Common use of Geographical Scope Clause in Contracts

Geographical Scope. During the negotiations for the 2005 and 2011 National Commercial Agreements, the Association of Independent Commercial Producers expressed its concern that on many occasions there is insufficient time to apply for a work permit or visa in connection with commercials shot entirely outside North America. The AICP asserted that its member companies cannot employ an American First Assistant Director outside North America absent a valid work permit or visa. In many instances, the Producer does not have sufficient lead time to apply for and/or receive a response to a work permit or visa application before the first day of production. To address this concern, the parties agree as follows: (A) Notwithstanding the Geographical Scope provisions set forth in Article 1-202 of the Agreement, an Employer shall not be required to transport a First Assistant Director from the United States on a commercial shot entirely outside North America where the commercial involves three or fewer shoot days or where the commercial’s total production costs (excluding “Editorial and Finishing” and “Talent Costs & Expenses”) as set forth on the AICP Film Production Cost Summary do not exceed $300,000. (B) The Employer shall comply with its obligation under Article 1-202 of the Agreement to provide the Guild with prompt written notice when a First Assistant Director is not transported pursuant to this provision, and shall also file a Commercial Project Listing Form as required by Article 1-102 (C) of the Agreement. (C) In such situations, the Employer shall give preference of employment to DGA First Assistant Directors (i) who reside in the country where production is taking place; or (ii) who hold a work permit or are otherwise eligible to work in said country and are eligible for employment as a local hire (i.e., the assignment does not require that the Employee be transported to that country for employment). The Guild will maintain a list of First Assistant Directors who satisfy these requirements. (D) On a commercial shot entirely outside North America where the Employer transports a First Assistant Director from the United States where the total production costs (excluding “Editorial and Finishing” and “Talent Costs & Expenses”) as set forth on the AICP Film Production Cost Summary do not exceed $450,000, the terms and conditions of the First Assistant Director’s employment shall be individually negotiated. Pension and Health contributions shall be paid on the minimum rates of pay set forth in Article 5 of this Agreement. Producer shall submit to the Guild, no later than thirty (30) days after the last shoot day, the AICP Film Production Cost Summary. Upon request, the Producer will submit verification of the final budget for such commercial. The Guild shall have the right to audit records relating to the cost of the commercial. (E) In addition to any other remedies available to the Guild under this Agreement, the Guild may revoke the terms of this provision on written notice to the Employer and the AICP prospectively for the balance of the term of this Agreement with respect to individual Employers who on two occasions fails to file a Commercial Project Listing Form for commercials produced outside the United States. The Guild will give the AICP and the Employer written notice of the Employer’s failure to comply prior to revoking the terms of this provision. (F) The AICP has agreed to remind Producers that they are mandated by NCA Section 1-303 (B) to complete and submit to the Guild prior to the first day of shooting, a DGA Commercial Project Listing Form for every project covered by this Agreement. The AICP has also agreed to remind Producers that failure to do so on any two occasions may result in the revocation of the terms of this provision for the balance of the term.

Geographical Scope. During the negotiations for the 2005 and 2011 National Commercial Agreements, the Association of Independent Commercial Producers expressed its concern that on many occasions there is insufficient time to apply for a work permit or visa in connection with commercials shot entirely outside North America. The AICP asserted that its member companies cannot employ an American First Assistant Director outside North America absent a valid work permit or visa. In many instances, the Producer does not have sufficient lead time to apply for and/or receive a response to a work permit or visa application before the first day of production. To address this concern, the parties agree as follows: (A) Notwithstanding the Geographical Scope provisions set forth in Article 1-202 of the Agreement, an Employer shall not be required to transport a First Assistant Director from the United States on a commercial shot entirely outside North America where the commercial involves three or fewer foreign shoot days outside North America or where the commercial’s total production costs (excluding “Editorial and Finishing” and “Talent Costs & Expenses”) as set forth on the AICP Film Production Cost Summary do not exceed $300,000350,000. (B) The Employer shall comply with its obligation under Article 1-202 of the Agreement to provide the Guild with prompt written notice when a First Assistant Director is not transported pursuant to this provision, and shall also file a Commercial Project Listing Form as required by Article 1-102 (C) of the Agreement. (C) In such situations, the Employer shall give preference of employment to DGA First Assistant Directors (i) who reside in the country where production is taking place; or (ii) who hold a work permit or are otherwise eligible to work in said country and are eligible for employment as a local hire (i.e., the assignment does not require that the Employee be transported to that country for employment). The Guild will maintain a list of First Assistant Directors who satisfy these requirements. A First Assistant Director employed pursuant to this provision who does not live within commuting distance of the location of the commercial may, subject to individual negotiation, be employed as a local hire pursuant to this Agreement. (D) On a commercial shot entirely outside North America where the Employer transports a First Assistant Director from the United States where the total production costs (excluding “Editorial and Finishing” and “Talent Costs & Expenses”) as set forth on the AICP Film Production Cost Summary do not exceed $450,000500,000, the terms and conditions of the First Assistant Director’s employment shall be individually negotiated. Pension and Health contributions shall be paid on the minimum rates of pay set forth in Article 5 of this Agreement. Producer shall submit to the Guild, no later than thirty (30) days after the last shoot day, the AICP Film Production Cost Summary. Upon request, the Producer will submit verification of the final budget for such commercial. The Guild shall have the right to audit records relating to the cost of the commercial. (E) In addition to any other remedies available to the Guild under this Agreement, the Guild may revoke the terms of this provision on written notice to the Employer and the AICP prospectively for the balance of the term of this Agreement with respect to individual Employers who on two occasions fails to file a Commercial Project Listing Form for commercials produced outside the United States. The Guild will give the AICP and the Employer written notice of the Employer’s failure to comply prior to revoking the terms of this provision. (F) The AICP has agreed to remind Producers that they are mandated by NCA Section 1-303 (B) to complete and submit to the Guild prior to the first day of shooting, a DGA Commercial Project Listing Form for every project covered by this Agreement. The AICP has also agreed to remind Producers that failure to do so on any two occasions may result in the revocation of the terms of this provision for the balance of the term.

