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The battle between the Writers Guild of America and talent agencies kicked up another notch Saturday as the WGA released a detailed FAQ that included the disclosure that the guild is “preparing a lawsuit” that challenges packaging, a key agency practice, as a conflict of interest and as an “illegal kickback” under federal labor law.
The disclosure did not say when — or even if — the lawsuit will be filed, but it raises the temperature of an already roiling dispute and clearly increases the likelihood of litigation.
The 49-point FAQ amounts to a white paper addressing numerous arguments for and against the guild’s move to impose a new code of conduct on talent agencies that would prohibit packaging — a decades-old practice that the unions have intermittently challenged — and production, a newer enterprise for the agencies.
Both are lucrative, and their loss would represent a major change in business models for top agencies in particular.
Read the FAQ here.
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