What are the talent fees, and how much are they?
Performers in the commercials are paid “talent fees,” both when the commercial is originally produced and when it is reused. In most cases, performers are members of the Screen Actors Guild (SAG) or the American Federation of Television and Radio Artists (AFTRA). These unions govern the minimum charges for each type of use. In some cases, performers in nonunion commercials have been paid a single fee for all uses of the commercial; this is called a “buy-out,” and no further talent fees are due. The MCRC has compiled all of the “free” ads onto appropriate formats for educational use or for broadcast. (See question 17 about fees for use of MCRC spots outside the United States.) Two types of talent fees exist: “holding fees” and “use fees.” The “holding fee” is a baseline activation fee that covers a 13-week period for a particular spot. The rate stays the same for 21 months as long as the spot is renewed consecutively every 13 weeks. Whenever it is dropped after any 13-week cycle, the co