A deferral agreement film, also known as a deferred-payment film, is a type of movie production in which the cast and crew agree to defer their fees until the film`s profits are realized. This allows filmmakers with limited budgets to attract high-quality talent and create high-quality films.

The deferral agreement film model is especially popular in independent film production, where obtaining funding can be a challenge. Independent filmmakers often rely on private financing and donations from investors, making it difficult to secure the budget required for cast and crew salaries.

In a deferral agreement film, the cast and crew agree to work for little or no upfront pay in exchange for a percentage of the film`s profits. This means that instead of receiving a fixed salary, they will receive a share of the movie`s earnings once it is released theatrically, on DVD, or streamed online.

While this model may seem risky for the cast and crew, it can be an attractive option for those who believe in the project and are willing to take a chance on its commercial success. For independent filmmakers, it is often the only option to create a project with high production value.

The deferral agreement model also benefits filmmakers by allowing them to maintain creative control over the project. Since they are not beholden to studios or production companies, they can make creative decisions without interference from higher-ups. This can result in films that are more unique and have a more distinct voice.

There are, however, some potential downsides to deferral agreement films. Since the cast and crew are not paid upfront, it can be difficult to attract top talent. Additionally, the film`s profits may not be large enough to provide a substantial payday for those who deferred their payments.

In conclusion, a deferral agreement film is a model commonly used in independent film production, in which cast and crew agree to defer their fees until the film’s profits are realized. It allows filmmakers to attract high-quality talent and create high-quality films without having to bear the burden of high production costs. While it can be a risky option for cast and crew, it can also be a creative and rewarding experience for all involved.