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CA Supreme Court Hears Arguments In Talent Act Case

By Mike McKee
November 26, 2007
Hollywood had its eyes on the California Supreme Court last month when arguments were heard in a case that could shake up the way personal managers and their fame-hungry clients conduct business. The case has the entertainment world all atwitter because the outcome will have a major impact on the complex interplay between personal managers, talent agents and entertainers. Millions of dollars in commissions are at stake, not only in California but also in entertainment centers such as New York and Nashville, which have business connections with Hollywood.

'It's the fabric of how the industry works,' says Los Angeles solo practitioner Donald Smiley Jr., who is arguing the personal managers' position. 'There's a power struggle about who can do what between personal managers and talent agents.'

Managers v. Agents

Tension springs from the two professions' symbiotic relationship. Personal managers aren't regulated by the state, but have broad leeway to guide clients' careers by advising them on a wide range of activities, including job opportunities and personal life choices for example, for a 15% commission. Talent agents, meanwhile, are regulated by the California Labor Commission, and focus primarily on procuring jobs and appearances for a 10% commission.

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