The Fine Print: 101 Basics for Ohio's Entertainment Professionals on Employment and Agreements
Ohio's film industry is experiencing remarkable growth, making it an increasingly popular choice for filmmakers. With its attractive 30% refundable tax credit on in-state spending, Ohio offers a compelling financial incentive compared to other states like New York and California, which have higher production costs. This, combined with the state’s diverse range of filming locations—from bustling urban centers to picturesque rural landscapes—provides filmmakers with a variety of options without the need for extensive travel. Additionally, Ohio's lower living and production costs, along with a skilled local workforce, further enhance its appeal.
Recent high-profile projects filmed in Ohio include the upcoming "Superman: Legacy," directed by James Gunn, which is shooting in both Cleveland and Cincinnati. This production alone is expected to bring substantial economic activity and job creation to the state. Other notable films and TV series recently shot in Ohio include M. Night Shyamalan's thriller "Trap," which is filming in Cincinnati, and the second season of "An Interesting Life" in Southwest Ohio. These projects are part of the $44 million in tax credits awarded to 23 different productions across the state, anticipated to create over 530 full-time jobs.
The economic impact of film production in Ohio is significant, contributing millions of dollars to local economies and supporting a wide range of jobs, from technical crew to creative professionals. As the U.S. film industry grows at an expected compound annual growth rate of 8.3% through 2027, Ohio is well-positioned to capture an increasing share of this market, thanks to its strategic incentives and supportive infrastructure.
Ohio's film industry is flourishing, attracting major productions and generating significant economic benefits. Recent high-profile projects filmed in Ohio include the upcoming "Superman: Legacy," directed by James Gunn, which is shooting in both Cleveland and Cincinnati. This production alone is expected to bring substantial economic activity and job creation to the state. Other notable films and TV series recently shot in Ohio include M. Night Shyamalan's thriller "Trap," which is filming in Cincinnati, and the second season of "An Interesting Life" in Southwest Ohio. These projects are part of the $44 million in tax credits awarded to 23 different productions across the state, anticipated to create over 530 full-time jobs.【21†source】【22†source】【23†source】【24†source】.
For those involved in the film industry, understanding Ohio's employment laws is crucial. These regulations ensure fair treatment and protection for workers, fostering a positive and equitable working environment, which is essential for sustaining the industry's growth and success in the state. By choosing Ohio, filmmakers can benefit from a supportive economic climate and a robust legal framework designed to foster a thriving creative industry.
Ohio's film industry is flourishing, attracting major productions and generating significant economic benefits. Recent high-profile projects filmed in Ohio include the upcoming "Superman: Legacy," directed by James Gunn, which is shooting in both Cleveland and Cincinnati. This production alone is expected to bring substantial economic activity and job creation to the state. Other notable films and TV series recently shot in Ohio include M. Night Shyamalan's thriller "Trap," which is filming in Cincinnati, and the second season of "An Interesting Life" in Southwest Ohio. These projects are part of the $44 million in tax credits awarded to 23 different productions across the state, anticipated to create over 530 full-time jobs.
For those involved in the film industry, understanding Ohio's employment laws is crucial. These regulations ensure fair treatment and protection for workers, fostering a positive and equitable working environment, which is essential for sustaining the industry's growth and success in the state. By choosing Ohio, filmmakers can benefit from a supportive economic climate and a robust legal framework designed to foster a thriving creative industry.
Overview of Work-Related Agreements: Ohio’s Entertainment Professionals
In the film industry, the classification of workers as either employees or independent contractors is critical, as it determines their rights and benefits. This classification isn't decided by the parties involved but is based on the actual nature of the working relationship. Misclassification can lead to significant penalties for employers and the loss of benefits for workers.
Ohio uses a "right-to-control" test to determine worker classification. The Ohio Supreme Court outlined this approach in the 1943 case Gillum v. Indus. Comm., which states that if an employer controls the manner and means of the work, the worker is an employee. If the worker controls how they achieve the end result, they are likely an independent contractor. Ohio courts consider various factors, including:
1. Who controls the details and quality of the work?
2. Who sets the hours worked?
3. Who provides the materials, tools, and personnel?
4. Who selects the routes traveled?
5. The length of employment.
6. The type of business.
7. The method of payment.
8. Any pertinent agreements or contracts.
This totality of the circumstances approach was reaffirmed in the 2023 case State ex rel. Friendship Supportive Living v. Ohio Bureau of Workers’ Compensation. This method ensures a comprehensive assessment of the employment relationship, recognizing that no single factor is decisive.
To be eligible for workers' compensation coverage, a valid employer-employee relationship must exist. Therefore, when using independent contractors, it is essential for employers to clearly define this relationship, preferably in a written contract and in the practical execution of the job. Ensuring that workers are correctly classified helps prevent legal issues and promotes a fair and productive working environment in Ohio’s growing film industry.
