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Industry 'Custom and Practice' Not Enough to Create Binding Film Distribution Agreement
Film financing and film production can be long, slow processes. But deals for distribution rights may be struck up fast and furious, as seen from distribution interest in buzz movies at film festivals. This happened with Precious: Based on the Novel Push by Sapphire, a film about a young African-American mother in Harlem that won both the grand jury prize and audience award in drama at the Sundance Film Festival in January 2009. Hurried negotiations for the film distribution rights to Push has led to multi-suit litigation ' and a recent Manhattan federal district court ruling that may help define when there's a binding distribution deal.
The Fight for Push
Immediately after the Push screening at Sundance, The Weinstein Co. (TWC) moved to secure worldwide distribution rights from Smokewood Entertainment, the Denver, CO-based managing member of Push Pictures LLC. Cinetic Media Inc. and film agents John Sloss and Bart Walker handled the talks for Smokewood. According to TWC, on Jan. 27, 2009, Cinetic's reps orally offered TWC a deal that contained a minimum fee required for the rights, the distribution price per territories, box-office income bonuses and a reservation of film editing to Smokewood. TWC claimed it accepted the offer. An e-mail exchange followed into the early morning hours of Jan. 28. But on Feb. 2, Smokewood and Lions Gate Entertainment announced they had struck up a distribution deal for Push.
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