Pryor Cashman Partner Simon Pulman, co-chair of the Media + Entertainment and Film, TV + Podcast Groups, spoke with the Los Angeles Times about the issue of residual payments in the ongoing Hollywood Strike.
In "What are residuals and how do they work? A Hollywood strike battleground, explained," Simon notes that the streaming model has created a new approach to residuals, which used to be tied to ratings or ticket sales:
In trying to adapt residuals to a streaming-centric world, Pulman said, industry stakeholders devised an "enormously complicated" formula that looked at a show or film's length as well as how long it had been on the platform. But that calculation is not based on whether something is a hit or not, Pulman emphasized, meaning an extremely popular show could still pay out the same amount in residuals as a dud.
The article details how the actors' and writers' unions are calling for changes to the current system.
Read the full article using the link below (subscription may be required).
- [Los Angeles Times] What are residuals and how do they work? A Hollywood strike battleground, explained
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