Jonathan Freedman watched Matthew Broderick walk away in a huff, frowned slightly, and motioned for Simon to enter his office, asking, "Simon, do you happen to know Matthew?"
Simon didn't hide anything and briefly explained what happened at the Hindenburg bar last time.
"Oh, that's a small matter," Jonathan said with a casual laugh, sitting behind his desk. "I'll arrange a meal with Matthew sometime, we'll shake hands, and it'll be fine. There shouldn't be any irreconcilable conflicts between you young people".
Simon nodded. He hadn't taken the previous incident too seriously. Feeling that Jonathan seemed distracted and a bit tired today, he asked, "Jon, haven't you been resting well lately?"
"It's nothing, just been a bit busy these days".
Listening to the young man's concerned tone, Jonathan, who was rummaging through some documents on his desk, hesitated. He suddenly really didn't want to pull out that draft contract.
Hesitating, Jonathan eventually handed Simon a blue folder, resolving to compensate the boy as much as possible in the future, and said gently, "Simon, there's a result regarding the script. However, the studio checked your information with the WGA beforehand and knows you're a newcomer, so the offer isn't too high. Also, they want your other script. I saw the synopsis at Paramount yesterday, and it's brilliant. Here, take a look at the contract first".
Simon felt the clear reservation in Jonathan's tone and had a vague premonition he wouldn't like what he was about to read, but he still opened the contract in his hand and read it carefully.
Watching Simon diligently read the contract, Jonathan actually wanted to get away.
He knew very well that Simon was definitely not the kind of rookie who would cheer for joy just by selling his script. Therefore, he really didn't want to face the teenager's reaction after reading the contract.
God seemed to hear Jonathan's thoughts, as the office door suddenly knocked. Owen Wright poked his head in and said, "Mr. Freedman, Mr. Brokaw is here".
As soon as the assistant finished speaking, Norman Brokaw, standing outside the door, merely glanced at Simon and waved to Jonathan, saying, "Jon, can you come out for a moment? I need to talk to you".
Although he didn't want to have any interaction with Norman Brokaw right now, Jonathan was even less willing to face Simon at this moment. He stood up nonchalantly and introduced to Simon, who had also stood up, "Simon, this is Mr. Norman Broca, our WMA president. You continue reading the contract, I'll be back after a quick chat with Norman."
Simon looked at the old man who had no intention of entering, standing outside the door. He was wearing a black suit, had greying hair, and was a bit short.
Nodding at the other party, Simon waited for Jonathan to leave the office before sitting down again and refocusing on the contract in front of him.
Then, as he read deeper, Simon's brows furrowed tighter and tighter.
To be fair, Simon wasn't too concerned about the $100,000 basic script fee mentioned in this contract.
As a newcomer, such an offer was actually very good.
$100,000 would probably be enough for him to complete Run Lola Run'.
However, this was a complete buyout contract.
$80,000 to buy out all rights to 'The Butterfly Effect, and $20,000 as a deposit to purchase the first look option for 'Final Destination' for the next three years. Moreover, if Fox decided to produce 'Final Destination' within the next three years, the renegotiated price would still be for a full buyout of all rights.
(A "first look option" on a script means a producer/studio pays a fee for the exclusive right to review and potentially buy your script first, before anyone else, for a set period)
After roughly flipping through the contract, Simon was even a little disbelieving. How could Jonathan possibly offer him such a harsh contract?
In Hollywood, screenwriting is also a very unstable profession. Even WGA union members are basically unemployed for most of the year, and many have to rely on finding other jobs to make ends meet.
Therefore, in order to gain more rights, Hollywood screenwriters are also one of the most frequently striking groups in the industry.
After decades of confrontation with the studios, the Writers Guild gradually reached a "Basic Agreement" with the Alliance of Motion Picture and Television Producers, to protect the rights of Hollywood film and television screenwriters in terms of basic treatment, minimum wage, health insurance, pension plans, and other aspects.
For film screenwriters, the most important clause in the "Basic Agreement" is not actually the stipulated minimum script remuneration, but rather the revenue sharing agreement that can bring long-term income to screenwriters.
According to the latest version of the "Basic Agreement" signed by the Writers Guild and the Producers Alliance in 1985, in addition to the two tiers of minimum basic remuneration divided according to film production costs, film screenwriters can also receive corresponding shares from the film's subsequent videotape and television broadcast rights income.
Among these, the sharing ratio for videotapes is 0.3% of sales revenue for up to 1 million units sold, and 0.36% of sales revenue after 1 million units sold.
