You will be redirected back to your article in seconds

Petersen files suit in L.A. against Advanced Medien

Helmer claims company underfunded prod'n outfit

In another case spawned by the collapse of the German Neuer Markt, director Wolfgang Petersen has sued Advanced Licensing for underfunding the director’s motion picture production company that was set up under a five-year multimillion-dollar deal.

According to the complaint, filed Monday in the Santa Monica branch of L.A. Superior Court, Petersen, whose directing credits include “Air Force One” and “The Perfect Storm,” entered into a written agreement with Advanced in April 2000 to create a production company and develop films to be produced by Petersen.

Petersen is represented by Larry Stein of Alschuler Grossman Stein & Kahan. Stein also represents Franchise Pictures in its ongoing legal battle with German distributor Intertainment.

Advanced could not be reached for comment.

The deal allegedly required Advanced to provide overhead funding of $7.5 million in five annual installments and development funding of $12 million in eight semi-annual installments. Advanced also was required to put up a letter of credit for $5 million.

According to the complaint, Advanced never provided the letter of credit, instead belatedly provided a $3 million letter of credit. In addition, Advanced owes an installment of $1.3 million in development funding.

The suit alleges that Advanced falsely accused Petersen of breaching the contract and has issued press releases claiming it has fulfilled all payment obligations. Advanced has made these statements, the complaint alleges, to prop up the plummeting stock of the parent corporation, Advanced Medien, in anticipation of the late-August shareholders meeting and because the company has serious cash-flow problems.

The complaint alleges causes of action for breach of contract and fraud and seeks money damages and a right to terminate the contract.

More Biz

  • Lisa Borders Time's Up

    Time's Up President Lisa Borders Resigns

    Lisa Borders has resigned as president of Time’s Up, she and the organization announced on Monday. Borders is resigning due to family issues, she said in a statement. Time’s Up COO Rebecca Goldman will now serve as interim CEO. “As Time’s Up continues to grow, I am proud of the work I have done to [...]

  • Jussie Smollett Good Morning America

    Jussie Smollett Angrily Denies Complicity in Attack

    Attorneys for “Empire” actor Jussie Smollett issued a statement Saturday denying that he orchestrated his Jan. 29 assault, and saying he is “angered” and “devastated” by recent developments in the case. Chicago police want to interview Smollett, after learning new evidence from two Nigerian brothers who were released on Friday night. Local media outlets have [...]

  • Walt Disney Archives Founder Dave Smith

    Walt Disney Archives Founder Dave Smith Dies at 78

    Walt Disney Archives founder Dave Smith, the historian who spent 40 years cataloging and preserving the company’s legacy of entertainment and innovation, died Friday in Burbank, Calif. He was 78. Smith served as Disney’s chief archivist from 1970 to 2010. He was named a Disney Legend in 2007 and served as a consultant to the [...]

  • Colin Kaepernick Kneel

    Colin Kaepernick, Eric Reid Reach Settlement With NFL

    Colin Kaepernick and Eric Reid, two football players who alleged the National Football League colluded to oust them from the game after they started kneeling in protest of racial inequality during the playing of the national anthem, have reached a settlement in the matter, according to a statement from the sports organization and lawyers representing [...]

  • R. Kelly

    R. Kelly Could Be in ‘Big Trouble’ Over Alleged New Sex Tape, Attorney Says

    Strong allegations of sexual misconduct have followed R. Kelly for 25 years, but the singer has always managed to slip free. Yet reports that a videotape of him sexually assaulting an underage girl, combined with the outcry surrounding the Lifetime documentary “Surviving R. Kelly,” means that public sentiment, at the very least, is definitely not [...]

  • Christian Bale as Dick Cheney in

    New Media Residuals and Feature Films Contribute to Spike in Writers' Pay

    The outlook for members of the Writers Guild of America has brightened — even amid pervasive uncertainty in the entertainment industry. According to the most recent report to WGA West members, earnings surged 2.8% to $1.41 billion in 2017, thanks mostly to gains in feature films and new-media residuals. Total covered earnings for WGA West [...]

  • Joe Dante Gremlins

    Hollywood Execs Seek Licensing Deals at the New York Toy Fair

    On Feb. 16 more than 30,000 studio executives, buyers and toy company reps will gather in Manhattan for the annual Toy Fair New York, all vying for market share and trying to snag the latest hot trend in a fast-changing industry. Those working the film side of the business will focus much of their attention [...]

More From Our Brands

Access exclusive content