managers do not own the rights to your work but instead hustle to lock in a sale for it.
Development deal
A development deal is when a producer or studio hires you to develop ideas, which may be introduced by either party . This contract can cover multiple film and/or television concepts, but terms significantly differ. Blind, if/come, and overall deals are most common for established writers.
Writing assignment
A writing assignment is when a producer or studio hires you to write or develop a single project, which comes from their original idea or intellectual property. These assignments are short-term in comparison to development deals and the producer or studio retains ownership of the work regardless of your creative contributions.
DON’T
hesitate to seek advice.
Contracts details are often overlooked by the upcoming writer due to lack of knowledge and experience. This brings us to a most infamous question: ‘How do I get an agent?’. Contrary to popular belief, an agent typically comes after your first offer. The agent’s role is to negotiate your contracts, not find you work.
Sure, there are piles of spec scripts overwhelming most agents’ desks — for which the agents are vying to find a buyer — but keep in mind the writers of these scripts have likely built a relationship with their agents over time. Though possible, getting an agent before your first offer is unusual. Once you get your first offer, the time is now: you have financial incentive for agents to take you on as a client.
If you can’t get an agent, don’t worry (Screenwriter Paddy Chayefsky, the three-time Oscar winner, went through much of his career without one). There are plenty of other resources out there to help you understand what it is you’re signing. Contact writers you know personally, reach out to your extended professional network, or consult testimonies and references.
DO
keep up to date with industry standards.
You’ll want to gain an understanding of how your contract should be for the betterment of your career. While negotiating with the producer (this can take time), acquaint yourself with the ins and outs of not only the contract but the current marketplace.
Cross-reference your pay rates with standards established by guilds or institutions. If you’re in the United States, the WGA (Writers Guild of America) minimums can be found online, even if you’re not a member. In France, there is a list of minimums provided by the SACD (La Société des Auteurs).
DON’T
bring contract discussions into creative meetings.
Negotiations can grow intense if the parties struggle to agree on terms. Say you find yourself in a stand-still, you will most definitely have creative meetings before receiving a finalized contract. Disagreements regarding the contract or negotiations must never be brought up during creative discussions.
Say you’ve found an agent, they can play the bad cop while you focus solely on what the producer hired, or is about to hire, you for: the writing. If your contract negotiations do get to the point where you need to stop working, your agent will let you know.
Two rules of thumb that writers without agents follow: do research to make sure the producer you’re working with is reputable. Then, if comfortable, begin writing but don’t send any drafts until the contract is signed.
DO
wait until the paperwork is signed to celebrate.
First offers can be exciting. But it’s important to control emotion and think professionally so that you are prepared to answer the questions that arise while considering the conditions that come with that dotted line.
Remember to do your due diligence, seek out advice, trust your instincts, and act ethically to maintain professional integrity. Screen Contrarian is rooting for you. When your first deal comes, make it count.
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