Location Scout + Location Manager R. Richard Hobbs
APA/LA Hosts Free Roundtable Discussion on Omnicom Issue | Thursday April 2, 2009, 7pm | Helms Daylight Studio 3221 Hutchison Ave. Los Angeles CA 90034
In response to Omnicom’s recently announced plan to operate under the premise of sequential liability, APA/LA is hosting a roundtable discussion of this policy and the adjoining no advance policy and how it effects our industry.
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Google Blog Search: “sequential+liability”
Google Blog Search Results: 136 results for “sequential liability” - showing 1 through 10
In March, New York-based Omnicom Group began enforcing the sequential liability clause in advertising contracts, asserting that ad agencies will no longer be responsible for paying production fees until the client has paid for the …
Source: "sequential liability" - Google Blog Search | Richard
The agency has been pushing broadcasters to accept sequential liability terms, meaning stations bills won’t be settled unless the agency gets its cash. While some have resisted, other media outlets have accepted those requirements. …
Source: "sequential liability" - Google Blog Search | Albright & Malley
BNET Advertising provides daily industry news coverage and insights for managers and executives about the major companies in advertising, marketing, and public relations.
Source: "sequential liability" - Google Blog Search | Jim Edwards
Sequential liability is something that was not at the forefront of client discussions. It is now and we got sequential liability with a number of key vendors, and some vendors we don’t. It’s an area we are going to try and push very …
Source: "sequential liability" - Google Blog Search | Jim Edwards
AICP | Doing Business: Sequential Liability AICP | Doing Business: Sequential Liability …Sequential Liability means that the agency as agent for its principal, the advertiser, is liable for… comments for nyc.locationscout.us.
Source: "sequential liability" - Google Blog Search | LOCATIONSCOUT - AICP | Doing Business: Sequential Liability
Sequential liability is language in the production contract between vendors and ad agencies. It states that the agencies act as third party agents on behalf of their clients but cannot be held accountable for making payment on the good …
Source: "sequential liability" - Google Blog Search | Jerry Solomon
Add to this the growing prevalence of sequential liability by which agencies won’t pay production houses according to the contractually agreed upon timetable if they haven’t yet been paid by the clients, and you find the production …
Source: "sequential liability" - Google Blog Search | R. Richard Hobbs
Google Blog Search: “sequential+liability” “sequential liability” - Google Blog Search Google Blog Search Results: 136 result.
Source: "sequential liability" - Google Blog Search | R. Richard Hobbs
AICP | Doing Business: Sequential Liability …Sequential Liability means that the agency as agent for its principal, the advertiser, is l.
Source: "sequential liability" - Google Blog Search | R. Richard Hobbs | nyc.locationscout.us
It has been widely reported that Omnicom, the worlds largest advertising agency holding company, has modified its terms and conditions putting into effect what is known as Sequential Liability. Under the terms of the new contracts, …
Source: "sequential liability" - Google Blog Search | Andrew Kamin
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Active Discussion: News of Omnicom New Payment Terms? - WheresSpot (free registration reqd).
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Some of the biggest advertisers in the U.S., including auto maker General Motors and brewing giant Anheuser-Busch InBev, are putting the squeeze on companies that produce and broadcast their ads, as part of an effort to rework contracts with suppliers to cut costs.
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APhotoEditor: APA’s Stephen Best on Omnicom’s “Pass The Buck” Fiasco
I received the following from Stephen Best, APA National CEO on March 21, 2009.
APA on Omnicom statement…“our policy has not changed”
This past week has seen ever-increasing concern and anger in the advertising community concerning a change in the way the Omnicom Group and it’s subsidiaries conduct business between Omnicom subsidiaries and suppliers.
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AICP | Doing Business: Sequential Liability
…Sequential Liability means that the agency as agent for its principal, the advertiser, is liable for payment to the production company only if the advertiser has paid the agency; otherwise the advertiser is directly responsible for the payment.
Certain agencies have inserted a Sequential Liability clause in their contracts. Others have added a side letter to be signed by the production company.
…read the rest…
Sequential Liability
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Stephen Best / APA National CEO | March 21, 2009 | APA on Omnicom statement…”our policy has not changed” | republished with permission from Advertising Photographers of America (APA)
The last week has seen ever-increasing concern and anger in the advertising community concerning a change in the way the Omnicom Group and its subsidiaries conduct business between Omnicom subsidiaries and suppliers. Advertising Photographers of America (APA) reached out for comment from the Omnicom Group about the crisis. With the Omnicom Group being the world’s largest advertising holding company, a change in terms and conditions affects the advertising community on so many levels. The policy of concern is called Sequential Liability. Sequential Liability simply means that the agency only pays the suppliers after it has been paid.
Quoted from The Association of Independent Commercial Producers (AICP) published guidelines dealing with this trend:
“Certain agencies have inserted a Sequential Liability clause in their contracts. Others have added a side letter to be signed by the production company. Still other agency contracts do not overtly refer to Sequential Liability as being in effect, but do refer to the agency “acting as agent for” (the advertiser), which suggests the same thing.
