What is a Filming Location Agreement?
In the broadest sense, a filming location agreement is a contract between an individual or entity that owns the rights to a location and filmmaker, television or internet production entity that wants to shoot a scene at the location. The typical filming location agreement sets forth the specific terms and conditions under which film team members will be permitted access to the property for shooting.
For filmmakers, the filming location agreement is important to clearly define the rights and obligations of the parties, terms of use, and compensation, if any, for use of the location. For property owners, filming location agreements are important because they set forth the permission granted to the production company and also define the use to which the property may be put.
Agreements can be quite general, or quite detailed . For instance, an agreement might broadly set terms such as time frames, purpose, and indemnification clauses. Or, the filming location agreement might be very specific, with location and timing delineated for exterior and interior use, and even specifying which rooms or areas a certain cast or crew member may (or may not) be allowed access.
It’s important to remember that whether filming is done in a commercial, residential, indoor or outdoor setting, the filming location agreement must be carefully crafted to reflect the intentions of the parties. Careful and detailed drafting will avoid disputes down the line. As with any business dealing, it is wise to consult with an attorney who is experienced in drafting, negotiating, and executing filming location agreements to ensure that you are protected from unforeseen problems.
Core Elements of a Filming Location Agreement
While the components of a filming location agreement will depend on the nature and scope of the project, there are standard components that most filming location agreements will contain: Permissions. The agreement should clearly state that the location is granted to the production company for the purpose of filming the particular film or project. Fees. A fee structure should be clearly included in the agreement which sets out the exact fees for the rental of location. The fee structure normally includes a daily rental fee, with additional fees for extra days of filming, as well as whether any security deposits are required. Schedules. The shooting schedule must be clearly outlined in the agreement, with provisions for additional hours required should shooting not proceed according to schedule. The agreement should also outline what set-up and breakdown times will be permitted. Insurance. Typically, the agreement must include insurance requirements that provide protection to both the property owner and the production company from losses incurred during production. Most productions will be required to obtain an insurance policy, commonly referred to as an "indemnification clause", which is frequently a rider on a general liability insurance policy. An indemnification clause typically requires the production company to indemnify the property owner for any losses arising from the act or omission of the production company while on the property. Term of License. The term of the filming license should be explicitly set out in the agreement. Typical filming licenses are short term license agreements for filming during a specified period of time. The schedules for filming must be clearly set out in the agreement to ensure all parties are aware of exactly when the filming will take place. Permitted Uses. The use of the location must be clearly set out in the filming location agreement, as the premises are granted solely for the purpose of filming a certain film or project. The use of the premises for any other purpose must be prohibited under the terms of the agreement. Termination of agreement. A termination clause should be contained in the agreement so that either party can terminate in the event of a material breach of the contract. Indemnification clause. An indemnification clause is a standard provision that must be included in any filming location agreement, as the production company typically assumes full responsibility for all acts and omissions during the term of the filming. Remedies. The agreement should clearly state what the consequences for a breach of the agreement are. Warranties. The production company must represent that it has full authority to enter into the filming location agreement and has obtained all necessary rights and licenses for the filming of the project. It is important that both parties carefully review the filming location agreement prior to signing to ensure that the agreement contains all necessary rights and licenses required to protect each party involved in the filming.
Legal Requirements When Filming on Location
Several important legal issues can potentially trip up the unwary when it comes to filming on an outside location. A production company should be aware of zoning issues, local permits, restrictions (on time or place), and general liability obligations. Sometimes a filming location agreement will specifically require the producer to obtain certain permits. Sometimes a location is in an area with specific restrictions. Sometimes municipalities have specific permits and requirements for filming (especially in the nation’s capital). Sometimes a location may be located in a homeowners association and those rules may apply.
Permits for filming typically pertain to blocking off streets, sidewalks and/or parking facilities. Local authorities usually require a detailed certificate of insurance, and sometimes additional indemnification from the filmmaker. When a large studio or production company is reasonably confident in negotiating with conduits (cities/towns or homeowners associations), it may be a good idea to have a blanket film location agreement in place that itself may not need to include all of the particulars (i.e., plenty of time, and contingency plans for weather, emergencies and permits), but can be referenced by the parties in connection with every filming location, and allow the parties to subject each location agreement to any specific permits or locations details.
