Co. fears P'gram sale may jeopardize pact
As if it didn’t have enough high drama to contend with, Polygram Filmed Entertainment has been stung with a $100 million-plus lawsuit from laser and digital videodisc distrib Image Entertainment.
The suit, filed Friday, contends that a Dec. 23, 1996, agreement between Image and Polygram Video, giving Image DVD and laserdisc rights to all the studio’s titles over a five-year period, is in jeopardy due to the acquisition of Polygram by Seagram and its proposed sale of PFE.
Documents filed by Image say it agreed to pay PV advances of $6 million for the rights to its slate, and in return PV promised to supply it with titles “comparable to prior releases such as ‘Jumanji,’ ‘Sleepers’ and ‘Mr. Holland’s Opus.’ ” Of the $6 million, the DVD company has paid PV about $3 million to date.