RESEARCHING AND CHOOSING YOUR FILM'S DISTRIBUTOR

	By John W. Cones, Attorney

The following presentation describes a proposed system for identifying feature film
distributors, a system which does not rely on the "who do you know" or "who do they
know" method, but does require an organization such as a professional association
of independent feature film producers to underwrite the costs associated with research
and maintaining the distributor files.
Identifying the Distributor

1.  Obtain current list of all feature film distributors in U.S. (East and West
Coast) You want list with addresses, phone numbers, names and titles of key personnel.

2.  Eliminate the distributors you already know will not be interested in your movie
because
		a.  They are too big or too little;
		b.  You prefer working with a West Coast or East Coast distributor;
		c.  You know they only handle certain types of movies and not your type.

3.  Select five to ten distributors that you think are your best bets based on your
general knowledge of film distributors.

4.  Research this limited group, i.e., determine who they are and what their track
record is.
	a.	Develop a list of the number and titles of all the movies they have distributed
in the last ten years. 	b.	Categorize each movie by genre.
	c.	Obtain a synopsis of each movie.
	d.	Obtain a review of each movie.
	e.	Get the credits for each movie.
	f.	Rent or purchase videos of some of these movies and view them.
	g.	Evaluate the marketing and publicity campaign for the movies reviewed.
	h.	Obtain and review press clippings for these distributors.
	i.	Determine the box office performance of each such movie.
	j.	Make a judgment as to whether this track record would appear to give the distributor
much leverage with exhibitors.

5.  Prepare a producer's package for presentation to distributors.  This package
may include some or all of the following items (depending on when you make your
presentation): Title report, copyright search report, chain of title documents including
certificate of authorship for screenplay, a copy of the copyright registration(s)
(some register the screenplay, the music and the film), corporate resolution authorizing
you to negotiate and sign a distribution deal, final screenplay and shooting script,
cast and production credits, synopsis of the script, biographies of key people,
feature stories on lead actors and director, production stills, casual cast photos,
agreements relating to the film's music, MPAA certificate (if available) and the
E&O certificate of insurance.

6.  In early meetings with distributors:

	a.   Present and discuss the producer's package described above;
	b.	Discuss some or all of the issues listed in #4 above with the distributor representative
and determine if their history is indicative of the direction they want to go in
the future. 	c.	Determine what capabilities the distributor has for distributing your movie
worldwide, i.e., do they have well-established organizations with branches in many
countries or do they utilize the services of sub-distributors in certain territories.
	d.	Is the distributor in a position to contribute substantial sums of money toward
prints and advertising expenditures?
	e.	Ask about other films the distributor is currently handling (the number and
what they are about) so as to determine whether they are already committed to distribute
other films which may detract from your film.
	f.	Make suggestions to the distributor as to a marketing strategy for your film;
placement, demographics of target markets, grassroots promotions, film festivals,
etc.

8.  Personal chemistry--Is this somebody you want to work with for a significant
period of time on a project that is important to you and others who are relying
on you?



The Deal Itself:

Among other issues, discuss and/or negotiate the following matters:

1.	Amount of the advance or guarantee, if any;

2.	The extent of the rights being requested by the distributor;

3.	Whether and which markets will be cross-collateralized; whether your film's revenues
will be cross-collateralized with another producer's film revenues, e.g., through
settlements with exhibitors;

4.	Whether producer will have meaningful input and/or veto power over artwork used in
advertising the movie & other marketing decisions, e.g., theatre selection in top markets;

5.	Monthly or quarterly accounting statements;

6.	Participation of producer in promoting the film, along with lead actors and director;

7.	Guaranteed marketing commitment, prints and ads commitment, release commitment
(in how many and what markets) and trailer commitment;

8.	Do you have the right to take back the film and distribute it yourself or through
another distributor if the initial distributor pulls the plug early?

9.	Are there any overhead charges to be deducted as distribution expenses, e.g., employee
and facilities allocations?

10. What approvals of creative elements will the distributor require, if any?

11.	Will the distributor have the right to edit the film for other purposes besides
meeting censorship requirements in various jurisdictions and for television?

12.	What restrictions does the distributor generally impose on auditing rights?

13.	What sort of exhibitor checking activities does the distributor routinely undertake?

14.	Will the distributor commit to a segregated commercial bank account for the
revenues generated by your movie?

15. Is the distributor currently distributing or does it anticipate distributing any movie
that would conflict with or distract from its ability to vigorously distribute your movie?

16.	Is it necessary to utilize a deal memo or can the negotiation process move directly
to the distribution agreement?

17.	What levels of errors and omissions insurance coverage will be required?

18.	Can you review a recent movie's delivery schedule?

19.	Does the distributor plan to insert any so-called distributor commercials, i.e.,
product placement insertions?

20.	What terminology does the distributor use in defining the deal?

21.	What are the essential terms of that deal at the initial offer stage, i.e.,
distribution fees in each territory and market, when the fee is taken (based on
what)?

22.	If a distributor fee and expenses are deducted, does the distributor expect
to participate in the resulting net in any way?

23.	Will the distributor consider
allowing the producer to negotiate a gross floor provision?

24.	What MPAA rating would be acceptable to the distributor?