As mentioned above, it is important to consult any HOAs or community guidelines for filming on private property. Some HOAs have strict guidelines and even filming fees. It may require weekend filming, and restrict extras from parking overnight. In addition, there is proof of insurance and indemnification against the community. Homeowner associations may have provisions that run with the property and are binding against the selling developer, and any subsequent elective board that does not adopt a filming policy.
The Hollywood Community Plan, adopted in 1988, guides productions in maximum occupancy levels, as well as other considerations. For example, the requirements include: conformance to Valley Village community design guidelines, compatibility with established residential character and due regard for light, air and privacy of adjacent lots. In addition, the FilmLA permit notes that, NOISE, A.C. OR POOL AND SPA EQUIPMENT MAY NOT BE OPERATED DURING CURFEWS (WEEKDAY OR WEEKEND), UNLESS PERMITTED BY THE OWNER OF THE PROPERTY WHERE THE EQUIPMENT IS TO BE USED".
As you can see, even the requirements of a permit can be very specific and are very important to adhere to.
How to Negotiate a Filming Location Agreement
When carefully crafted and followed, filming location agreements can be a win-win situation for filmmakers and hosts. But, the value to each side of a filming location agreement starts and ends with the negotiation and execution of that agreement. While each filming location agreement is different, there are certain elements that, when included, can ensure the best possible results for both sides.
Permitted Uses – Said another way, how will the hosts be using your property? Simply: be specific. General terms like "location for shooting" and "moviemaking" don’t work. The more specific you are in terms and definitions, the fewer problems there will be down the road. For example, a blanket term like "movie" can mean one of a thousand things—from a film shot entirely on green screen to a film with an extravagant car chase in the middle of Times Square. Make sure you talk to your producer about what type of scenes you expect to be filmed on your property, and include that in the agreement.
Pre-Shoot Inspection – This is one of the best parts about being on set to supervise filming: you get to see everything before everyone else does! In order to do that, however, you are going to want the opportunity to inspect the property before shooting begins—and a pre-shoot inspection period is the best way to get this done. Generally speaking, this can be as little as a few hours before filming, or as much as several days or more. Remember to take detailed notes about all areas of concern, and make sure you and the producer are on the same page.
Shooting Times – No one wants their weekend interrupted by a set invasion. That’s why it’s also important to include specified shooting times. Again, be specific, and define the times the producer expects to be on site. When you do so, however, also try to reserve some time for yourself , because as good as the producers usually are about getting you out when they say, they are not always perfect. Having that safety clause at the end will ensure you get out of there on time.
Indemnification – This is one of the most important aspects of any filming location agreement—and yet, it’s often overlooked. What happens if something goes wrong on site? If someone is injured? If a crew member accidentally breaks something of yours? Who is responsible for replacing or repairing these items? The answer here is "probably you"—unless you have some careful language in the agreement detailing who is responsible. To protect yourself, this has to be a two-way street—and there should be a back-and-forth on negotiations.
Exclusivity – If you’re renting your home or private island for the weekend, it’s likely you are expecting—and hoping—for some form of exclusivity: i.e., that no one else will be filming at your location while the project is taking place. Generally, this is fairly easy to demand of the producers. They can afford to negotiate this in many cases, and it will put you at ease. But, be careful. If you are negotiating for exclusivity, it means that the producer cannot use another property, or shoot another project, while at your location—this means less money for them. Obviously, this is a decision that you’re going to want to talk about with your family and the legal team.
Permits – Finally, it’s important to note that if the location is not your primary residence—i.e., a museum, church or other such property—permits for filming need to be acquired. This is just as true for private homes or estates. Further, there are often requirements surrounding shooting on a property (i.e., you cannot use certain cameras, etc.). Be sure to discuss the necessary permits or insurance for filming with the producer prior to signing the deal.
Location Agreement Pitfalls and Solutions
Filming locations may be in different states and in different countries. Keep in mind that while a filming location agreement is usually state-specific, other legal issues may be out of your control and will need to address such issues. For example, if your filming location is in a country other than the United States and the local laws prohibit film shoots on weekends or prohibit nudity, the film shoot may have to be rethought or modified.
