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Nuts & Bolts of Non-disclosure Agreements

How can a filmmaker safeguard their idea during the submission process? Here are a few tips:

  • Don’t disclose too much information. When pitching your idea to a producer, don’t volunteer any more information than what is necessary to give the producer a thumb nail sketch of your idea.
  • Make use of confidentiality/Non-Disclosure Agreements. A confidentiality agreement or non-disclosure agreement (NDA) serves an important purpose. It can help protect a filmmaker’s idea at a stage when it is most vulnerable to being pirated (i.e., when it is introduced for the first time to a writer, investor or other potential collaborators). A NDA or confidentiality agreement imposes upon the recipient an obligation to promise not to reveal any of the secrets or other confidential information given to them prior to completion of the script and/or release of the finished film or TV program.
  • Be sure to register the script with the U.S. Copyright Office and/or with the Writers Guild of America (WGA).

Now for a shot of reality. Studios and production companies are reluctant to agree to treat an unsolicited idea or script as confidential, or enter into a written or oral nondisclosure agreement. Why? Because the existence of a confidential relationship allows the filmmaker to sue a company that steals or misappropriates a filmmaker’s idea for damages under a theory of breach of contract.

However, to the extent that the producer or recipient of an idea or script agrees to sign a confidentiality agreement, one should absolutely be drafted. As far as the substance of the agreement, it should contain language describing the purpose of the meeting (e.g., funding) and a general description of the information that will be shared.

Alternatively, the parties may decide to sign a submission agreement. If so, a well-drafted submission agreement should contain terms of confidentiality and non-disclosure. Submission agreements go beyond just protecting the idea or script from unauthorized use or disclosure. Many include terms that explicitly state that payment will be made to the filmmaker if the receiving party uses the idea without the filmmaker’s consent.

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