Under the terms of a draft agreement drawn up by BBH and the production companies, represented by the Advertising Producers Association, editing will become a two-stage process. Production companies will choose the editor and pay for and deliver the director's cut, but BBH will contract with the editing company for all additional services. These include the agency and client cuts and any different length or international deliverables.
The disagreement arose in March, when BBH signalled its intention to pay editors directly, rather than via the production company.
Following the disagreement, a number of production companies refused to work on BBH scripts because of concerns that the new contracts might erode creative control.
The APA chief executive, Steve Davis, said: "This ensures the production company has the opportunity to deliver the film of its treatment and brings clarity to the management of the editing process, which will make it more efficient."
The BBH worldwide chairman and chief creative officer, John Hegarty, said: "It's in all our interests to maintain the UK's pre-eminence in production. The new agreed way of working will help us show clients our industry is transparent, while enabling production companies to protect their creative input."
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