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Payment Guidelines

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It is recognized that this is a labor intensive industry and according prompt payment to the production company for services rendered is essential.

Each payment guideline is designed so that the first payment is made to the production company upon signing of the contract, but not later than 5 business days prior to the commencement of the first filming (shoot) day. It is recommended that if payment is not made as agreed, the production company reevaluate the ability of the contracting-client to meet its contractual obligations.  Failure to make prompt payment as set forth in the contract between the production company and the contracting-client, is a breach of contract giving the production company recourse to the cancellation provisions set forth herein.  In the event the contracting-client is an agency and is in default of any payment, it is recommended that the production company notify and forward duplicate invoices to the advertiser.

Title of ownership of a commercial does not transfer until full payment is made.  Each production company should consider adoption of a payment policy requiring full payment for the commercial prior to its broadcast use.  The Association believes that such a policy is consistent with good faith business practices and it is also consistent with provisions used in Great Britain by the Advertising Producers Association, the Institute of Practitioners in Advertising, and the Incorporated Society of British Advertisers.

Payment Guideline - THE 75 - 25 Plan

1.  The "75-25" plan is applicable in instances of ... To read more download the PDF version.

Source

"AICP Roundtable Discussion." Panelists: Denise Gilmartin, AICP; Matt Miller, AICP; Frank Stiefel, radical.media; Bob Fisher, Celsius Films. ANA Production Management Committee Meeting, 05/01/07.

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