Main Line vs. Basinger   Term Paper ID:42201 Click to get this paper

Essay Subject: Kim Basinger commits a breach of contract when she withdrawls from a movie she's ...... More...

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Paper Abstract: Kim Basinger commits a breach of contract when she withdrawls from a movie she's agreed to make. How much of the loss of profit should Main Line receive as damages? Paper Introduction: Breach of Contract Kim Basinger does not come out of this case looking very good Did shewithdraw from the film for artistic reasons or because she had anotheroffer worth three times as much in the wings The reason does not actuallymatter Breach of contract is not a crime and she cannot be punished forit She is responsible for making up the lost profit however the amountof which is what the case is all about We need to assume for the purposes of Text of the Paper: The entire text of the paper is shown below. However, the text is somewhat scrambled. We want to give you as much information as we possibly can about our papers and essays, but we cannot give them away for free. In the text below you will find that while disordered, many of the phrases are essentially intact. From this text you will be able to get a solid sense of the writing style, the concepts addressed, and the sources used in the research paper. The specific rules concerning agents in Hollywood may bedifferent, however. We need to assume for the purposes of this discussion that a breach ofcontract did in fact occur. This does not takeinto account further box office or rental distributions because they cannotbe reasonably estimated. The best way to solve this is to grant Main Line for the lost pre-sale revenue minus the original budget for the film. The reason does not actuallymatter. Main line cannot ask tobe compensated for spending extra money after hiring cheaper actress. Arrangements for the production of the film seem to have begun,however, and to break the numerous small contracts involved would havecaused Main Line to be sued for lost profits as well. Since the contractsfor domestic fees were far enough along in negotiations for one of theowners to lend to the company against it, the domestic and foreign feesthat were not yet finalized when she withdrew from the film can be seen asa foreseeable loss for which Main Line should be compensated. The second standard isthat if the profit cannot be reasonable projected, the plaintiff must atleast be brought back up to the level that they would have been before thecontract was made. The revenues to be considered are those that are most likelyrealizable. The defense lawyer's statement about making a movie that is alreadyin the negative actually points to Main Lines attempts to do mitigate thedamage. Because they chose to make the movie, Main Line is entitled tocompensation for the difference in profit between the two movies. So we will assume that when Basinger pulled out of thecontract, she was legally obligated to make the film and could reasonablyexpect Main Line to incur a financial loss as a result. Likewise it does not make Basinger pay for changesto the way the movie was made after she left. Employment contracts generally need to be inwriting. It takes Main Line back tothe financial position it was in just before Basinger withdrew. Rather it is using the guaranteed fees from distribution that themovie would have commanded with Basinger as the star. Did shewithdraw from the film for artistic reasons, or because she had anotheroffer worth three times as much in the wings? Not only would thecompany have lost profit, but it would have lost all of its investment andpossible more on top of it. Basinger's lawyer was correct in stating that Main Line was requiredto mitigate the damage done by her breach of contract. It isdifficult to arrive at the final profit number because the costs ofproduction and distribution are flexible. There should be no financial damage due to the breach ofcontract. In short, she wouldhave to compensate them for the profit they lost. Breach of contract is not a crime, and she cannot be punished forit. The fact that big stars do not mean a box office success isirrelevant because Main Line is not using box office success to measurerevenue. Breach of Contract Kim Basinger does not come out of this case looking very good. She is responsible for making up the lost profit, however, the amountof which is what the case is all about. There is one last difficulty in the estimation of the cost. Profitis, naturally, calculated as the revenue minus the cost. If the company had not yet invested in the movie, then it mightwell have been best for them to cancel the project and simply sue for lostprofit. There are two standards by which to measure compensation in a caselike this. The fact that the movie's budgetincreased after Basinger left rather than decreased shows that the costs ofproduction are independent of the projected sales. One is that Basinger must compensate Main Line to the point thatthey would have been should she have kept the contract. So the company isentitled to the difference in revenues minus any cost savings from makingthe movie the new way. This means that theyneeded to take the path that would cause them the least amount of financialdamage. If this paper is not what you are looking for, you can search again: Search for: or Click here to request an essay written just for you.