Owen is at A24's Los Angeles headquarters with James, ready for the meeting.
The building wasn't particularly ostentatious or corporate like those of other major studios.
A24's L.A. office was functional, modern, and discreet, located in one of the quietest areas of West Hollywood.
Large windows, minimalist décor in neutral tones, and walls showcasing posters from the studio's most iconic films: Moonlight, Lady Bird, Spring Breakers, Uncut Gems…
A24's main headquarters were in New York, but the Los Angeles office served as its creative and acquisitions hub, since having a base in the heart of the film industry was essential.
When Owen and James entered the meeting room, Martha Roth was already waiting for them. Owen had met her before.
Martha was the head of A24's acquisitions and distribution team, a woman in her forties, elegant, professional, with a sharp yet calm gaze.
Beside her sat Cristian Méndez, a creative executive in his thirties.
Cristian had been Owen's first contact at A24 when they reached out about The Spectacular Now script.
Now he was present as strategic support, someone who had already championed Owen internally and trusted his instincts.
No one else was in the room.
Just the four of them: Owen, James, Martha, and Cristian. The meeting began cordially, and Martha quickly got to the point.
She said that, as they already knew, both she and Cristian had watched Paranormal Activity during the Palm Springs Film Festival. The audience and critics' response had been very positive, and the online traction, especially the trailer, had been an excellent indicator for a film without studio backing.
They briefly discussed the film's strengths: its restrained pacing, steadily building tension, well-executed scares, and the believable performances from Owen and Sophie, their chemistry in particular, which Martha emphasized was not easy to achieve in found-footage films.
Then, without further ado, Martha pulled out a folder containing the first draft of the agreement. She handed it to James, who took it seriously, opened it, and began reading it alongside Owen.
As they went over the first lines, Martha explained each point calmly.
"Our offer is as follows. We'd begin with a limited release in key cities, with the option to expand if the initial performance is strong," she said, and Owen nodded.
"The estimated marketing investment would range between $250,000 and $500,000," she continued. "We'd focus on digital campaigns, social media, alternative press, and some traditional theater advertising, not as massive as other releases, but effective for the target audience likely to engage with this film."
"As for revenue sharing," Martha went on, "we're proposing 12% of the post-theatrical net for you, Owen. A24 would retain the remaining 88% to cover distribution costs, operating margins, and the marketing investment."
Martha paused briefly before adding, in a measured tone, "We believe this is a fair proposal, considering that we're investing a significant amount in marketing and taking full responsibility for the logistical and distribution costs."
'Twelve percent… Not bad for an initial offer, actually better than Blumhouse's final one,' Owen thought, pleasantly surprised, though he didn't show it on his face.
"Additionally, you retain 100% of the intellectual property," Martha continued. "The contract would be solely for the distribution of this first film. The term would be eight years. After that, the exhibition license would automatically expire, unless we both agree to renegotiate."
James nodded slightly as he reviewed the clauses.
During those eight years, A24 would hold exclusive rights to screen, sell, rent, or distribute Paranormal Activity in theaters, VOD (Netflix, Amazon, HBO, etc.), and partner platforms. Owen wouldn't be allowed to sell or redistribute it independently during that period.
However, he would remain the full owner of the work, neither A24 nor anyone else could make sequels, spin-offs, or new versions without his authorization.
At the end of the eight years, Owen would regain all distribution rights and could decide what to do with the film: resell it, license it again, or keep it.
James, who had been quietly going through the draft, looked up and asked in his calm professional tone, "Regarding the revenue split," he said, "does the proposed percentage also include secondary sales? I mean VOD and streaming deals, rights sold to platforms like Netflix or Amazon, Blu-ray, and so on?"
Martha nodded naturally. "Yes. The twelve percent applies not only to post-theatrical net revenue, but also to any secondary exploitation: digital rentals, streaming licenses, pay-TV or free-to-air television, Blu-ray, everything related to this specific film during the exclusivity period."
James and Owen exchanged a quick glance.
Neither showed surprise outwardly, but internally, James was. It was a very good deal.
Not only was it 12% of the post-theatrical gross, but it also included streaming, TV, and digital sales revenue for the full eight-year exclusivity window.
A package far more generous than Blumhouse's offer, and on top of that, A24 wasn't demanding IP control or sequel rights.
That alone showed A24 really wanted the film, and a good relationship with Owen.
Of course, they would still negotiate.
You always negotiate.
The goal was to see how much room there was to improve the terms, respectfully, without breaking the cordial tone, but pushing that 12% as high as possible.
The meeting ended up lasting longer than anyone expected.
James and Owen negotiated. After several exchanges and revisions to the draft, they managed to raise the revenue-sharing percentage from 12% to 20%.
A substantial improvement, especially given it included box office, VOD, streaming, and secondary sales.
However, to balance that concession, A24 requested two modifications to the deal: the exclusivity term would extend from eight to twelve years, and if Owen ever chose to make an official sequel to Paranormal Activity, A24 would hold first-refusal rights, meaning they wouldn't own the IP, but they'd have priority to negotiate distribution and the option to participate creatively as producers.
