Why Agencies Fight for Package Fees Even as Streaming Diminishes Their Value

“Agencies are not going to not [package projects] just because the profit margin is less,” entertainment lawyer David Chidekel says

As the Writers Guild of America and Hollywood’s biggest talent agencies approach the one-year mark of their protracted battle over the practice of packaging fees, several entertainment lawyers spoke with TheWrap about why the fight continues despite the proliferation of streaming and the disruption it’s had on Hollywood.

Packaging fees — those collected in return for an agency bundling on-screen talent, writers and a director into a project on behalf of a studio or network — were once a highly profitable business model for agencies when they landed a successful show. Success typically meant syndication.

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Trey Williams

Trey Williams

Film Reporter covering the biz • trey.williams@thewrap.com • Twitter: @trey3williams