Entertainment Law in New York versus Los Angeles

When we think of the main entertainment hubs in the US, our attention is immediately drawn to New York and California. The majority of movies, musicals, performances, and studios are located in these two jurisdictions (with some also in Nashville), which means that entertainment law is heavily practiced in these two areas. It is important to note, however, that while a majority of entertainment law is the same in both states, there are some differences that are worthwhile to mention for prospective clients and lawyers.

A point that must be iterated is that entertainment law is not its own unique practice of the law. It actually encompasses a variety of sectors in the legal field such as labor, intellectual property, and contract law. Therefore, when drafting a contract in New York, the lawyer on the case must be aware of the regulations regarding labor, competition enforcement, and union rules. Furthermore, previous case law within that state will also prove beneficial to read, as a previous case in New York sets a precedent in that state, but will not prove useful in California.

For example, the enforceability of contracts is an important issue to understand. With regards to the clause of non-competition for post-employment, New York and California differ. In New York, non-compete clauses in an employment agreement are enforced even post-employment, with some limitations. However, this is not the case in California. According to Section 16600 of the California Business and Profession Code, non-competition agreements are not enforced after employment has been terminated. In this case, a specific statute in California makes a major difference for contract enforceability when compared to New York City. Therefore, for both clients and law firms, choosing the right jurisdiction is paramount for protecting an entity’s best interests.