Company sues over contract breach of third movie

Warner Bros. has been sued by Threshold Entertainment for alleged breach of contract over development of a third “Mortal Kombat” movie.

The suit was filed Tuesday in state court in Los Angeles, accusing Warners of “failing to cooperate and respond to Threshold and seeking to cut out Threshold.”

Reps for Warner Bros. had no comment.

It’s the third “Kombat” suit filed by Threshold over “Mortal Kombat,” according to Threshold attorney Peter C. Bierne. The first two actions were filed in 2008 and 2009 against Warner and subsidiary New Line over accounting from the first “Mortal Kombat” film, released in 1995.

The latest suit asserts that Threshold has a property ownership of a third “Kombat” pic, due to agreements it made with Midway Games.

Warner Bros. picked up most of Midway Games’ assets in bankruptcy court last year for the fire-sale price of $33 million, giving the studio rights to “Mortal Kombat,” “Spy Hunter,” “Joust” and several other game franchises.

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