Hollywood studios may terminate unwanted contracts due to Coronavirus quarantine
The portal The Hollywood Reporter published an article dedicated to some legal problems of Hollywood and its representatives, which will cause them quarantined due to coronavirus.
According to the lawyers of various actors and directors, many clients call them with a question about payment within the framework of a pandemic, and there is no one answer to such a question.
For example, on TV shows, studios usually pay authors for finished episodes. Therefore, in a situation where the production of the show is stuck for an indefinite period, the question of paying for unfinished seasons remains open.
Some still prefer to financially support their teams, like NBC with their comedy show Saturday Night Live. Despite the fact that the next three issues have been canceled, the authors will still receive a salary.
Netflix and NBCUniversal , whose projects were also “frozen” for at least a couple of weeks, keep their main teams at a minimum rate. However, if restrictions due to coronavirus are prolonged, then, according to sources, the studios will cease to pay employees.
In addition, Hollywood studios may use quarantine restrictions to their advantage. Usually, in case of force majeure circumstances, compensation to employees is withheld. And if the period is delayed by eight weeks, then the studio can terminate the contract if it does not see any benefit in it.
Such tricks already occurred during the strike of 2007-2008, when the studios used legal loopholes to break off contracts uncomfortable for them. And recently, rumors began to be heard again that this could happen again – especially regarding incredibly expensive deals, which, for example, affect the most popular actors.
On the other hand, quarantine can have a positive effect on screenwriters who were also planning to go on strike due to difficult working conditions. Due to the delay in the delivery of texts and delays in projects, they are taking a more advantageous position than before.
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