IP Insights
Co-Production Agreement Clarity: What Every Indian Filmmaker Must Understand
Estimated : 6 Mins
INTRODUCTION
A good story is loved by all and often travels across languages, industries, and audiences. The Indian cinema has thrived on such stories. We have witnessed so many acclaimed films that are remakes of already successful movies from another industry. A few well-known examples are Drishyam, the acclaimed Malayalam thriller starring Mohanlal, which was later remade in Hindi, Tamil, Telugu, Kannada, and several other languages. Similarly, Arjun Reddy was remade in Hindi as Kabir Singh and became a major box-office success. Another classic example is the Malayalam movie Manichitrathazhu, which was remade in Hindi as Bhool Bhulaiya and Chandramukhi in Tamil, and the very recent occurrence of this being the film Dhadak 2, a Hindi remake of the acclaimed 2018 Tamil film Pariyerum Perumal.
Today, remakes, adaptations, sequels and spin-offs across different languages have become a very common part of the film industry. However, behind every successful remake is an important legal and business arrangement called a “Remake Rights Agreement.” This agreement permits filmmakers to officially adapt an existing film while helping both parties to avoid future copyright and ownership disputes.
WHAT IS A REMAKE RIGHT AGREEMENT?
A “Remake Rights Agreement” is a legal contract entered into between the parties, which grants the exclusive right to recreate or authorise the recreation of an existing cinematograph film in another version, language, or format using substantially the same story, characters, screenplay, music and other underlying creative elements, along with the right to commercially exploit the remake film
WHO OWNS THIS RIGHT?
The primary and most important question to ask before acquiring remake rights for a film is: Who actually owns the right to remake the film? At the outset, it may appear that the producer of the cinematograph film automatically owns these rights. However, the position is slightly more nuanced. Under Section 14(d) of the Copyright Act, the rights granted to the owner of a cinematograph film do not explicitly mention a separate “right to remake.” This creates an ambiguity regarding the true source of remake rights.
When a film is remade, it is not merely the visual recording that is being reproduced. In reality, what is often adapted are the underlying creative elements of the film that culminate in the cinematograph film. These underlying works are usually created by writers. Therefore, an important question arises: can the producer independently grant remake rights, or does the writer continue to retain such rights?
A fundamental principle of copyright law is that one cannot transfer a right that one does not possess. In most commercial film projects, the answer depends on the agreements entered into between the writers and the producer. If the writer or screenwriter has assigned their literary and screenplay rights to the producer under Sections 18 and 19 of the Copyright Act, and there is no clause restricting or reserving remake rights in favour of the writer, the producer generally becomes the owner of the remake rights and may further license or assign them to another party. However, if the agreements are ambiguous or specifically reserve adaptation or remake rights with the writer, disputes may arise regarding who can legally authorise a remake.
Therefore, while remake rights are generally understood to vest with the producer in the film industry, the actual ownership ultimately depends on the contractual arrangements governing the underlying works, which was also held in the judgment delivered by the Madras High Court in S.J.Suryah (a.k.a. S.Justin Selvaraj) v. S.S.Chakravarthy and ors (2021). This is precisely why clear drafting and proper assignment clauses become crucial in every film production agreement.
KEY POINTS TO BE TAKEN INTO CONSIDERATION
In a Remake Rights Agreement, there are certain key clauses that every filmmaker must carefully negotiate and clearly understand before agreeing.
1. Scope of the Rights
The breadth and depth of the rights being given are among the most important considerations.
- The agreement must clearly mention the language and territorial scope of the remake, including where and in which languages the film could be commercially exploited.
- It should also define the scope of exploitation rights, such as theatrical, OTT, streaming, satellite, sequel, prequel, and spin-off rights.
2. Proper and due Attribution
The original authors must be given due credit, since the right to attribution forms an essential part of the moral rights of the writer who created the underlying works of the original film
3. Creative Adaptation and Modification
A clear account of the extent of creative freedom granted under the agreement must be provided, including the extent to which changes can be made in the remake, and whether prior approval is required for any major modifications to the original work.
4. Duration and reversion terms
The duration within which the right has to be exploited must be mentioned, and when the recipient fails to exploit the said right within the agreed timeline, the right again reverts to the producer or the original owner.
EXCLUSION OF MUSIC AND SOUND RECORDING
The music and sound recordings used in the film are not included within the ambit of the remake rights granted by a producer. The Right only applies to the cinematograph film and not to its music or sound recordings, for which separate rights must be obtained from the appropriate record label.
CONCLUSION
In the end, remakes are the means through which stories reach a wider audience. However, such adaptations can function smoothly only when a clear and legally sound remake rights agreement is executed between the parties. The growing importance of remake culture in the film industry has consequently brought remake rights agreements into significant commercial and legal relevance. Since even a single clause can substantially affect the commercial value and future exploitation of the remake, parties must carefully read, understand, and negotiate every provision of the agreement before entering into it.