Geographical Scope. During the negotiations for the 2005 and 2011 National Commercial Agreements, the Association of Independent Commercial Producers expressed its concern that on many occasions there is insufficient time to apply for a work permit or visa in connection with commercials shot entirely outside North America. The AICP asserted that its member companies cannot employ an American First Assistant Director outside North America absent a valid work permit or visa. In many instances, the Producer does not have sufficient lead time to apply for and/or receive a response to a work permit or visa application before the first day of production. To address this concern, the parties agree as follows: (A) Notwithstanding the Geographical Scope provisions set forth in Article 1-202 of the Agreement, an Employer shall not be required to transport a First Assistant Director from the United States on a commercial shot entirely outside North America where the commercial involves three or fewer foreign shoot days outside North America or where the commercial’s total production costs (excluding “Editorial and Finishing” and “Talent Costs & Expenses”) as set forth on the AICP Film Production Cost Summary do not exceed $300,000350,000. (B) The Employer shall comply with its obligation under Article 1-202 of the Agreement to provide the Guild with prompt written notice when a First Assistant Director is not transported pursuant to this provision, and shall also file a Commercial Project Listing Form as required by Article 1-102 (C) of the Agreement. (C) In such situations, the Employer shall give preference of employment to DGA First Assistant Directors (i) who reside in the country where production is taking place; or (ii) who hold a work permit or are otherwise eligible to work in said country and are eligible for employment as a local hire (i.e., the assignment does not require that the Employee be transported to that country for employment). The Guild will maintain a list of First Assistant Directors who satisfy these requirements. A First Assistant Director employed pursuant to this provision who does not live within commuting distance of the location of the commercial may, subject to individual negotiation, be employed as a local hire pursuant to this Agreement. (D) On a commercial shot entirely outside North America where the Employer transports a First Assistant Director from the United States where the total production costs (excluding “Editorial and Finishing” and “Talent Costs & Expenses”) as set forth on the AICP Film Production Cost Summary do not exceed $450,000500,000, the terms and conditions of the First Assistant Director’s employment shall be individually negotiated. Pension and Health contributions shall be paid on the minimum rates of pay set forth in Article 5 of this Agreement. Producer shall submit to the Guild, no later than thirty (30) days after the last shoot day, the AICP Film Production Cost Summary. Upon request, the Producer will submit verification of the final budget for such commercial. The Guild shall have the right to audit records relating to the cost of the commercial. (E) In addition to any other remedies available to the Guild under this Agreement, the Guild may revoke the terms of this provision on written notice to the Employer and the AICP prospectively for the balance of the term of this Agreement with respect to individual Employers who on two occasions fails to file a Commercial Project Listing Form for commercials produced outside the United States. The Guild will give the AICP and the Employer written notice of the Employer’s failure to comply prior to revoking the terms of this provision. (F) The AICP has agreed to remind Producers that they are mandated by NCA Section 1-303 (B) to complete and submit to the Guild prior to the first day of shooting, a DGA Commercial Project Listing Form for every project covered by this Agreement. The AICP has also agreed to remind Producers that failure to do so on any two occasions may result in the revocation of the terms of this provision for the balance of the term. (G) For purposes of the costs referred to in paragraphs (A) and (D), COVID-19- related costs shall be excluded.