Creative Industries

In 2024, we again have the pleasure of welcoming Frankfurt Kurnit as one of the top sponsors of the Summit! Sergei Klimov spoke to 🇺🇸 Sean Kane and 🇺🇸 Greg Boyd in New York about the firm’s games group, and its current focus.

► THE FIRM

Let’s start with the fundamentals. Is Frankfurt Kurnit a big firm?

– We have a bit over 100 attorneys. For the US, this makes us mid-sized – we’re not a boutique, but we’re not huge either.

And you have offices in New York and in Los Angeles?

– Yes, we’re present both on the East Coast and on the West Coast.

What’s the focus of the firm?

– Advertising

– TV and films

– Books

– Games

Do you have a specialisation, or you're more of a 360° firm?

– Let’s put it this way: we’re a full-service firm built around the creative industries. We handle tax, employment issues, even real-estate – to the extent that it’s related to the business of our clients.

How important is the games practice for the firm?

– It has a major impact, at about 20% of our revenue. And by importance, games rival film and advertising – it’s definitely a long-term commitment.

► THE PEOPLE 

How long have you practiced in the area of video games?

– (Sean) 20 years plus? I started my career 26 years ago. The first six I was mostly in IP litigation, and then I became fully focused on the games industry.

– (Greg) 20 years. I’ve been working on video games for twenty years, believe it or not.

What about the firm?

– Interactive entertainment – that is, video games – has been a partner position at Frankfurt Kurnit since 2012. Our focus on the industry goes a long way back!

How do you split your time between the games industry and the other matters?

– (Sean) For me it’s easy: I’m 100% video games.

– (Greg) For me, it’s a 50/50 split between games and advertising. Which is why I’m very happy to contribute to the Advertising panel in Limassol in April, it's a perfect fit for what I do.

► SYNERGIES

You mentioned that you handle all kinds of issues for your clients. What would be something that people don’t immediately think of, when they think of a firm that works with the creative industries?

– Well, how about bomb threats against studios.

– Or shooting threats. Or threats of self-harm.

– We have a few ex-prosecutors in our firm who solve such issues by communicating with the police, and with the FBI, to resolve these. In fact, there was a case in this area just last week!

Go on…

– Criminal law. White collar crimes. Something like the stock dating issues.

More, please.

– Employment matters. Contractor agreements. Working with unions and guilds. You know what, the collective societies can be pretty litigious!

– (Sean) At the Limassol event, I'll talk about SAG-AFTRA – we work on these things a lot. Say, you hired a celebrity to create in-game content, and also to promote it. That’s different agreements! How do you decide which amounts fall under which contract?

► FOCUS & CLIENTS

Looking back at the last year, what was your primary focus?

– (Greg) Software agreements. Safe implementation of AI. Negotiating licensing and publishing deals.

– (Sean) Web 3.0 games, blockchain, NFTs, it’s a pretty complex area. AI in all of its aspects. Licensing, development, publishing contracts – especially those related to high-value IP that comes from video games, and is then licensed to other sectors. Earlier, we used to license film IP for use in games – and these days it’s more common to license games IP for use in films. The tables have turned!

Who are your clients, typically?

– In terms of revenue, I’d say it’s large US-based publishers.

– In terms of number of clients? Studios with 20 to 200 employees, mid-sized developers. For them, we act as their external GC.

Any indie teams that you worked with?

– Certainly! We’re lucky to have associates who can work with smaller studios and fit their budget.

► SUPERPOWERS

Sean, you work with Greg for a very long time. What are his superpowers, in your opinion? 

– (Sean) He is a highly intelligent human being. And he’s highly engaged with his projects. He can synthesize, and he can provide what you would call a “real-world opinion”. In this, he’s an ideal outside counsel for the region. He’s looking both into IP and into regulation, he can understand the business-to-legal specifics, weigh the risks, and provide an opinion on the practical impact of each issue. He is not someone who will give you a formalistic response, he’s fully focused on the actionable advice that’s based on the client’s risk tolerance. You know the mantra, that a studio should have a lawyer as a part of their design team? Well, Greg is that lawyer who can tune in, and make a difference.

Greg, what about Sean? What are his superpowers?

– (Greg) Sean is the most detail-oriented lawyer that I have ever met. He just doesn't miss any of the important things, he’s got an x-ray vision when he reviews his contracts! He is also a very calm person. In the creative industries, you sometimes have what I would call “a complicated environment”, where people do their thing and don’t really have tolerance for lawyers. Well, Sean can work in these environments, he can handle the stress and work with the client on how to do what they want to do, while remaining compliant. And because he’s a litigator, he knows how to look for holes, for stress points, for issues that may become disputed if a conflict arises. This makes him uniquely well-placed for advice on the risks that a client may, or may not, want to take.

I was recently at an conference in another region, and the local developers were vocal about why they don’t like to work with lawyers: they said that most times, you pay thousands of euros only for the lawyer to say “No”.

– You know what, saying “No” is both quick and cheap. You don’t have to know the industry to do this. But saying “Yes”, this is what takes work and experience – you must guide the client towards their business goal in a way that matches their appetite for risk.

I’ve known you for years, and you’re always happy with each other. What’s the secret?

– We are different. We have different personalities, different experiences. And this allows us to look at the matters from different perspectives. There’s plenty of synergies based on firm’s work in film, the inside knowledge from the Hollywood, and we bring all of that into the games industry space – for our clients to benefit!

Sounds very special. And very personal. What will you be talking about at the upcoming Summit On Tour in Limassol?

– (Sean) I'll talk about dealing with SAG-AFTRA, and working with talent in general.

– (Greg) I'll lead the second edition of Deceptively Obvious, a panel where six lawyers will share their war stories of contracts that got different readings when it came to litigation. I'll also co-present on the Advertising panel, where we will look at how the industry went from running print ads to working with influencers.