The term “co-production” originally designated an agreement entered into between two film companies in two different countries pursuant to a co-production treaty between the two countries.
Pursuant to these treaties, if the film was produced in part in each country, the film would qualify for certain quota and subsidy benefits in each country. Each film company would own the rights within their respective country.
However, the term “co-production” has mutated over time to refer to any agreement between two or more film companies relating to the production and ownership of a film.
These types of arrangements resemble either a partnership (when there is a sharing of profits and losses) or a separate ownership (where there is no sharing of profits and losses).