Business Affairs & Production Tools

Terms of Trade

 

What are Terms of Trade?

Terms of Trade are a means of restoring some measure of balance in negotiating power between independent producers and media conglomerates, by establishing minimum commercial terms for development and broadcast licence agreements.

 

What is the Role of the Canadian Media Producers Association (CMPA)?

In order to ensure the adoption of Terms of Trade agreements with specific, meaningful and enforceable terms, it is critical that each broadcaster negotiate its own Terms of Trade agreement with the CMPA.

 

What are the Current Terms?

The CMPA has successfully negotiated, on behalf of its members and the entire Canadian independent production sector, a Terms of Trade agreement that came into effect June 1, 2011. This is a historic deal that will redefine the relationship between producers and broadcasters.

The agreement has been signed between the CMPA and Astral, Bell Media (CTV), Corus, Rogers and Shaw Media. Canadian producers and broadcasters are required to adhere to Terms of Trade - it applies to all independently produced projects developed and commissioned by these private broadcast groups.

The deal applies to the entire life cycle of a show - from first pitch, through to development, production and broadcast on all platforms. Key areas covered by the deal include

  • Development and Evaluation
  • Licensing Conditions
  • Editorial Control
  • Licence Term
  • Rights
  • Equity
  • Super Licence Fees
  • Producer Tax Credits
  • Timeframe and Administration

The agreement came into force as of June 1, 2011 with the exception of certain parts related to the financing of programs, which came into force as of August 1, 2011. Please see section 13 for specifics relating to the timing of implementation of the various elements of the agreement.

Click here for a copy of the Terms of Trade agreement. It is noted that while Corus signed a separate Terms of Trade agreement, it contains no substantive differences from the agreement signed with the other broadcasters.

Click here to see CMPA's Terms of Trade press release (April 4, 2011)

 

NOTICE:

Members are reminded that section 13(a) of the Terms of Trade Agreements (“Agreements”) between Astral, Bell Media, Corus Entertainment, Rogers Broadcasting and Shaw Media provides that the Agreements came into force as of June 1, 2011, save for sections 7, 9 and 10, which are the financing provisions of the Agreements, and which came into effect on August 1, 2011.

It is the CMPA’s position that a broadcaster and independent producer must have at least an executed short-form agreement (i.e. signed by both parties) in place in advance of the June 1, 2011 implementation date in order to bring the project in question outside of the auspices of the Agreements.

The CMPA therefore considers that any projects for which executed short-form agreements were not in place by June 1 must conform with the Agreements.

 

 


Contact Us

 

Erin Finlay Email Erin Finlay

Chief Legal Officer

1-647-789-2492 / 1-800-267-8208 x233

 

Marcia Douglas Email Marcia Douglas

Director, Business Affairs & Digital Initiatives

1-416-304-0286 / 1-800-267-8208 x250