Furthermore, revenue sharing from television broadcast rights has detailed percentage divisions based on different platform types such as public television networks, basic cable channels, pay cable channels, pay-per-view on-demand channels, and even overseas television stations, with the overall contractual income for screenwriters being no less than the videotape sharing.
Since the 1980s, with the explosion of the videotape market and the continuous development of television networks, Hollywood film revenues in these two areas have continuously increased, currently reaching a level where they each account for one-third of box office revenue.
Therefore, for a film with even a global box office of only $30 million, its videotape revenue could probably also reach that figure.
Based on an average home video price of around $30, $30 million in sales revenue is exactly equivalent to 1 million videotape sales. Calculating by this figure, the film's screenwriter could successively receive approximately $90,000 in royalties from these 1 million videotape sales.
Subsequent television broadcast rights revenue sharing would basically be equivalent to videotape sales sharing.
Together, these two items would be approximately $200,000.
This was already far higher than the average transaction price of Hollywood scripts in the 1980s, and usually several times the basic remuneration agreed upon by screenwriters and film companies.
Moreover, these two aspects of sales sharing are a long-term, continuous income, meaning that even if a film screenwriter cannot find any work in the next few years, the sales sharing received periodically can ensure their livelihood.
Simon had full confidence in 'The Butterfly Effect' and 'Final Destination', which the studio had unearthed from the WGA beforehand.
According to the usual consumption habits of moviegoers, as very classic horror films, the performance of these two films in the future videotape market is likely to be even better than their theatrical release, with sales even far exceeding 1 million units.
Therefore, if he could get a revenue-sharing agreement, plus an equivalent amount of television broadcast rights revenue, Simon would certainly continue to receive hundreds of thousands of dollars in subsequent income from these two scripts, far incomparable to the meagre current $80,000 basic script fee.
Simon was not a WGA member, and that was true.
In fact, Simon had no plans to join the WGA in the future, so he could not enjoy the comprehensive protection of the WGA's 'Basic Agreement'.
However, in Hollywood, where the film industry system is already quite well-developed, screenwriter revenue-sharing clauses have actually become an industry standard.
As long as the screenwriter can find a reliable agent, or even if they themselves have a little industry knowledge, and the collaborating party is a legitimate Hollywood film company, then both parties can basically sign terms with a revenue-sharing agreement.
But now, a vice president of Hollywood's largest talent agency had only 'secured' for him a buyout agreement that treated him like a complete fool.
For a moment, Simon truly felt an urge to jump up and throw the contract in his agent's face.
However, remembering some details in Jonathan's expression just now, Simon calmed down, turned to look at the office door, and patiently waited for his agent to return.
At the same time, in Norman Brokaw's office, Jonathan Freedman, who had been stewing since yesterday afternoon, heard his direct superior's demand and could no longer hold back, raising his voice and waving his arms, saying, "Doesn't like it? Just because of doesn't like it, he wants to kick Simon out? That's too unreasonable. Norman, do you know how embarrassed I was when I just handed that kid the contract? I, a WMA vice president, gave my client a pathetic agreement that even a third-rate agency's agent might not offer. Now, you're telling me to go tell him he's been kicked out and will have nothing to do with this movie anymore. How am I supposed to say that?"
Norman Brokaw looked at Jonathan, who was on the verge of losing his usual gentle demeanour, masking his disdain, and his tone became stern, saying, "Jon, you need to know, you are now a vice president of WMA. As management, you must consider the interests of the entire company. Moreover, he's just a clueless young punk. If you can't even handle something like this, how can you bear your current position?"
You should be considering your own interests!
That thought flashed through Jonathan's mind. Hearing Norman Brokaw's words, which had already started to threaten his position, his tone softened slightly, but he still argued, "Simon is already reading that contract. The total remuneration for 'The Butterfly Effect' was originally only $80,000: $50,000 for the initial draft, $20,000 for revisions as requested by the studio, and $10,000 for subsequent polishing. These terms are all clearly written. Even if he agrees to withdraw, how will this money be calculated? Am I just supposed to go back and tell him that only $50,000 is left?"
"Of course, only $50,000 is left. In the entire Federation, how many 18-year-olds can earn $50,000? What more is there for him to be dissatisfied with?"
Norman Broca became even more assertive when he saw Jonathan's attitude soften.
Before pitching the script to the studio last week, Norman Brokaw had originally wanted to revise the script to increase Matthew Broderick's screen time, but Jonathan had refused, saying the script was already perfect.
Now, taking advantage of Matthew's dislike for Simon as an opportunity to kick him out, he could conveniently have his own trusted screenwriter do the job, a win-win for him.