Have you ever wondered what happens when a screenwriter’s script gets “optioned”? The process can be exciting, but it can also lead to disappointment and wasted time if not approached correctly. To shed some light on the topic, I spoke with the experienced Kathy Muraviov, who manages screenwriters and has several projects under option. In this article, we will discuss the pros and cons of script options, providing you with a cool, collective, and informed state of mind for your next option.
Understanding Option Agreements
An option agreement is a contract in which a writer grants a producer the right to shop their script to studios and financiers for a specific period. There are different types of option agreements, including straight options, which determine the length of time the producer has to shop the script, and purchase options, which outline the terms if the script actually gets made into a movie.
According to Kathy, “Options are not legal unless money switches hands.” It’s important to be cautious and ensure that the option fee is not applicable against the purchase price, meaning that it shouldn’t be subtracted from the amount paid to the writer when the script is purchased.
The Timeframe and Payments
The duration of an option can vary from project to project. Most options last for one year, with the possibility of extensions if the producer has momentum and the writer is happy with it. During the option phase, non-WGA writers can expect to receive anywhere from 2% to 5% of the proposed budget. WGA writers have the advantage of the Guild’s minimum payment schedule.
Seeking Representation and Evaluating Producers
If a producer approaches a writer with an option offer, it is always wise to seek legal representation or the guidance of a manager/agent. They can help evaluate the best interests of the writer and ensure that the deal is fair.
When it comes to choosing a producer, Kathy advises not to judge solely based on their credits or produced work. It’s essential to have any potential producer lay out their business plan before making any deals. Sometimes, working with a less established producer might be the only opportunity available and could lead to surprising success.
Negotiating Purchase Price and Writer’s Credit
During the option phase, it’s crucial to negotiate a purchase price and clarify the writer’s credit upfront. These discussions should involve an attorney to avoid any misunderstandings later on. However, Kathy notes that determining the purchase price can be tricky when the budget hasn’t been determined yet. Each case is unique, so it’s important to have open and honest discussions.
The Reversion of Rights
In the event that a producer is unable to find funding for a script, and the rights revert back to the writer, it is essential for the writer to mention the previous option when approaching future producers. This ensures that the script is not submitted to companies that have already passed on it. Transparency is key in these situations.
A Final Word
Managing the ups and downs of the screenwriting industry can be challenging, but Kathy Muraviov’s passion for what she does keeps her going. With many more projects in the works, she remains determined to see them through to the finish line.
Remember, optioning a script is no guarantee of success, but when approached with careful consideration and legal guidance, it can become a valuable stepping stone in your screenwriting journey.
For more information and to explore opportunities, visit Ratingperson, a platform that connects writers with producers and industry professionals.
This article was written by Jacob N. Stuart, an accomplished screenwriter with multiple options and productions to his name. You can follow Jacob on Twitter at https://twitter.com/JacobNStuart.