Avoid signing away your filmβs future.
By Lex Nova Lawyer Γ Thoolie
Distribution agreements can make or break your filmβs long-term success. For indie filmmakers, the wrong deal can lock your project in limbo, drain your revenue, and strip away future opportunities.
This indie distribution deal checklist gives filmmakers, producers, and sales reps a plain-English breakdown of red flags, key clauses, and smart negotiation tips β before the ink dries.
π What This Checklist Covers
Think of this as your field guide for reviewing any distribution deal β whether itβs a one-pager from a festival contact or a 20-page agreement from a streaming platform.
Too many indie film distribution agreements bury unfair terms in vague language. This cheat sheet helps you:
- Spot overbroad rights grants
- Push back on unfavorable payment terms
- Ask the right dealbreaker questions
- Protect your film’s future distribution potential
β Top 5 Clauses That Could Wreck Your Deal
| π© Clause | What It Means | Why Itβs a Problem |
|---|---|---|
| βAll rights, in all territories, in perpetuityβ | Youβre giving away everything, forever. | No room for future sales, resales, or reclaiming rights. |
| βIn any media now known or hereafter devisedβ | Includes platforms that donβt exist yet. | Future tech = future revenue. Donβt sign it all away. |
| βDistributor shall have the right to sublicenseβ | They can license your film to third parties. | You lose control over where your film ends up. |
| βGross receiptsβ or βNet profitsβ | How you get paid β often undefined. | Vague terms = hidden deductions, no real backend. |
| βNo obligation to exploitβ | They donβt have to actually release the film. | You could be locked in with no distribution. |
π― Rights Scope Breakdown β Be Specific
Before signing, clarify these four deal-defining terms:
| Scope | Ask These Questions |
|---|---|
| Territory | Is it domestic only? Worldwide? Are key regions excluded? |
| Media | Does it cover theatrical, streaming, TV, VOD, DVD β or all? |
| Term | 1 year? 5 years? Perpetuity? Is there a reversion clause? |
| Language | English only? All languages? Are translations included? |
π« Language to Watch Out For
Bad contracts often hide rights grabs in βlegal-soundingβ language:
βDistributor shall have the exclusive, irrevocable, worldwide rights in all media now known or hereafter devised, in perpetuity, including the right to sublicense to any third parties without further approval.β
π¨ Donβt sign this without major revisions.
π¬ Questions to Ask Before You Sign
- What exact rights am I granting β and for how long?
- Is this deal exclusive or non-exclusive?
- Can I terminate if you donβt distribute or pay?
- How often will I get accounting and payment statements?
- Are there marketing commitments or deadlines in writing?
π Deal Memo Red Flag Decoder
| β Phrase | Translation |
|---|---|
| βStandard deal memoβ | Likely missing key protections β ask for full terms. |
| βLetβs figure out the contract laterβ | π© Get everything in writing now. |
| βWeβll give you exposureβ | Exposure wonβt repay your budget or secure future rights. |
π§ Final Tip from Lex Nova Lawyer
Even a single-page memo can bind you for years. Never sign a distribution deal β even βjust to get it out thereβ β without fully understanding your rights. A small clause today can cost you festival runs, sequel revenue, or future streaming options.
π Skip the legal guesswork:
Thoolieβs Distribution Agreement Templates are built by an entertainment attorney, designed for indie filmmakers, and paired with tools to track rights and manage deliverables.