Disney Pixar Agreement Crashes with Cars Release

Chicken Little proves that Disney is sorely unprepared for the departure of Pixar from its stables, which will come to pass on 09 June 2006 with the release of the feature film Cars, the last picture to be done under their 5 original feature film agreement.

Legally termed as the Co-Production Agreement, the contract states that Pixar has, “on an exclusive basis, agreed to produce five original computer-animated feature-length theatrical motion pictures for distribution by Disney.”

Excluding Toy Story, which is under another contract, Pixar has done A Bug’s Life, Monsters Inc., Finding Nemo and The Incredibles with Disney to partially fulfill their contractual obligations. With four films accomplished, Pixar needs only one more film before they can be totally scot-free. As previously mentioned, that film is entitled ‘Cars.’

Talks regarding another contract broke down when Pixar demanded full ownership of all future feature films instead of the present co-ownership agreement, which states that “Pixar and Disney (have) agreed to co-finance the production costs of the Picture, co-own the Picture, co-brand the Picture, and share equally in the profits of each Picture and any related merchandise as well as other ancillary products, after recovery of all marketing and distribution costs, a distribution fee paid to Disney, and other fees and costs, such as participations to talent and the like.”

Pages: 1 2