Errors & Omissions insurance basic question

[Blade_Jones]

When a distributor decides that they want to buy rights to a movie of yours then from what I understand they want to be sure all rights are cleared. My question is WHO PAYS for the insurance review and who pays for the insurance itself? You or the distributor? Or is it negotiable? And how much does it cost for E & O lawyers to review it and how much does E & O insurance cost?

 

[sonnyboo]

It is negotiable. Sometimes, you put it in your budget, other times you make sure they pay for it on their end.

Cost varies greatly, based upon a review of the film. What they are looking for most are unintentional uses of TRADEMARKED logos & copyritten music/images. The more you use, the more it costs, or you can get turned down.

 

[mr-modern-life]

In my experience even if they do insist on you getting E&O then you may still be able to of set it against the US sale. But most companies seem these days to ask for it from you, meaning that it has to be set into your budget (which considering most films budgets here will be less than the cost of teh E&O is a problem...).

Some major companies have blanket policies which again is a chaper way of doing it and normal comes out of teh sales rather than your pocket. If you can this is the best way. Either way you will NOT get a US release without E&O but for th rest of the world it has never been an issue (again if you have to have it and pay, get the cost of set against your international sales)