Act Doesnt Serve Entertainment Industry Rick Siegel is a former personal manager who is often engaged as an expert witness on the history, construction and application of the Talent Agencies Act. L.A. City Attorney Mike Feuer recently announced that to protect the "thousands who come to Hollywood every year to pursue their dreams in the entertainment industry," his office was stepping up their enforcement of those who violate the Labor Code Sections 1701-1704, the Krekorian Act. As the legislation's author, then-Assemblyman and now Councilman Paul Krekorian stated, the city is "putting all fraudsters on notice that they will be prosecuted if they cheat and steal to get ahead." The intention of the legislation is honorable. As stated by Krekorian, the act's aim was "to protect performers and their families from being taken advantage of by talent representatives."

But as written, the act has the potential to compromise the day-to-day workings of the industry. Section 1702 states, "No person shall own, operate or act in the capacity of an advance-fee talent representation service." In defining what such a service, Section 1702.1(a) declares it is unlawful to charge or receive a fee "from or on behalf of an artist for photographs ... reproductions or other promotional materials as an artist; lessons, coaching, seminars, workshops or similar training for an artist." The act (Section 1702.4(a)) provides an exception for public educational institutions and for private higher learning institutions or for those who primarily teach adults or satisfy the requirements of Article 5 of Chapter 2 of Part 20 of Title 2 of the Education Code (Section 1703.6). But every private instructor is at risk of fine, loss of compensation and jail, be they dialect coaches that make up to $10,000 each week to train actors to speak as native Bostonians or Londoners, or audition coaches hired specifically to ready actors of all ages for specific opportunities.

Also at risk: studio photographers that charge for actors' headshots, editors who create demo reels for actors of all ages are not at risk of fine, and anyone who either is a fee-based representative (for many years, Harrison Ford paid his manager on a monthly basis and it is now common for music managers to be paid this way) or is paid for being an artist development consultant. The city also announced their first alleged culprit, charging a long time music manager and consultant, Debra Baum, with four counts of violating the Talent Scam Prevention Act. Baum faces a maximum two years in jail and $20,000 in fines. Most people facing that kind of punishment have been accused of doing something quite horrific. Per the city attorney's press release, Baum could be incarcerated for entering into two contracts that had a monthly fee to provide consulting and marketing services with the objective to further the career of a 19-year-old singer. That is hardly an activity where jail is appropriate, even if Baum knew what she was doing was in fact unlawful. But most likely, Baum had no

idea that she was doing anything remotely illegal. During the discussion leading to its passage, the Krekorian Act was described as a way to protect minors and their parents. As I did not represent minors when working as a personal manager, I paid little attention to this legislation, especially because I understand the need to protect minors who may not be sophisticated enough to protect themselves. Baum is not alone: I doubt most if not all of the show business tradespeople who are violating the Krekorian Act on a daily basis have any idea they are doing so, just as it is safe to assume the state Legislature had no intention to criminalize such a broad swath of industry professionals. Now the Legislature must take action. The question is: What action should be taken? If the idea is to keep the public from wasting money on businesses that offer great opportunities and rarely deliver, are we going to close all the ballet schools? After all, how many girls grow up to be ballerinas? How about football camps and private quarterback coaching, should the government likewise but a stop to those

businesses because the odds of reaching the NFL is so miniscule? Yes, there have been unscrupulous individuals who have taken advantage of young actors' dreams with promises of stardom. And when fraud is alleged, there should be prosecutions. But to color everyone who works in talent with

the same brush of mistrust is simply unfair. And it is similarly unfair for the city attorney to go after one industry professional when virtually everyone with those trying to get into the industry or one-on-one with even seasoned professionals are breaking the law as written on a daily basis.

Rick Siegel is a former personal manager often engaged as an expert witness on the history, construction and application of the Talent Agencies Act.

This article appeared in the March 3, 2015 edition of the L.A. Daily Journal.