Negotiators for both ACTRA and Canadian Film and Television Producers Association (CFTPA) and the Association des producteurs de film et de television du Quebec (APFTQ) had been optismistic of reaching a compromise on Friday afternoon.
But an ensuing discussion between legal representatives of several studios, including Sony, Universal, Warner Bros. and Disney as well as US broadcast interests such as Disney's ABC television network, lead to disagreement on the new media portions of the proposed agreement.
'They don't want to be trapped into something that could come to haunt them,' said a source close to the discussions who asked not to be identified.
The strike, in effect since January 8, was called primarily over the issue of new media rights. US producers are wary of signing a precedent-setting agreement north of the border a year before facing similar negotiations with the Screen Actors Guild in 2008.
'This is a TV issue,' said the source, referring to the fast-changing broadcast market. 'You can download ringtones of a voice from a television show. You can watch Grey's Anatomy the next day on the Internet.'
The terms of draft Independent Production Agreement would have seen performers receive residuals on internet use from 'first dollar' as well as a 'reopener' provision: if, in 2008, SAG were to negotiate better internet terms, ACTRA would have leeway to bargain for similar terms.
As well, performers would receive a 10 per cent increase over three years.
The negotiations were continuing into Monday night.