When screenwriters and filmmakers come together, great ideas are shared. Often the writer has a script that the filmmaker wants to make.
A literary “option” is the natural progression. An option is an agreement that grants the filmmaker, producer, or anyone interested in trying to develop the story into tangible form (into a film or TV show, for example), – grants them the exclusive right to “develop” that script for a specified period of time.
During the development process many different things can happen: the filmmaker or producer may try to raise money to actually make the project; they may attempt to attach a director or acting talent to the project; or they may shop the project within the industry to determine whether there will be a market for the project once completed. Because of the extensive efforts necessitated by this process, the person making those efforts wants to insure they have the exclusive right to the project for a specified period of time.
An option agreement can contain many different terms and contingencies, including price, duration and what happens if the option expires, or if the relationship elevates to the purchase of the script or story.
Option agreements can be traps for the unwary, potentially locking up a project for an unreasonable amount of time, and potentially for little or no compensation.
An option agreement should always be in writing, and should balance the advantages to both parties of having the project in development, with protections to the parties (and particularly the writer) should the development stall unreasonably.
Because option agreements have many moving parts, and involve strategy regarding duration and compensation, they should be entered carefully, and with the advice of an experienced entertainment attorney looking out for YOUR interests.
It is indeed great to have a project on it’s way to being made, but a purgatory to have the project locked up and stalled, or to be taken advantage of by insufficient compensation or overreaching terms.