CONTRACT SUMMARY
DATED.
BETWEEN
1.PARTIES:________________("Licensor") and
______________________________________ ("Distributor").
2.FILM(S): ____________
3.TERRITORY:
4.TERM: Commencing on the date of full execution of this agreement and expiring 7(seven) years after commercial release of the Film(s) in the Territory ("Initial Term") subject to the completion and delivery of the Delivery Materials by the Delivery Date (as defined in clause 8 of the Standard Terms and Conditions incorporated herein as Schedule B), such term to be extended by the equivalent period of time of any delay in the delivery of the Delivery Material beyond the contractual delivery date, provided, however, that in the event that delivery of the Delivery Material is not made by 60 days following the Delivery Date, this Agreement will be deemed terminated and the first 10% (ten per cent) of the Advance will be immediately repayable to Distributor. The Initial Term shall be automatically extended by an additional 7 (seven) years in the event that the aggregate of the advance, royalties, further advance and any other sums actually paid to Licensor during the Initial Term exceeds $________ (__________ United States Dollars).
| 5.HOLDBACKS: |
To be advised |
| 6.EXCLUSIVE DISTRIBUTION RIGHTS GRANTED TO DISTRIBUTOR |
Theatrical Rights Non-Theatrical Rights Videogram Rights Television Rights
|
| 7.DELIVERY MATERIALS:
|
To be delivered in full within 30 (thirty) days after execution of this agreement. |
| 8.ADVANCE TO LICENSOR: |
$ __________(__________ USDollars)fully recoupable from royalties set forth in Clause 9 |
| PAYABLE AS TO: | (i) % (ten per cent) on signature hereof; (ii) % (forty per cent) on completion of delivery of the Delivery Material. (iii) % (fifty per cent) on the first commercial release of the Film in the Territory. |
|
9. LICENSORŐS ROYALTY |
(a) Videograms % of the Wholesale Price for rental videograms (videograms sold at a published dealer price of $40 and over) % of the Wholesale Price for sell through or retail videograms (videograms sold at a published dealer price of less than $40) (b) Television % of Net Receipts Non-Theatrical % of Net Receipts Theatrical % of Net Receipts (c) Sub-Licensing % of Net Receipts |
10. RECOUPABLE COSTS: The following costs shall be paid for by Distributor and recouped by Distributor from Licensor's Royalty in accordance with the terms and conditions of this Agreement:
(a) The cost of producing Foreign Language Versions
(b) The Delivery Material
11 E & 0 Licensor shall obtain and pay for an errors and omissions policy for the Film in an amount equal to no less than $1,000,000, $3,000,000 annual aggregate, with an annual deductible not exceeding $10,000 for a term not less than three (3) years commencing upon the execution of this agreement which shall name Distributor as an additional insured.
The Advance to Licensor and Licensor's Royalty are payable in accordance with the Standard Terms and Conditions annexed hereto and made a part hereof as Schedule B.
IT IS AGREED that in accordance with the following schedules and conditions annexed hereto and made part hereof Licensor appoints Distributor as exclusive distributor of the Film(s) in the Territory.
As witness the hands of the duly authorised representatives of the parties the day and year first above written.
For and on behalf of
_______________________________________
Name:_______________________________
Status:______________________________
For and on behalf of :
_______________________________________
Name:_______________________________
Status:_____________________________