What is the term for an important script element that indicates the current scene setting and appears in all capital letters?

The term that describes an important script element indicating the current scene setting and appearing in all capital letters is known as a slug line. Slug lines serve to quickly convey the setting and time of day for a scene to the reader or production team, helping to establish context for the dialogue and actions that follow.

In a screenplay, a slug line typically includes details such as whether the scene is set indoors or outdoors (INT. or EXT.), the specific location, and sometimes the time of day, providing essential information for both the director and actors. The use of capital letters is a convention in screenwriting that makes these elements stand out clearly on the page.

Other elements like scene designations and act headings serve different purposes; scene designations typically describe the scene's purpose rather than the setting, while act headings indicate the beginning of a new act in a play or screenplay. Stage directions provide cues for actors and are usually written in regular text, making them distinct from slug lines, which are formatted to highlight the scene setting.