"Rental and Lending Right". You should make sure that their contracts give their consent to the exercise by you of that right, since you are not allowed by law to license the programme for cinema exhibition without that consent. But even if they have given their consent, they are still entitled to what the law calls "equitable remuneration". It is wise, therefore, to agree in the original contract what that remuneration will be. You will then only have a problem if your film turns into an unexpected success on the scale of My Beautiful Laundrette or Four Weddings and a Funeral — a problem with built-in compensations!

The Rental and Lending Right law also applies to the author(s) of any pre-existing copyright

work incorporated in your programme — which could include a piece of pre-existing music or a painting or sculpture featured in your programme, as well as the novel or play adapted for your script — except that they are deemed to have given their consent. You still need to make sure that they get "equitable remuneration".

Directors sometimes ask for a financial interest in the secondary use of the programme that they have directed, in the form of residuals or royalties. Indeed, the introduction of this kind of payment as standard industry practice has been a major campaigning point of the Directors’ Guild (which has no agreement with PACT) and, from time to time, BECTU, for some years. However, payments of this kind are still