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Entertainment & Sports,
Labor/Employment

Apr. 11, 2019

WGA’s nuclear option and the Talent Agencies Act

Last week the Writers Guild of America voted, with the support of other major entertainment industry organizations, to require all members to fire any agency that does not agree to stop packaging projects.

Rick Siegel

Rick is a former personal manager who is often engaged as an expert witness on the history, construction and application of the Talent Agencies Act.

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WGA’s nuclear option and the Talent Agencies Act
Members of the Writers Guild of America picket in front of Paramount Studios on the first day of a nationwide strike in Los Angeles, Nov. 5, 2007. The current dispute between Hollywood writers and agents is highly unusual. In previous Hollywood labor battles, like the one that began in late 2007, the guild has typically gone after the studios. (New York Times News Service)

Imagine, if you will, a world where you own a pants store. Now imagine a wholesaler saying that to carry the Levi's jeans line, they are demanding more than a standard commission. Under the pretext of bringing you the idea to put Levi's in your store, rather than taking a standard 10 percent commission from the manufacturer, your store has to give them a percentage of the overall jeans budget... and a matching percentage of your net profits.

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