Blind Bidding: A Comprehensive Guide to Its Legal Definition and Impact

Definition & Meaning

Blind bidding is a practice used by film distributors that requires theater owners to place bids for movies without having the opportunity to view them beforehand. This process typically occurs when licensing films for their initial release. In some jurisdictions, such as Georgia, blind bidding is prohibited by law to ensure that theater owners can make informed decisions based on screenings of the films.

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Real-world examples

Here are a couple of examples of abatement:

(hypothetical example) A distributor releases a new film and requires theaters to submit bids based solely on marketing materials. In Georgia, this practice would not be allowed unless the film has been screened for theater owners beforehand.

State-by-state differences

State Blind Bidding Status
Georgia Prohibited
California Permitted with restrictions
New York Permitted

This is not a complete list. State laws vary, and users should consult local rules for specific guidance.

Comparison with related terms

Term Definition
Blind Bidding Bidding for a film without prior viewing.
Open Bidding Bidding after a film has been screened for potential exhibitors.
Trade Screening A preview of a film provided to exhibitors before bidding.

What to do if this term applies to you

If you are a theater owner considering a bid for a film, ensure that you understand your state's laws regarding blind bidding. If you are in a state that prohibits this practice, you should not engage in bidding until you have seen the film. For assistance, explore US Legal Forms for templates related to licensing agreements and other necessary documents. If the situation is complex, consulting a legal professional is advisable.

Quick facts

  • Typical fees: Varies by distributor and film.
  • Jurisdiction: Varies by state.
  • Possible penalties: Legal action for non-compliance with state laws.

Key takeaways

Frequently asked questions

Blind bidding is the process of placing bids for a film without having seen it first.