Blockbuster Facing $8.5M Court Action20 Apr, 2006 By: Erik Gruenwedel
Blockbuster Inc. has appealed an April 5 trial court ruling that found the No. 1 video rental company allegedly gave inaccurate financial information and made false verbal representations concerning inventory prior to the purchase by the plaintiff of 11 Blockbuster corporate stores in East Texas in 1999.
The court awarded plaintiff C-Span Entertainment damages of $5.9 million, pre-judgment interest of $2.1 million and attorney's fees through the date of the judgment of $527,000, for a total of more than $8.5 million.
In a regulatory filing April 19, Blockbuster stated it denied “all material allegations of the complaint and intend[ed] to appeal this judgment.”