Intellectual Property Rights and Agreements
In the film industry, the classification of workers as either employees or independent contractors is critical for another reason: it may determine the scope of intellectual property rights. If someone is classified as an independent contractor, the hiring company may not automatically own the rights to the content they create (even if they are paying for them) unless there is an explicit assignment of those rights. Although U.S. copyright law typically grants ownership of work created by employees within the scope of their employment to the employer, it is always best to formalize this understanding in writing through a detailed agreement.
Intellectual Property Agreements
Under U.S. Copyright law, the default rule is that the employer owns the intellectual property created by an employee within the scope of their employment. However, negotiations can alter this arrangement, particularly for creative professionals who may wish to retain some or all rights to their work. This distinction is important in the film industry, where various forms of creative content are produced.
The United States Copyright Act divides a work for hire into two categories:
1. A work prepared by an employee within the scope of his/her employment.
2. A work specially ordered or commissioned for use as a contribution to a collective work, motion picture, translation, supplementary work, compilation, as an instructional text, as answer material for a test, or as an atlas, if the parties expressly agree in a written instrument signed by them that the work shall be considered a work made for hire.
An employer automatically owns the copyright in any work created by an employee within the scope of their employment. For example, a film script written by a screenwriter employed by a production company within the scope of their duties will be the property of the production company. Whether or not the author of the work is considered an employee is determined by common law rules of agency, not by the employer’s own definition.
If the author is not considered an employee, they are an independent contractor. A company will only own the work if it falls within one of the nine categories set forth in the definition and the parties sign a written instrument stating that the work is to be considered a work for hire (or the company has an assignment of rights). Caution: using a “work for hire” for independent contractors can be tricky in certain states that will determine its use favors an employment relationship (instead of independent contractor).
Restrictive Covenants and Your Creative Career
Non-compete agreements, a form of restrictive covenant, are a common feature of employment contracts across industries. These agreements aim to prevent employees from competing against their former employers for a specified period within a defined geographic area. In Ohio, the enforceability of non-compete agreements is subject to strict scrutiny. Courts assess factors such as the duration, geographic scope, and legitimate business interests at stake. Entertainment professionals should be wary of overly broad or unreasonable restrictions that could impede their ability to pursue their careers freely. Negotiating less restrictive terms, such as narrowing the scope or duration of the agreement, can help mitigate these concerns while still addressing the employer's legitimate interests in protecting confidential information or trade secrets.
Financial and Severance Rights
In addition to intellectual property considerations, Ohio's entertainment professionals must be aware of their financial rights and entitlements. Severance rights, particularly for executive-level employees, can significantly impact one's financial security in the event of termination. While Ohio does not mandate severance pay, employment contracts often specify severance packages, including monetary compensation, continuation of benefits, and outplacement services. Understanding the terms and conditions of severance agreements is critical for negotiating favorable terms and ensuring financial stability during times of transition. Moreover, Ohio law dictates the timing of final paychecks following termination, with penalties for employers who fail to comply promptly. Wage and hour considerations, such as minimum wage laws and overtime eligibility, further contribute to the financial well-being of Ohio's entertainment professionals, underscoring the importance of compliance and advocacy in employment matters.
Working Across State Lines
In an increasingly interconnected world, many entertainment professionals find themselves working across state lines. Whether filming on location, touring with a band, or collaborating with out-of-state partners, navigating the legal implications of interstate work is essential. Each state maintains its own set of laws governing employment, taxation, and business operations, creating potential challenges for multistate engagements. Ohio-based creatives must familiarize themselves with the legal requirements and obligations of each jurisdiction in which they operate to avoid unintended consequences and legal pitfalls. Consulting with legal counsel well-versed in interstate matters can provide invaluable guidance and ensure compliance with relevant laws and regulations.
Conclusion
Crafting a successful career path in Ohio's entertainment industry requires more than just talent and creativity—it demands a comprehensive understanding of employment agreements and legal considerations. By grasping the nuances of classification matters, intellectual property rights, restrictive covenants, financial entitlements, and interstate work, creatives can navigate the complex terrain of their profession with confidence and foresight. Armed with this knowledge, Ohio's entertainment professionals can protect their interests, negotiate favorable terms, and pursue their passions with clarity and determination, forging a path to long-term success and fulfillment in the dynamic world of entertainment.
Are you an entertainment professional in Ohio looking to navigate the complexities of employment agreements and contracts? Look no further! At Wagner Legal PC, we specialize in providing comprehensive legal services tailored to the unique needs of creatives like you. From reviewing employment agreements to ensuring compliance with Ohio law, our experienced team is here to support you every step of the way. Subscribe to our blog for insightful articles and tips, and sign up for our newsletter to stay updated on the latest industry trends and legal developments. Ready to take control of your career? Contact us today to learn more about how we can help you thrive in the dynamic world of entertainment.