They couldn't force him to make a sequel, nor claim ownership of it, but if Owen ever decided to, he'd have to sit down with A24 first before offering it to any other studio.
It was a fair deal, and a smart move from A24 to keep the door open if the film performed well.
James took his time reviewing everything carefully. It was all written clearly, transparently, with no vague clauses. Only one step remained: signing and sealing the deal.
As for Blumhouse, there was no point in delaying. Owen knew they wouldn't raise their box office percentage any further, and they would continue insisting on heavy creative control, and, above all, on owning the IP.
He wouldn't get a better offer from them. Signing with A24 was the obvious choice.
As he picked up the pen to sign, Owen felt an emotion hard to describe. He had sold a screenplay before, yes. He had acted in successful films in his previous life.
He had even achieved something very few actors ever do: an Academy Award nomination for Best Supporting Actor.
He knew what success as an actor felt like.
He knew what it meant to walk red carpets, to see his name in headlines.
But this was different. The original Paranormal Activity concept wasn't his, but everything else was.
He had produced the film.
He had hired the crew, chosen the director, overseen casting, supervised filming. He had adapted the script for a modern setting, improved the dialogue, refined the tension.
He managed post-production, hiring the editor, the sound designer, and others.
He had submitted the film to festivals and uploaded the trailer to YouTube himself.
This wasn't just acting, it was creating a film from the ground up, in the real world.
And now, that film, that tangible, exhausting labor, would be distributed in actual theaters, supported by a genuine marketing campaign.
A campaign worth $250,000 to $500,000, and none of it out of his own pocket.
'It's a deeply rewarding feeling,' Owen thought, signing with a faint smile on his lips.
James signed as witness and representative. Martha and Cristian signed on behalf of A24.
The deal was officially closed then and there.
Paranormal Activity would be released in theaters under the A24 banner. Owen would receive 20% of post-theatrical revenue, and remain the absolute owner of his creation.
A resounding victory for any first-time filmmaker.
On the way back, as the BMW glided smoothly through the Los Angeles streets, James broke the silence.
"I'll be honest with you… even I didn't expect we'd land such a good deal," he said, a rare half-smile on his face.
"I underestimated your relationship with A24, and more importantly, what they see in you. Congratulations."
Owen, seated in the passenger seat, turned slightly toward him, a faint smile crossing his face.
"Thanks," he replied, simple and sincere, "I didn't expect it to go that high either. I thought we'd cap at maybe fifteen percent."
A comfortable silence followed as James changed lanes.
"Thanks for helping me through all of this. For taking the time to read every clause, fight for every detail, and of course, not charge me a single cent," Owen said, glancing at him sideways.
"It's nothing," James replied with a short laugh, more relaxed than usual.
He was genuinely happy to see his younger brother making steady progress in his career. After a few more seconds, he asked, "Are you going to tell Mom and Dad?"
"Yeah. I made plans with Mom for dinner tomorrow. You're invited, by the way," Owen replied.
"I'll be there," James said with a slight nod and smile.
A few months earlier, a dinner like that would've been unthinkable, let alone with Owen having just secured A24 distribution for his film, soon to hit theaters.
After a few more minutes, Owen got out of the car and said goodbye to James.
He was about to put his key in the lock when, suddenly, the door flew open from the inside.
"What happened?! What deal did A24 offer?!" shouted Matt, grabbing him by the shoulders, eyes wide, talking at lightning speed, as if he'd downed three double espressos in a row.
Owen, barely having time to blink, raised an eyebrow, "Easy… What the hell are you doing inside my house?" he asked, confused.
Matt didn't let go of his shoulders as he fired off his reply, "I got here right before Sophie left for rehearsal! She let me in so I could wait for you!"
Owen sighed, shaking his head as he gently pushed him aside to step inside. He closed the door behind him, "At least let me walk in first."
Matt followed him, bouncing impatiently while Owen took off his jacket and tossed it over the back of the couch.
Finally, Owen turned toward him with a calm half-smile.
"We closed the deal. Marketing campaign with a maximum of five hundred thousand dollars. Limited theatrical release, with expansion if the performance is good. I keep 20% of post-theatrical revenue and retain 100% of the IP."
There was a beat of silence, and then Matt exploded.
"YES! Oh hell yes, baby!" he shouted, fists clenched and jumping in place.
Then he raised his hand for a high five, grinning at Owen.
Owen looked at him seriously, hesitating to play along.
"Come on, man, do it!" Matt said, hyped up like they'd just won the Super Bowl.
Finally, Owen let out a short laugh, resigned, and smacked Matt's palm with a solid high five.
"YES!" Matt yelled triumphantly.
Later that night, Sophie arrived, and when she heard the news, she was visibly thrilled, though not nearly as wild as Matt.
-------------------------------------------------
You can read 15 chapters in advance on my patreon.
Link: https://[email protected]/Nathe07