What does Territory (Usage) mean?
Territory Usage refers to the geographic area where a performer”s work, such as a commercial, film, or promotional material, can be distributed, aired, or published according to the terms of the contract. This clause defines the specific regions or countries where the licensed work can be shown. Territory usage is often negotiated based on the project”s scope, whether it”s for local, national, or international use, with broader territories typically leading to higher compensation for the performer.
Example:A commercial actor agreed to territory usage limited to North America, meaning the ad could not be aired in Europe or Asia without renegotiation.
Example: A model signed a contract allowing territory usage of their photos worldwide, resulting in a higher fee due to the global reach of the campaign.
Did You Know?
Territory usage can greatly impact compensation, with international usage often leading to higher pay for actors or models due to the wider exposure!