As businesses become more and more familiar with the filming process, they become comfortable with negotiating filming location agreements. Film shoots can be disruptive to a business’s normal operations, and sometimes result in damage to buildings or other property. Locations start to become savvy: establish relationships with several production companies, and try to get at least three bids to rent the space for a film or television shoot.
Location managers may be able to negotiate good deals with the owners of the locations. Also, when negotiating a filming location agreement, often the business owner will require that the producer acquire extra insurances, including Liquor liability (if alcohol will be served), Host liquor liability (if alcohol will be served), Theater liability (if there are any movie theaters), and Umbrella liability.
Depending on the size of the production, the locations may also ask for a higher indemnity amount (typically in the millions) and a higher damage threshold if there is damage to the locations of larger amounts (in the thousands). Some businesses want to exclude specific damages such as scratches or marks on the floor.
In addition, some locations may prohibit adult filming.
Filming Location Agreement Case Studies
The satisfaction of parties involved in filming location agreements can vary as widely as the terms of those agreements. While the contractual negotiations between filmmakers and property owners can get complicated, it’s not uncommon for one or both parties to be dissatisfied with the final outcome of the filming and the relationship they had for the duration of the project.
With that in mind, let’s take a look at three real world examples of successful filming location agreements and what made them work.
Late 2014, the Channel 4 investigative program Dispatches aired a program that used the historical St Joseph’s seminary in the heart of West Yorkshire. The program’s producers—Futurescape Productions—approached the chapel school with an offer that including a payment of £5,000 and a day’s filming for student volunteers and the production crew. From the start there was an agreement of good communication between the two parties, including a local guide to help the student volunteers navigate the area the next day. There were an agreement on the fees, making sure that the property owner understood that the total price included GST (which the Canadian government indicates must be paid with respect to goods and/or services under the Excise Tax Act (Act of July 1, 2006) and holds for any transaction taking place within Canada (without regard to the residency of the vendor or the purchaser)) and on the use of any images that maybe need to be included in future marketing material:
We were more than happy to grant rights to use photos or video of the day, in future promotional material, especially as we own the copyright.
We’re willing to see the rights that attach to photos and videos, should be at the discretion of the group that owns those photos and videos.
The property owner on this occasion was satisfied with the final result:
While this day wasn’t a fundraising event for us, it exceeded all our expectations and was highly beneficial for our publicity.
You may not always have this level of agreement among the property owner and the production crew, especially when it comes to the use of any images captured during the filming .
In May 2017, writers and producers of film and TV shows in the Western U.S. received a letter from the California Film Commission, with regards to filming in the Santa Clarita Valley. There’s a wealth of filming locations in the region, including the cemetery featured throughout the successful NBC show, The Office. The problem, however, stems from Santa Clarita adjusting their filming fees to $350 per hour, or a $1,500 per day fee. What made matters worse was that the city was not accepting any new filming permits.
Writers and producers complained to the mayor, mayoral office, the L.A. Times and even to California Gov. Jerry Brown, insisting that the high fees were forcing the production companies away, and costing the city money and jobs in the long run. Others involved in the film commission also pointed out that if the city dropped their rates, it would become more competitive with the neighboring Valencia and Canyon Country.
It took less than a month, but the city of Santa Clarita decided to reduce their fees to the "low rates set to attract productions." Production companies now have a $100 per hour filming fee that is charged at a maximum of only five hours. An additional fee of $971 is also charged at an hourly rate of $130; this includes electronic plan check, site inspections and planning file check activities. The city will also do re-inspections, but additional fees are created based on the complexity of those activities.
In March 2018, Bangor City Council released a planning document for developers in Bangor, North Wales. The document sets out what food sales businesses need to think about when submitting a planning application for a business in a park, forest or other council owned green space. Included in the document is also information about how filming companies need to apply for permission to film on council ground.
For those in the film industry, this is nothing new. Generally speaking, film companies are required to identify the filming company size, the filming location and general filming times, before a filming location agreement can be organized. This is often more important in areas where filming can be done without paying a license fee.