Iatse Theatrical Agreement

The low-budget theatre agreement is a three-year agreement managed by the IATSE International Office. The contract specifically deals with low-budget independent theatre productions with budgets of less than $12 million. The agreement has nearly 300 signatory companies across North America. If one of the signatories were to enter our jurisdiction, Local 873 would have the exclusive right to serve the production under this agreement. If the project budget exceeds the $12 million level, Local Agreement 873 would come into effect. The International appoints an international representative as a contract administrator who works with the local service. The IATSE Local 873 Term Agreement is a mandatory agreement between Local 873 and Major Hollywood Studios, represented by the Alliance of Motion Picture and Television Producers (AMPTP). The agreement is negotiated every three years. A significant number of independent production companies across North America that have signed other IATSE agreements are also required to work under this agreement if they fall within our jurisdiction.

The vast majority of Local 873`s U.S. services are covered by the Local 873 Term Agreement. IATSE Local 873 supports all filmmakers at all budget levels with highly qualified professional crews. To do this, Local 873 has launched the IATSE 873 Independent Agreement. If you are an independent producer who has not signed an IATSE agreement, please contact Local Business Agent 873 to discuss your project and we will be happy to provide you with a copy of the agreement with staggered rates and tranches based on your project budget. The parties agreed to new budget steps to carefully organize the steps of the low-budget agreement so as not to jeopardize the agreements of the IATSE majors. The result reflects the economic realities in the independent world of production. Wages and benefits have increased in line with industry practices. New media provisions were introduced in the agreement.

Several jurisdictional issues have been resolved to clarify the existing jurisdiction of IATSE. This information is distributed provided that the publisher does not provide legal, accounting, tax or other professional services. If legal advice or other assistance is required, a lawyer, CPA or tax advisor should be consulted. In line with its negotiating strategy, the Union was able to obtain the language of the Treaty and assurances to improve the quality of life. The contract provides, among other things, a ceiling of 15 hours per day of production or three times the rate of scale. This encourages production companies to manage their production time in a way that respects the safety of the crew. The parties agreed that in the event of a bankruptcy of a wage accounting company, the production companies would remain the primary culprit and the contract now provides that the OTC-free provisions do not apply when a producer physically violates the contract by not paying the crew`s wages and does not immediately reimburse the infringement. The new low-budget theatre agreement, including the Canadian supplement, is a good contract and offers many improvements for members working in this area of production.