If the agency is requesting the recognitions of a “principal-agent” relationship, then the client (principal) should not be released from the obligation of payment until total payment is made to the production company. It should be clarified that even if the client pays the agency, the client remains liable if the agent defaults in fulfilling the payment obligation.
Sequential Liability means that the agency as agent for its principal, the advertiser, is liable for payment to the production company only if the advertiser has paid the agency; otherwise the advertiser is directly responsible for the payment.”
On Thursday, March 20, 2009, at 11:47 AM, APA spoke with Pat Sloan, Omnicom Director of Public Relations, to express the concerns of APA and others to the opposition of this policy. APA members are not able to finance major advertising projects and these terms and conditions are not acceptable. Director Sloan’s statement is that there has been no change to their policy on this matter.
Sequential Liability has been policy in the industry for many years. The reality is that advertising agencies, many are Omnicom’s subsidiaries, have provided advances and credit to production companies and photographers to begin awarded projects with substantial expense. “Business as usual” must continue was stated to Director Sloan. APA members, independent photographers and small business owners, are not in a position to finance commercial projects of possibly hundreds of thousands of dollars.
APA business practices have long promoted the inclusion of “statements of intent” to receive 50% to 100% of expenses before the start of a job. It is imperative that this practice continues without removal of advances by clients. Photographers should also include that the photographer owns the copyright and any license agreement must be paid before the release of images.
As creators of intellectual property, photographers hold the copyright on their images. It is imperative that registration of images be immediately submitted to the U.S. Copyright Office. Copyright law and licensing agreements with your clients provide you strong legal protection. APA recommends legal action only as a last resort but registration is needed to recover statutory damages and legal fees.
We must stand together and confront these terms and conditions because they are not in the best interest of photographers and their community of support. If even one accepts them, it will cascade and the role of advertising photographer will change to one of being a financial institution or bank for clients. We must not go down that heavily liable road.
The Omnicom Director of PR did promise to recommend a meeting to discuss these matters. It is APA’s hope that a meeting will be arranged and discussions will continue to a successful resolution.
As previously stated, BE CAUTIOUS and don’t be afraid to walk away. We must stand together.
Stephen Best, APA National CEO
For more information about the Advertising Photographers of America: apanational.com
APA - NATIONAL
31 Mamaroneck Ave. Suite 514 White Plains, New York 10601
Phone: (800) 272-6264 ext. 12 Fax 646.216.8765 e execdirector@apanational.com
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It has been brought to the attention of the American Society of Media Photographers (ASMP) that the Omnicom Group, the world’s largest advertising agency holding company, has changed its terms and conditions in an effort to limit their agency liability and in so doing transfer that liability to independent photographers and producers. Basically, by disclosing their agency status and for whom they are acting, the advertising agency is only liable to the extent that their client has specifically paid them for any amounts payable to you. Additionally, ASMP has been informed that reps are being told that there will no longer be any advances on assignments.
…read more…
See also:
Sequential Liability
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Burns Auto Parts | Super Premium Blog | Crappy Contracts
Okay folks, times are tough and the smart businesspeople are sending out icky contracts to the creatives of the world, to try and scare them into signing away more than they ought. Please do NOT fall into this trap! This is just a manipulation by the smart, calm business heads to get more for less.
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The following recently arrived in my inbox via Trevanna. The subject of the status of New York (State) Film & TV Tax Credits is currently a topic of great interest to many people in the production industry:
Greetings. Silvercup Studios initiated this powerful letter, so I’m forwarding it on. If you’ve wanted to do something to help keep the New York tax credits, this is a great way to do it. (It is different than the petition to Governor Paterson that many of you may already have signed.)
All the information you need is below. Please read the rest of this email, and then click on the link to the SAMPLE LETTER and actually print and send it out.
Feel free to forward this to anyone you know affected by the entertainment industry in New York. Thank you!
——–
February, 2009
Dear Producers, Union Officials, Vendors and other stakeholders in the NY Film/TV business,
As you may be aware, the very successful New York State and New York City Film/Television Tax Credit Program, which brought productions and therefore thousands of jobs to New York, have reached their financial limits. Governor Paterson has said there is no additional funding for the tax credits included in his latest budget proposal. This means that the credits that encouraged many of you/others to keep filming or bring filming here in New York State would disappear unless there is intervention by the New York State Assembly and Senate.
We all depend on a healthy film and television industry for our livelihood. Keeping filming here in New York had been a tremendous challenge over the past several years as competition from other states and countries had led to a major reduction in the number of film and television productions able to shoot in New York. The 2004/2007 tax credits changed that. According to one study the state and city combined have allocated $690 million in tax credits and have collected $2.7 billion in taxes from movie and televisions productions. The study also found that during 2007, New York’s movie and TV industry created 7,031 jobs directly and an additional 12,481 indirectly.
With funding not included in the current budget proposal, State lawmakers will have to step in and add the tax credits to the budget. By alerting each of our New York Assemblymen and State Senators to the crisis this loss would create, we can help them by sending a significant message that the State needs to do what it can to keep our productions and preserve and grow the jobs they create, here in New York.
