Netflix & Create Denmark negotiate rights agreement to resolve payments dispute

Netflix and actor/writer union Create Denmark have negotiated an agreement that will see the streamer once again commission shows within the country.

The deal comes after 11 months of negotiations and includes “a guaranteed initial rights payment upon launch on the Netflix service, followed by additional remuneration based on the success of a show” for Danish creators.

“We are happy to have reached an agreement with Netflix that enables Netflix to commission new Danish drama in Denmark. The agreement secures a guaranteed payment for each show but also provides sharing of success by adding additional remuneration based on viewers. We look forward to continuing our relationship with Netflix and to developing the agreement further,” said Benjamin Boe Rasmussen, spokesperson for Create Denmark, according to Screen Daily, which first reported news of the deal.

The agreement will be binding until the end of 2024 and will come into effect as soon as it receives approval from the seven unions represented by Create Denmark and the Danish Producers’ Association.

Denmark’s production industry has been bracing itself for losses of up to €200m ($200m) due to this stalemate over rights payments from, with more than 50 shows having been stopped at either development or production stage.

At the heart of the issue was a proposal made late last year by Create Denmark that would have done away with a fixed price for a show. The cost would instead change over time, depending on factors such as the show’s popularity and whether the commissioning streamer grew in size.

These were swiftly refused by local players such as TV2 Play and Viaplay, as well as global streamers including Netflix, Disney+ and Amazon Prime Video.

Nordic streamer Viaplay has since struck an interim agreement that has allowed some shows to be produced and TV2Play has an annual commissioning commitment because of its government ownership.