×

Weinstein Co. Sued by Canadian Distributor Over ‘Paddington 2’ Release

A Canadian distributor sued the Weinstein Co. on Thursday, alleging that the company violated its output deal when it sold “Paddington 2” to Warner Bros.

Entertainment One, otherwise known as eOne, alleges that it is owed at least $7.2 million due to the breach. The Weinstein Co. sold off “Paddington 2” in November, as it was desperate for a cash infusion to avoid bankruptcy.

According to the lawsuit, eOne and the Weinstein Co. had agreed to release “Paddington 2” in Canada under the terms of a long-standing output deal. eOne began preparations in the summer of 2017 and expended substantial time and money preparing to market and distribute the film.

The suit claims that Bob Weinstein, the company’s co-chairman, apologized to Patrick Roy, an eOne division president, after the film was sold off. eOne alleges that Weinstein “acknowledged that [the Weinstein Co.] would need to compensate eOne for its loss of ‘Paddington 2’ as a result of the sale.”

eOne subsequently terminated the output deal effective Dec. 31. It also presented an invoice for $7.2 million, which it said was the balance on the advance that eOne had paid to TWC under the deal. The bill has not been paid.

eOne filed suit in L.A. Superior Court for breach of contract, seeking the $7.2 million plus damages arising from the failure to make “Paddington 2” available.

The Weinstein Co. did not immediately respond to a request for comment.

More Biz

  • Bert Salke and Jennifer Salke

    Feds Looked Into Amazon Studios Chief Jennifer Salke in College Admissions Scandal

    Federal investigators looked into Amazon Studios chief Jennifer Salke and her husband, Fox 21 Television Studios president Bert Salke, as they conducted a sprawling probe of cheating in elite college admissions, a source close to the case told Variety. It does not appear, however, that prosecutors will charge the Salkes in the case. The Salkes [...]

  • Variety Cord Cutting Placeholder Cable

    Big Blackout Looms as CBS, AT&T Go Down to Wire on Renewal Talks

    A blackout affecting CBS stations in major markets throughout the country looms as CBS and AT&T executives go down to the wire on negotiations for a retransmission consent deal covering 28 O&O stations. The sides have sparred publicly during the past few days as 11 p.m. PT Friday expiration of the previous contract approached. AT&T [...]

  • Contract Placeholder Business WGA ATA Agent

    ICM Responds to WGA Packaging Lawsuit: Claims are 'Baseless' and 'Absurd'

    ICM Partners has asked a judge to dismiss the lawsuit filed against four major talent agencies by the Writers Guild of America as part of the larger war between agencies and the guild over packaging fees on TV series and movies. The guild sued ICM, CAA, WME and UTA in California state court in April, [...]

  • New York City NYC Placeholder

    CityFM Podcast Takes a Deep Look at New York’s Music Scene (Listen)

    First among the many projects listed at the beginning of New York Music Month in June was a WNYE radio show and podcast called CityFM that promised to “explore the city’s music culture, emerging artists and trends, and upcoming events told through the lens of what’s happening around the city in Summer 2019.” And while [...]

  • Live Nation Logo. (PRNewsFoto/Live Nation)

    Live Nation Confirms Placing Tickets Directly on Secondary Market at Artists’ Request

    Representatives for Live Nation, the world’s largest live-entertainment company and owner of Ticketmaster, confirmed that it bypassed conventional channels and directly placed thousands of concert tickets on the secondary market upon artists’ request, in an article published in Billboard. In a statement shared with Variety, the company acknowledged that it has facilitated the transfer of [...]

  • Costume designer Michele Clapton

    Costume Designers Fashion a Plan to Fight for Pay Parity in Upcoming Contract Talks

    The Costume Designers Guild Local 892 is gearing up to fight for pay equity in its 2021 contract negotiations with the Alliance of Motion Picture and Television Producers, establishing a pay-equity committee to raise awareness of the scale disparity between the mostly female CDG membership and the mostly male membership of the Art Directors Guild Local [...]

More From Our Brands

Access exclusive content