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A class action settlement totaling $10 million will benefit movie industry professionals who say Sony Pictures Entertainment shorted them their fair share of profits related to the home video viewing of decades-old films.
This action was initiated in January 2013 as one of a few similar claims brought against several studios on behalf of the estate of late actor Charles Bronson. The plaintiffs took issue with Sony’s practice of paying filmmakers on 20% of home viewing revenues.
Plaintiffs in this Sony Pictures Entertainment class action lawsuit claimed Sony failed to honor its contractual obligations to share profits with other film industry participants – producers, directors, actors, and the like – who participated in the filming of movies from the early 1980s and before.
The profits at issue come from the sales of physical copies of movies (“home video revenue”), revenue from sales of movies delivered in digital format via electronic transmission (“electronic sell-through revenue”), and revenue from video-on-demand streaming services (“VOD revenue”).
According to the plaintiffs, their contracts with Sony Pictures Entertainment did not include express provisions that would determine how to calculate shared profits related to revenues derived from home viewing.
The settlement provides that Sony Pictures Entertainment will set up two funds. A $5 million “Settlement Fund” will benefit Class Members who, as of Dec. 31, 2016, were profit participants in contracts for films that realized enough revenue to require profit participation under the terms of that Class Member’s relevant contract with Sony Pictures Entertainment. These Class Members are known as “Recouped Class Members.”
The “Accounting Relief Fund,” also $5 million, will benefit Class Members who, as of Dec. 31, 2016, were profit participants in contracts for films that did not realize enough revenue to trigger the profit participation provisions of the Class Member’s contract. These Class Members are known as “Unrecouped Class Members.”
The settlement does not require Sony Pictures Entertainment to admit any fault, and the court has made no decision as to liability.
Class Members who received a notice of settlement in the mail do not need to take any action to receive a payment or credit. Those who did not receive a notice but believe they are qualifying Class Members are encouraged to call the settlement administrator or file a claim form by the claim deadline.
Class Members who opt out of the settlement or object to its terms may do so by filing a written request no later than Dec. 15, 2017.
Who’s Eligible
The Settlement Class covers persons and entities, as well as their assigns, heirs, and successors in interest, who are parties to a Class Profit Participation Contract.
A Class Profit Participation Contract is a contract between Sony Pictures Entertainment and another person granting that person a percentage of revenue derived from a motion picture. Class Profit Participation Contracts are by definition entered into on or before Dec. 31, 1981 and do not include express provisions regarding the calculation of the non-Sony party’s profit participation regarding home video revenue, electronic sell-through revenue, or VOD revenue.
Excluded from the Class are persons who, subsequent to entering into a Class Profit Participation Agreement, entered into another agreement with Sony Pictures Entertainment regarding the same motion picture that does include express provisions for calculating relevant profit participation.
Other motion picture studios and their affiliates or predecessors in interest are also excluded from class membership.
Potential Award
TBD
Actual payments will be determined after the court issues final settlement approval and relevant expenses are deducted from the settlement fund. Recouped Class Members will be eligible for a percentage of past and estimated future profit participation. Unrecouped Class Members will be eligible for an accounting credit.
Proof of Purchase
No proof of purchase or other documentation is necessary.
Claim Form Deadline
12/15/2017
Case Name
Martindale, et al. v. Sony Pictures Entertainment Inc., Case No. BC499182, in the Superior Court for the State of California, County of Los Angeles, Central Civil West District
Final Hearing
1/19/2018
Settlement Website
Claims Administrator
SPE Home Video Settlement
c/o Angeion Group
1801 Market Street, Suite 660
Philadelphia, PA 19103
855-400-3443
SonyHVS@AdministratorClassAction.com
Class Counsel
Paul R. Kiesel
Jeffrey A. Koncius
Nicole Ramirez
KIESEL LAW LLP
Daniel L. Warshaw
PEARSON SIMON & WARSHAW LLP
Neville L. Johnson
JOHNSON & JOHNSON LLP
Raymond P. Boucher
BOUCHER LLP
Defense Counsel
Glenn D. Pomerantz
Tamerlin J. Godley
Jordan D. Segall
MUNGER TOLLES & OLSON LLP
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2 thoughts onSony Pictures Entertainment Home Video Revenue Class Action Settlement
Have anyone got paid yet.
nope