Completion Bond (Entertainment Law) Law and Legal Definition
A motion picture completion bond is a one that guarantees a motion picture will be finished and delivered on schedule and within budget. Completion bonds are sometimes required by banks and investors to secure loans and investments in a production. In general, a completion bond assures banks and financiers that:
1. The producers will complete and deliver the film in keeping with the screenplay, budget and production schedule that the bank or financiers approved; or
2. The completion guarantor will complete and deliver the film in keeping with such pre-approved screenplay and production schedule, and advance such sums in excess of the pre-approved budget necessary to do so; or
3. In case the film is abandoned, the completion guarantor will fully repay all sums invested in the film by the bank or financiers.