×

‘Transformers: Age of Extinction’ China Sponsor Demands $1.8 Mil Investment Back

A sponsorship dispute over “Transformers: Age of Extinction” heated up Tuesday after briefly cooling off this week.

Beijing Pangu Investment Co., a real estate developer who was brought on to the production’s Chinese marketing campaign, is suing two other companies involved in the production. It is alleging breach of contract in an effort to recover its $1.8 million investment, according to court filings.

The filing comes after Beijing Pangu Investment and Paramount Pictures, the studio behind the giant robots franchise, said Monday they had resolved their differences. It appeared that the legal issues might jeopardize the film’s June 27 debut in China, the world’s second biggest market for film. That could have resulted in the loss of millions of dollars in ticket receipts.

PHOTOS: Mark Wahlberg, Michael Bay Bring ‘Transformers: Age of Extinction’ to China

The issues between the studio and the developer may have been resolved, with the movie still on track for its Friday release, but Beijing Pangu Investment is moving forward with its legal actions against Jia Bin China Co., Ltd and Beijing Cheng Xin Sheng Shi Sports and Culture Development Co., Ltd.

The suit has been accepted by Beijing Chaoyang Court.

In response, Jiaflix Enterprises, a film company backed by Sid and Marc Ganis, said the company was unfairly trying to imply that it had failed to honor the terms of its contract.

In an interview with Variety, Sid Ganis said his company was not named in the suit, but he felt a need to set the record straight because of the lengths Pangu has gone to try to block the picture’s release. His company helped line up Chinese sponsors such as Pangu, he said.

Despite the similarities in the names, Jiaflix Enterprises is not affiliated with Jia Bin China Co., Ganis said.

The developer’s flagship Pangu Plaza Hotel is featured in the film, but Ganis said the company is upset that it did not receive more merchandising rights.

“The Pangu Hotel, both the exterior and interior, is featured prominently in the film,” said Ganis. “If there’s such a thing as successful product placement, what it got was successful product placement. I can’t answer what bugged them.”

More Film

  • The Great Hack (2019) - pictured:

    Film Review: 'The Great Hack'

    When I was growing up, we learned that the moral cornerstone of the First Amendment — the very essence of it — is that it’s about protecting the speech you don’t like. If the Nazis aren’t allowed to march in Skokie (a major test case in the 1970s), then a treacherous principle gets laid down: that [...]

  • Once Upon a Time in Hollywood

    ‘Once Upon a Time in Hollywood’ Tops Studios’ TV Ad Spending

    In this week’s edition of the Variety Movie Commercial Tracker, powered by the always-on TV ad measurement and attribution company iSpot.tv, Columbia Pictures claims the top spot in spending with “Once Upon a Time in Hollywood.” Ads placed for the drama had an estimated media value of $5.71 million through Sunday for 997 national ad [...]

  • Circus of Books

    Outfest Film Review: 'Circus of Books'

    Rachel Mason grew up believing that her parents ran a small bookstore in Los Angeles. She wasn’t entirely mistaken, although the naive young woman — then an artsy teen, now a documentary filmmaker — never imagined that, as her mother Karen bluntly tells her on camera, “at one point, we were probably the biggest distributor [...]

  • Themba Ntuli and Ashley Lazarus

    Ashley Lazarus, Director of Apartheid-Era Cult Classic, Returns to Screen

    DURBAN–Director Ashley Lazarus, whose film about the interracial friendship between two young boys during the apartheid era became a South African cult classic in the 1970s, is set to return to the big screen with a film that builds on his life-long passion for early-childhood education. “Teacher Wanted” is the inspirational story of a teacher [...]

  • Channing Tatum

    Channing Tatum's Free Association Partners With Atwater Capital for Film Development Fund

    Free Association, a production company led by Channing Tatum, Peter Kiernan and Reid Carolin, has entered into a film development fund with Atwater Capital. The four-year $2 million revolving fund stipulates that Atwater will finance a minimum of five films with Free Association. Michael Parets, VP of production, will oversee the deal. Free Association will [...]

  • Once Upon a Time in Hollywood

    Box Office: Tarantino's 'Once Upon a Time in Hollywood' Takes on 'Lion King'

    Rick Dalton and Cliff Booth, Leonardo DiCaprio and Brad Pitt’s characters in Quentin Tarantino’s “Once Upon a Time in Hollywood,” will have to take on much more than a changing showbiz landscape. This weekend, the washed-up actor and his majordomo are battling Disney’s juggernaut “The Lion King” at the domestic box office. Tarantino’s R-rated auteur [...]

More From Our Brands

Access exclusive content