Law.com Subscribers SAVE 30%
Call 855-808-4530 or email [email protected] to receive your discount on a new subscription.
Film and Music Cases Result in Different Outcomes for Default Judgment Motions
Non-payment of monies is an all-too-common complaint in the entertainment industry, with frustrated plaintiffs in many cases seeking default judgments against defendants who fail to respond to lawsuits seeking payment. Two new Central District of California federal court decisions illustrate — after the judges sorted through the factors for determining whether to grant a default judgment — how consideration of the amount of money at issue resulted in different outcomes on whether to enter a default judgment.
In Molly Moon Films Ltd. (MMF) v. ARC Entertainment LLC, 2:17-cv-0929 (2019), MMF had completed its motion picture Molly Moon: The Incredible Hypnotist and secured a deal for ARC Entertainment "to license, sub-license, distribute, advertise, promote, market, and publicize the Motion Picture for theaters, home use and digitally" in the United States and Canada. ARC in return agreed to pay MMF an $80,000 advance, a share of net revenues and bonus payments for higher sales of the film.
But MMF ended up filing suit in the U.S. District Court for the Central District of California alleging that ARC and its successor-in-interest OA Investment Holdings failed to pay the promised funds. MMF's complaint charged breach of contract, breach of implied covenant of good faith and fair dealing, and unjust enrichment. OA settled with MMF; ARC didn't defend the suit. As a result, MMF filed a motion for a default judgment for $80,000 against ARC under Rule 55 of the Federal Rules of Civil Procedure, which provides the procedural requirements for obtaining a default judgment.
This premium content is locked for Entertainment Law & Finance subscribers only
ENJOY UNLIMITED ACCESS TO THE SINGLE SOURCE OF OBJECTIVE LEGAL ANALYSIS, PRACTICAL INSIGHTS, AND NEWS IN ENTERTAINMENT LAW.
- Stay current on the latest information, rulings, regulations, and trends
- Includes practical, must-have information on copyrights, royalties, AI, and more
- Tap into expert guidance from top entertainment lawyers and experts
Already a have an account? Sign In Now Log In Now
For enterprise-wide or corporate acess, please contact Customer Service at [email protected] or 877-256-2473
How Secure Is the AI System Your Law Firm Is Using?
In a profession where confidentiality is paramount, failing to address AI security concerns could have disastrous consequences. It is vital that law firms and those in related industries ask the right questions about AI security to protect their clients and their reputation.
COVID-19 and Lease Negotiations: Early Termination Provisions
During the COVID-19 pandemic, some tenants were able to negotiate termination agreements with their landlords. But even though a landlord may agree to terminate a lease to regain control of a defaulting tenant's space without costly and lengthy litigation, typically a defaulting tenant that otherwise has no contractual right to terminate its lease will be in a much weaker bargaining position with respect to the conditions for termination.
Pleading Importation: ITC Decisions Highlight Need for Adequate Evidentiary Support
The International Trade Commission is empowered to block the importation into the United States of products that infringe U.S. intellectual property rights, In the past, the ITC generally instituted investigations without questioning the importation allegations in the complaint, however in several recent cases, the ITC declined to institute an investigation as to certain proposed respondents due to inadequate pleading of importation.
The Power of Your Inner Circle: Turning Friends and Social Contacts Into Business Allies
Practical strategies to explore doing business with friends and social contacts in a way that respects relationships and maximizes opportunities.
Authentic Communications Today Increase Success for Value-Driven Clients
As the relationship between in-house and outside counsel continues to evolve, lawyers must continue to foster a client-first mindset, offer business-focused solutions, and embrace technology that helps deliver work faster and more efficiently.