A Screenplay Option Offer Comes In…Here’s How You Navigate It

So, you’ve written a screenplay and a producer has approached you about a screenplay option. Amazing – right? You’re one step closer to having your work make it onto the screen.

But what do you need to know about the next steps and should you always say yes? Navigating a contract isn’t always easy. And the tricky process of making your work legally protected and engaging in discussions around fees can feel like a major barrier for emerging screenwriters.

So we’ve compiled what screenwriters should know about screenplay optioning…

What is a Screenplay Option?

In simple terms, a screenplay option is when a producer or production company agrees to take your screenplay off the market for a certain amount of time and (hopefully) for a certain price. During this time, they will see if they can develop the screenplay.

• For example, a producer might pay you $1,000 to option your screenplay for a 12 month period.
• If they can’t develop the project within that time, then the rights will lapse back to you.
• But if they manage to further develop the project, for example finding a director, studio or actors, then that initial option will lead to a further development package.

The producer can buy your script for an agreed price at any time within the option period. So the option period is not necessarily the studio/producer/company buying your script. It’s actually the step before that acquisition. An option agreement and a purchase agreement are not the same things. They are, instead, two steps of a process.