To that end, we are asking you to show your support by urging your staff, members and crew to write letters to their New York State Assembly members and New York State Senators alerting them to the critical nature of how the loss of film and television tax credit would be detrimental to their livelihood, the city, and small businesses, etc. (Links to websites to find out who they are in your area are listed below.) We are aware that there has been a very successful petition drive addressing this issue, however, we have been advised that constituent letters are critical at this time.
To search by zip code to find your New York State Assembly please go to: http://assembly.state.ny.us/mem/
To search by zip code to find your New York State Senator please go to: http://www.senate.state.ny.us/senatehomepage.nsf/senators?OpenForm
Here is a link to a SAMPLE LETTER for this purpose. They should include their years of experience and how the boom in production (and its loss) has affected you (might affect you).
http://www.trevanna.com/ny-production-tax.htm
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The Age, Australia - 18 hours ago
THE plunging Australian dollar promises to be a bonanza for big-spending American film and TV productions shooting in Australia. The Melbourne Film Office …
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SHOOT Online (subscription), CT - 9 hours ago
Total permitted days of on-location filming* coordinated by FilmL.A. decreased one percent between July and September 2008, compared to the same period in …
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Financial Times, UK - Oct 27, 2008
By Matthew Garrahan in Los Angeles | The film business is synonymous with Los Angeles. So much so, that the name most associated with the industry is visible in bold white letters to anyone within a few miles of the hills that separate the city from the San Fernando Valley. …
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One proposal has a little bump for films shot here and deemed family-friendly, says Bob Hudgins, head of the Texas Film Commission. …
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They block off streets, create explosions, make fake rain, close playgrounds, take over buildings and take up parking. But when it comes to visiting filmmakers, the city of Seattle, its neighborhoods and the state of Washington have this to say …
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"More than just location," says Johnny Griffin of the Wilmington Regional Film Commission, "these productions took advantage of production facilities, …
Scene From Leatherheads, Filmed in NC
Hollywood Reporter
Leatherheads Movie Official Site
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The decision on the future filming location of BBC dramas, including Casualty, is expected to be announced tonight by the director of BBC Vision, …
'Casualty' filming to be re-located? Digital Spy The Big Question: What will a BBC move out of London mean for … Independent BBC to shift more programming outside London Stage WalesOnline all 171 news articles
BBC News
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The Mayor's Office of Film, Theatre and Broadcasting (MOFTB) is also actively recruiting the production of Indian films to New York City. …
NYC to set up 18th global office in India Economic Times US film honcho invites city directors to shoot in NYC Times of India New York City looks to woo Indian film industry Business of Cinema all 6 news articles
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“Our company is based in Iowa because of the exceptional economic development program that the State of Iowa Film Commission has enacted to encourage TV and Film Production,” Weiner said in an electronic message. “We might not have considered Iowa for the location if it were not for this program, but Iowa has turned out to be a Field of Dreams.”
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…said they recently hosted a meeting where location managers, scouts and film-unit managers agreed on the need to set up a location guild.
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"My bill says, let's put a cap on it at $100 million, so the Film Office can award these up to a certain point in a calendar year, then they have to stop. …
Michigan's movie role pays off DetNews.com all 5 news articles
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"It is hugely encouraging that this is, in part, an initiative of the Louisiana Film Office and the Lt. Governor's Office in Baton Rouge, " Duffey said. …
Oakland International Film Festival rolls out the red carpet San Jose Mercury News all 5 news articles
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Brian Meganck is a big movie fan. Not of watching them, necessarily. Of making them. In Michigan. A few years ago, as the number of commercials shooting in Michigan began fading, Meganck had to move his business Kind Services, which provides drinks …
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An Australian-born cinematographer who has been involved in the making of 30 films is looking to set up a film and TV production studio in Hudson County.
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ScreenDaily, the 24-hour online voice of the international film business.
ScreenDaily is part of the multimedia service that also includes the weekly magazine Screen International, the Screen daily publications at international markets and the Screen International conferences.
Screen has offices in London, New York, Los Angeles and Hong Kong, and a network of more than 40 correspondents around the world.
…Screen now offers specialist coverage of the leading events around the world, with daily publications and/or dedicated web services at Cannes, Berlin, AFM, Toronto, Hong Kong Filmart and Pusan.
Screen - Latest news
Screen - The Latest
Yahoo! Search: ScreenDaily
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The Korean city of Busan and Japanese city Sapporo have signed a memorandum of understanding (MoU) to collaborate on film production, distribution and training programmes within the film industry in each city.
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The Livermore Valley Film Commission, formed three years ago to promote filming in Livermore, California, has added Pleasanton and Dublin, California to its …
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The Tampa Bay Film Commission and St. Petersburg/Clearwater Film Commission will host a State of the Film and Entertainment Industry Summit to brainstorm …
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AdvantageWest, an economic-development agency in Western North Carolina, and the WNC Film Commission are sponsoring the night in Bozeman that will feature …
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"The response has been magnificent," says Anthony Wenson, chief operating officer for the Michigan Film Office. "We've not only brought dollars into the …
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