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‘Smallville’ Producers, Warner Bros. Settle Self-Dealing Suit

Suit filed in 2010 claimed studio short-changed profit participants with low-ball network license fees

The producers of “Smallville” have reached a settlement with Warner Bros. in a vertical integration suit that claimed that the studio was low-balling the fees it was charging to license the show to sibling networks WB and CW.

Showrunners Miles Millar and Alfred Gough (pictured above) filed suit in 2010, and their litigation had the potential to once again expose studio accounting and deal-making practices should it have gone to trial next month. In one of the most famous cases involving vertical integration, Celador Intl. won a $319 million judgment against Disney over the profits to “Who Wants to Be a Millionaire.” A federal appellate court upheld the verdict late last year and the media conglomerate in February was denied a request for rehearing.

Chad Fitzgerald of Kinsella Weitzman Iser Kump & Aldisert, representing the “Smallville” producers, said that the settlement was announced by attorneys for the parties at a hearing on Monday in Los Angeles Superior Court. He declined to comment on the terms or other details. A spokesman for the studio said they had no comment.

The production company behind “Smallville,” Tollin/Robbins Prods., also was a plaintiff in the $100 million suit but settled earlier this year.

“Smallville” ran on WB and CW from 2001 to 2011.

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