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Is PACT membership worth it for a microbudget?

5 years, 6 months ago - Peter Simmons

It's our first feature, and properly microbudget, but we are paying everyone and need contracts, accounts etc.
It's all rather intimidating but £400+ is a chunk of change and we are unsure as to how much use they are to us?

Any help or thoughts welcome!

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5 years, 6 months ago - John Lubran

Never found the need in the last 35 years, but then I've never been forced by circumstance to sell my soul or to doff my cap to the media establishment cartel. There was a phase when the media establishment cartel effectively made membership of PACT compulsory before certain kinds of deals could be done; but their functional authority has since declined, significantly consequential to delusions of grandeur encountering evolving reality. It's not entirely different to BECTU's standing today. It might depend on where one's budget or commision is coming from, but rules and policies are not laws. One can be assured however that a great many productions being aired by broadcasters today were not made by producers subscribing to either PACT, the Free Masons or any other self empowered cartel.

How things affect a specific circumstance is of the essence. The devil is in the detail.

Response from 5 years, 6 months ago - John Lubran SHOW

5 years, 6 months ago - Richard Anthony Dunford

Union rates are for low budget and above really so I'd personally say it's not worth it at micro budget level. Equity, bectu etc isn't legislation either; it's a guide. As long as you're paying at least NMW you're fine. You're not gonna get names or super experienced crew at NMW but if you can find someone with some experienced with the contractual, accounts side you'll be alright.

Response from 5 years, 6 months ago - Richard Anthony Dunford SHOW

5 years, 6 months ago - John Lubran

The issue of NMW comes up here a few times a year. It uncontravertial that NMW only applies to employees. Where there has been argument amongst subscribers here has been the legal definition of employee. I've relied upon the courts to provide that definition, which has more often than not differed from the opinions argued here.

It ought not be assumed that HMRC's definition is also the force of law, as several mostly unreported judicial findings have proved and that have led to significant climb downs and adjustments of policy by HMRC.

A declaration of truth and standing, which need not be in the form of sworn or notarized affidavit, is the lawful truth until disproven. As corporal Jones says, "they don't like it up 'em".

I'm predicting that the next five years is going to be defined by a battle for supremacy between authoritarianism and constitutional law.

Response from 5 years, 6 months ago - John Lubran SHOW

5 years, 6 months ago - Paddy Robinson-Griffin

If you want "name" cast, they/their agents may push towards PACT/Equity contracts, and for good reason. The Contract long form runs to 70-odd pages of intense text which have been fought out and agreed between PACT and Equity over the decades, and as they're standard boilerplate, it means neither side requires legal counsel to agree the deal, it's already commonly known and is basically fair. It ties you in to minimum rates, to buying out certain rights packages in advance, and other pretty reasonable things depending on budget. They also require that the production will lodge a certain calculation of cast budget in escrow in advance (released back to production once all agents agree their cast were paid per contract). PACT will act as escrow provider for their fee.

So PACT do add value if you want to be a union shoot - when you pay and do all the paperwork, they will send you a marked copy of the PACT/Equity agreement short form topsheets which is watermarked with that individual production details. First they will require a "signed-off" budget from a Producer's Guild member accountant (that the budget accurately represents the real film budget, so you don't cheat). They will then provide escrow services and give you a bit of support if you need it.

So if you're a non-union shoot, there's much less value to PACT membership for the film.

Response from 5 years, 6 months ago - Paddy Robinson-Griffin SHOW

5 years, 6 months ago - John Lubran

Thanks Paddy for that clear explanation of PACT's usefulness within specific circumstances. Dotting the i's and crossing the t's can be a challenge in bigger and more complex projects. PACT's fees might be proportionate if legal costs and the energy spent on institutional alignments are saved.

Response from 5 years, 6 months ago - John Lubran SHOW

5 years, 6 months ago - Peter Simmons

Thanks for all the input.
Looks like it's probably not for us yet, so there's a little money saved we can spend on catering!

Response from 5 years, 6 months ago - Peter Simmons SHOW

5 years, 6 months ago - Paddy Robinson-Griffin

Indeed John, I wince sometimes at paying a few grand (fee does scale with budget somewhat), but it's more than a box-tick, and the PACT/Equity Agreement goes into all kinds of details about everything from credits, position in credits, font sizes, advance residuals, etc - all structured frankly not unfairly. The amount of negotiation must have been phenomenal over the decades!

Peter, I think you're probably fine not to - and you could always recast if there's a holdout (and it's a bit of an all or nothing thing for Equity contracts).

Response from 5 years, 6 months ago - Paddy Robinson-Griffin SHOW