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In the film industry, the phrase ‘chain of title’ refers to the series of documents or agreements that prove the ownership right of the entire movie. The phrase is not a legal term, as there is no statutory definition. But the idea that the phrase captures is very much intertwined with intellectual property and employment law. This article will outline what a chain of title is and the type of documents you will need to prove a chain of title in the context of a film production.
Copyright and the Film Industry
In Australia, copyright provides creators with the exclusive rights to do certain acts with a creative work. A creative work can be:
- literary;
- dramatic;
- musical;
- artistic; or
- cinematographic.
Copyright can exist in each creative contribution to the movie, meaning that there are often overlapping owners or authors of copyright to which exclusive rights exist. For example, copyright might exist in:
- the soundtracks or music playing in the background of the film;
- the storyline of the film if it is based on a book or a well-known individual; and
- famous paintings or branded products featured in the film.
Evidently, multiple individuals and works come into play when making a movie. For the producer or the production company to have legal rights to sell the film, they must establish that they have rights to use all the works.
If they do not establish this right, they may be infringing someone’s automatic rights to copyright and may face a claim brought against them. It is then essential to establish a chain of title before the sale and distribution of the film.
Why is a Chain of Title Important?
The chain of title is essential for several reasons:
| Importance | Explanation |
| Establishing ownership rights. | A clear chain of title definitively establishes the legal ownership of the film, preventing any challenges to the filmmaker’s or distributor’s authority. |
| Facilitating distribution deals. | Distributors rely on a chain of title to verify their rights to distribute the film without encountering legal complications. |
| Mitigating legal risks. | A comprehensive chain of title minimises the likelihood of copyright infringement lawsuits or ownership disputes, protecting the filmmakers from potential liabilities. |
| Enhancing future transactions. | A well-documented chain of title simplifies the process of selling or licensing the film to other parties, ensuring seamless transactions. |
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What Documents Are Involved When Establishing a Chain of Title?
Many documents are necessary to determine a clear chain of title. We explain each of these documents below.
“Clearing Copyright” by an Artwork Reproduction Licence
Say you plan on using artwork in your film. In this instance, you will need to gain clearance or permission from the owner before doing so. To obtain permission, you will need a licensing arrangement.
Location Release Form
If you plan on shooting on private property, you may need a location release form. This will prevent issues such as trespass and other indemnity issues. You may also require a location release form while filming on public property.
Music Commission or Music Licence for Film
Additionally, if you plan on having a musician, band, or composer produce something specifically for your film or use an existing song, it will be essential to have appropriate agreements in place.
Option and Purchase Agreement or Licence for Existing Work
Moreover, if you plan on acquiring exclusive or non-exclusive rights by basing the film on an existing book, play or otherwise, you must have appropriate agreements in place.
Crew and Cast Agreement
If you intend to hire staff on a contractor basis, you will want to ensure that copyright vests in the relevant film production company.
Additional Considerations For Filmmakers
Beyond these core considerations, filmmakers should also consider the following:
| Legal Considerations | Explanation |
| Chain of title review | Legal Counsel |
| Copyright searches | Conducting copyright searches through the relevant authorities can help identify potential conflicts or incumbrances on the film’s intellectual property. |
| Legal Counsel | Engaging an entertainment lawyer can provide valuable guidance throughout the filmmaking process, ensuring compliance with copyright laws and minimising legal risks. |
| Industry standards | Keeping updated with industry standards in best practices for chain of title documentation can ensure that the film ownership’s rights are well protected and aligned with the prevailing norms. |
Key Takeaways
In summary, there are a number of legal issues filmmakers should consider. A chain of title is a series of documents that protect a producer or filmmaker from competing rights. Therefore, without an appropriate chain of title, film producers subject themselves to an increased risk of liability for infringing other people’s rights.
If you have any questions about copyright in your film production, our experienced intellectual property lawyers can assist as part of our LegalVision membership. For a low monthly fee, you will have unlimited access to lawyers to answer your questions and draft and review your documents. Call us today on 1300 544 755 or visit our membership page.
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