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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.
Table of content
Legal Use & context
Blind bidding is primarily relevant in the entertainment and film distribution sectors. It involves legal agreements between distributors and theater owners regarding the exhibition of films. The term is often associated with licensing agreements and can impact how films are marketed and shown in various venues. Users may find templates for licensing agreements and related documents through platforms like US Legal Forms, which provide resources drafted by legal professionals.
Key legal elements
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.
Relevant laws & statutes
In Georgia, O.C.G.A. § 10-1-293 explicitly prohibits blind bidding. It mandates that no bids or negotiations can occur before the film has been screened for theater owners. This law aims to protect exhibitors by ensuring they have the opportunity to evaluate the film before committing to a license agreement.
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.
Common misunderstandings
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.
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