Types of Deals To Know

Explain the following types of deals between a studio and a writer, a producer, and other producing entity and how they differ from the others.

1. Development Deal – this is a non-exclusive agreement between two parties to develop a screenplay from an original idea, or a novel, play, magazine, article, etc. into a screenplay. This arrangement usually exists between a writer and a producer or producing entity, but it may include other elements like a director, or producer.
2. First Look Deal – A term agreement lasting three or more years between a movie studio and a producing entity on a first look basis. Writer, producers, directors, and stars can act as producers in this arrangement. Basically, any idea, whether original or based on other material, gets pitched to this particular movie studio first. If the studio chooses not to develop the idea, the producer is free to take it to another studio or financier.
3. Exclusive Deal – A term agreement generally lasting three or more years between a movie studio and a producing entity on an exclusive basis. Writers, producers, directors, and stars can act as producers in this arrangement as well. Any idea whether original or based on other material gets pitched to the movie studio. In this arrangement, if the studio does not wish to develop the idea further, the producer CANNOT take it to another studio or financier.