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Production Financing Distribution Agreement Template for England and Wales

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Key Requirements PROMPT example:

Production Financing Distribution Agreement

"I need a Production Financing Distribution Agreement for a new animated series with a budget of £5M, where my production company will retain UK rights but grant international distribution rights to the financier who is providing 80% of the funding."

Document background
The Production Financing Distribution Agreement is a sophisticated legal instrument used in the media and entertainment industry when a project requires both funding and distribution arrangements. This document, governed by English and Welsh law, combines what traditionally might have been separate agreements into a single, coordinated framework. It's particularly useful for film, television, or digital content projects where the financier may also have distribution rights, or where coordination between multiple parties is essential for the project's success. The agreement covers everything from initial funding commitments to final distribution arrangements, including production milestones, delivery requirements, and revenue sharing mechanisms.
Suggested Sections

1. Parties: Identification and details of all contracting parties including Producer, Financier, and Distributor

2. Background: Context of the agreement, including project description and parties' intentions

3. Definitions: Key terms used throughout the agreement including Production, Territory, Rights, Net Profits etc.

4. Production Obligations: Producer's obligations regarding the creation of the content

5. Financing Terms: Details of funding structure, payment schedule, and conditions precedent

6. Distribution Rights: Scope of distribution rights, territories, and platforms

7. Revenue and Accounting: Revenue sharing, reporting requirements, and audit rights

8. Intellectual Property: Ownership, licensing, and protection of IP rights

9. Term and Termination: Duration of agreement and termination provisions

Optional Sections

1. Co-Production Arrangements: Additional provisions for when multiple production entities are involved in international co-productions or multi-party productions

2. Talent Obligations: Specific provisions regarding key talent commitments and requirements when talent attachments are crucial to the agreement

3. Tax Credit Provisions: Specific provisions for handling tax incentives and credits when production qualifies for tax relief schemes

4. Security Provisions: Additional security arrangements for financing when required by financiers

Suggested Schedules

1. Production Budget: Detailed breakdown of production costs

2. Production Schedule: Timeline for principal photography and post-production

3. Distribution Plan: Detailed marketing and distribution strategy

4. Chain of Title: Documentation proving clear ownership of rights

5. Key Deliverables: List of required delivery items for distribution

6. Revenue Waterfall: Detailed order of revenue distribution

7. Completion Guarantee: Terms of completion bond if applicable

8. Key Personnel: List of essential creative and technical personnel

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok³ÉÈ˰æ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Relevant legal definitions
















































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Relevant Industries
Relevant Teams
Relevant Roles
Industries

Contracts (Rights of Third Parties) Act 1999: Core legislation governing how third parties may enforce terms of a contract, essential for distribution and licensing arrangements

Unfair Contract Terms Act 1977: Regulates unfair terms in contracts, particularly important for negotiating distribution and financing terms

Misrepresentation Act 1967: Governs false or misleading statements made during contract formation, crucial for accurate representation of production and financial details

Copyright, Designs and Patents Act 1988: Primary legislation protecting intellectual property rights in creative works, fundamental for production and distribution rights

Trade Marks Act 1994: Protects branding and marketing elements associated with the production and its distribution

Financial Services and Markets Act 2000: Regulates financial services and markets, relevant for financing arrangements and investment structures

Communications Act 2003: Governs broadcasting and telecommunications, essential for distribution arrangements and content regulation

UK General Data Protection Regulation: Controls the processing of personal data, important for handling talent, crew, and customer information

Competition Act 1998: Ensures fair competition and prevents anti-competitive practices in distribution and licensing agreements

Value Added Tax Act 1994: Governs VAT implications of production, financing, and distribution activities

Film Tax Relief regulations: Specific tax provisions for film production, affecting financing structure and production arrangements

BFI Guidelines: Industry-specific guidelines from the British Film Institute affecting production and distribution standards

Private International Law (Miscellaneous Provisions) Act 1995: Governs international aspects of the agreement, particularly relevant for international distribution

Employment Rights Act 1996: Regulates employment relationships, important for talent and crew contracts within the production

Data Protection Act 2018: UK's implementation of data protection requirements, complementing GDPR provisions

Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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