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.
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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
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
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
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