1
Enter the parties' legal names and project title
Use the full registered legal name of both the production company and the client entity — not trade names or individual contact names. Assign a precise project title that will appear in all schedules and invoices.
💡 Confirm the client's legal entity type (LLC, corporation, sole trader) before drafting — this affects indemnification enforceability in some jurisdictions.
2
Attach the approved script as Schedule A
Insert or attach the complete, scene-by-scene script including slug lines, shot descriptions, dialogue, voiceover copy, and on-screen text. Both parties should initial each page of the schedule at signing.
💡 Version-stamp the script document (e.g., 'Script v3 — Approved 2026-05-01') so there is no ambiguity about which draft governs if revisions are disputed later.
3
Define the revision rounds and feedback timeline
Specify the number of included revision rounds, what constitutes a single round, and the number of business days the client has to deliver consolidated feedback after each draft.
💡 A 5-business-day client feedback window is standard for corporate clients — shorter windows increase missed deadlines; longer ones stall production schedules.
4
Set the IP ownership trigger and portfolio rights
Confirm that ownership transfers to the client upon cleared final payment. Decide whether the producer retains the right to use a short excerpt in their portfolio and specify the maximum duration.
💡 If the client requires complete confidentiality — common in pharmaceutical or pre-launch product videos — offer a blackout period (e.g., 12 months) rather than a permanent restriction.
5
Specify music, talent, and third-party license responsibilities
List whether music is original, royalty-free, or externally licensed, and confirm which party is responsible for obtaining sync licenses and talent releases. Attach executed talent release forms as Schedule C.
💡 Require the client to deliver written confirmation of any sync licenses before the lock picture edit — post-delivery music swaps are expensive and delay final delivery.
6
Complete the production timeline with specific dates
Fill in the shoot date, rough cut delivery date, revision window, and final delivery date. Include a client-delay provision that extends downstream milestones day-for-day when client feedback is late.
💡 Build at least 3 business days of buffer between the rough cut feedback deadline and the final delivery date — real-world feedback almost always arrives late.
7
Set the payment schedule and kill fee
Enter the total fee, milestone-based installment amounts, and the kill fee percentage. A typical structure is 33% on signing, 33% on script approval, and 34% on final delivery.
💡 The kill fee should at minimum cover all third-party costs committed plus a reasonable portion of crew time — 50% of total fee is the industry norm for projects cancelled in mid-production.
8
Define distribution rights and sign before production begins
Specify channels, territories, and time period. Both parties must sign before the production shoot date — post-shoot signatures create consideration problems and leave IP ownership unresolved during the period most likely to generate disputes.
💡 For broadcast or streaming distribution, confirm in the agreement whether the client needs a broadcast master (ProRes, MXF) in addition to the web deliverable — format mismatches discovered at delivery cause costly re-exports.