Lionsgate Drops Review Request of Blockbuster Sale3 May, 2011 By: Erik Gruenwedel
No reason cited for the abrupt reversal
Lionsgate has withdrawn a motion seeking to review Dish Network’s $320 million acquisition of bankrupt Blockbuster Inc. without explanation.
The motion, filed May 2 with U.S. Bankruptcy Court in New York by Lionsgate lawyers Richard Levy and Robert Fleischer, gave no reason for the reversal of an April 28 motion that sought legal “reconsideration” of the April 6 transaction.
Fleischer then filed a second motion confirming that he had indeed sent emails requesting withdrawal of the asset sale motion to the appropriate parties.
The Santa Monica, Calif.-based minimajor had sought legal clarification about outstanding revenue-sharing agreements with Blockbuster that it said mandated payments for 26 weeks after shipment. It did not state how much money it was allegedly owed by the rental chain.
Engelwood, Colo.-based Dish said the asset sale gave it complete rights to the Lionsgate discs, which include DVD and Blu-ray releases (since Oct. 25, 2010) such as The Way Home, Winter's Bone, Locked Down, Amor Dolor y Viceversa, The Expendables, Madea’s Big Happy Family, The Winning Season, Frenemy, The Heavy, Legendary Assassin, The Lena Baker Story, The Last Exorcism, Alpha & Omega, Buried, Triggerman, Saw: The Final Chapter, H1N1-Virus X, For Colored Girls, The Gunslingers, Crimenes de Lujuria, Shaun the Sheep: Spring Shenanigans, “Weeds,” Psych 9, Sword of War and “Nurse Jackie.”
Dish May 2 named EVP Michael Kelly president of Blockbuster LLC.