WGAW Perspective

Reality overrated? Not a chance.

(Posted June 14, 2007)

We were surprised to read in the June 13 LA Times "Scriptland"  column that based on a single discussion overheard at the WGAW Summer Screenwriter Reception, the Times was able to conclude that Writers Guild members do not support organizing reality television.

There is a huge difference between what is said over cocktails at a social function and what you hear when people are focused on the issues most important to them. The Guild has heard comments like those expressed by the screenwriters overheard by the Times.  We've also heard from members who understand that it's only fair for writers of reality TV to have health, pension and residuals and to have the Guild on their side in disputes with their employer.  Other members have supported the idea that any non-guild hours on the networks undermine our strength at the bargaining table.

As reported on numerous occasions in the Times, we live in a region that has been seriously impacted by the profusion of low-wage jobs. Writers understand that the only thing preventing Hollywood from going the same way as L.A.'s de-unionized industries is by maintaining standards and insisting on representation for every writer in every genre of entertainment and news, on television, film, and nontraditional media such as the Internet and cellular technology.

Now, you may not hear that kind of talk over hors d'oeuvres, but you're certainly going to hear it over and over again once the party really begins.


WGAW Foreign Levies

(Posted May 4, 2007)

You may have seen a feature article in the May 2 Los Angeles Times on the WGAW's Foreign Levies Program, discussing the ongoing lawsuit against the WGAW and the DGA, as well as other aspects of the program's administration.

In an effort to provide our members with an accurate context for these issues -- and to clarify several points not fully addressed in the piece - we would like to take this opportunity to discuss the background of the program and the important work that the WGAW's Foreign Levies Department performs on behalf of writers.

The Foreign Levies Program is a notable success story. If not for the WGAW's efforts dating back to the 1980s, no writer would receive any payments. The money would have remained in the hands of the producers who, as copyright holders under U.S. law, claimed the right to 100% of the levies attributable to American works. By bringing legal and political pressure to bear, the guilds have been able to secure a fair and growing share for writers and directors. Under the current agreement, the WGAW and the DGA each receives 25% of total foreign levy remittances on behalf of the writers and directors.

The program has grown over time. The WGAW now receives levies from 15 countries in Europe and Latin America. Total remittances from foreign collection societies in the last fiscal year alone exceeded $10 million. Since the inception of the program, the WGAW has distributed nearly $37 million to writers (and their heirs and beneficiaries).

Distribution of foreign levies is not an easy or simple matter. The WGAW distributes the money based on data provided by foreign collection societies. The distribution data, however, are frequently incomplete or unintelligible, and in many instances do not include writers' names. Titles sometimes arrive in foreign languages or are inexactly translated. Where adequate information is lacking, the funds remain in a trust account while the WGAW does the research necessary to permit distribution. While there is still a sizeable backlog of funds awaiting distribution, we have greatly increased the efficiency of the distribution process over the course of 15 years.

In short, the Foreign Levies Program provides a valuable service to all writers, and the WGAW is committed to its fair and efficient administration.

If you have further questions or issues about the WGAW's Foreign Levies Program, or feel you are entitled to foreign levies monies, please email: Foreign Levies Info.

Compensating Writers for Their Work:
The Foreign Levy Program

What is a levy?

Under agreements with the member companies of the Motion Picture Association of America (MPAA) and other producer organizations, the Writers Guild of America, West, Inc. (WGAW) and the Directors Guild of America, Inc. (DGA) receive and distribute “foreign levies” - monies payable under foreign laws to writers and directors of copyrighted works in the United States. These monies are remitted to the WGAW and DGA by foreign collection societies, and represent payment for three types of exploitation of audiovisual works: private copying, video rentals and cable retransmission.

What started it all?
 
In late 1980's and early 1990's, when foreign governments first created these levies, American producers took the position that they were entitled to 100% of the funds, based on American copyright laws. The WGAW and DGA, however, argued that the levies belonged to the writers and directors who had originally created the work. 

Eventually, a legal compromise was reached. Under a series of written agreements with the producers, the WGAW negotiated for a share of the levies. Initially, the producers received 85% of the foreign levy money. Then, due to the joint efforts of WGAW and DGA, writers and directors increased their share in 2001 to 25%. In 2005, a subsequent agreement further boosted their share to 50%.

How much is involved?

Since the program began, more than $37 million has been distributed to writers (and their heirs and beneficiaries). In the last fiscal year ended March 31, 2007 alone, the amount was more than $10 million. Another $20 million is currently being held in trust pending completion of research necessary to permit distribution.

How are the funds handled?

All foreign levy funds are held in a trust account pending distribution. While the goal is to distribute funds as quickly as possible, a variety of circumstances may prevent distribution:

  • The foreign collection society does not provide distribution data.
  • The distribution data are inadequate or inaccurate.
  • Titles in the distribution data cannot be identified.
  • The credited writers identified in the distribution data cannot be identified or located.
  • There exists a dispute or other uncertainty as to the lawful payee; for example, if there is a dispute between heirs.

Funds are held in the trust account only as long as necessary to permit proper distribution.

How is the program paid for?

Financial support for the Foreign Levy Program comes from two sources: interest earned on funds held in trust and administrative fees assessed on foreign levy distributions. The fee is currently set at 5%.