Exactly. They entered into a very clear agreement, we do what you'll say for free, so we can say we have actual experience. After the film becomes a box-office hit, they file a suit for compensation. This is going back on a very clear agreement that they knowingly entered into.
Just because they agreed to an agreement doesn't necessarily mean anything. Lawsuits are filed constantly because agreements are deemed to be inherently unfair, and such lawsuits are often won.
When I was an intern in college, one of my summer internships paid $700/week. I thought I was rich. And they weren't training me how to make coffee. They were training me to see if they could hire me when I got out of college. That's what an internship is supposed to be for, for training. Once I got a real job, I gladly made coffee.
Now, many US corporations just want free labor. I don't know what the hell is going on in the US, but people better start realizing that if this goes on, the US workforce will have no leverage and turn into a third world country workforce.
If they don't pay interns, then they won't pay other professionals. They can get more interns to do Audio work, video work, effects work, for free. And then where will the rest of us be? Unfortunately it's already happening. You just need to look at how many people offer "opportunities" to add to your reel on craigslist, like it's a privilege.
We need to back these guys up. They're taking one for the team. I hope they win. I hope future interns get paid. Everybody needs to eat, and be able to buy camera equipment, not to mention the expensive audio stuff Alcove lists once in a while.
Best,
Aveek