(CN) – In an alleged case of the rich stealing from the rich, Kevin Costner claims in court that Morgan Creek Productions stiffed him on a promised 15 percent share of sales from the movie “Robin Hood: Prince of Thieves,” which has made more than $390 million.
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Costner claims the film has generated more than $390 million in revenues since its theatrical release and “tens of millions more from worldwide television, home video and other sources,” according to the complaint in Los Angeles Superior Court.
The actor and his loan out company Tig Films allege that Morgan Creek was “consistently late” providing revenue statements which allegedly contained inaccuracies due to improper accounting practices and eventually stopped sending statements altogether.
Under two agreements inked in July 1990, Costner claims Morgan Creek promised him 12.5 percent of the film’s adjusted gross sales above $60 million, and 15 percent of adjusted gross sales above $100 million.
For home video release, Costner was set to receive “the greater of (A) the amounts received by Morgan Creek less a 25% distribution fee or (B) 10% of the wholesale price of home video gross receipts from sell [sic] through distribution.”
In addition, Morgan Creek was prohibited from deducting more than the film’s distributor, Warner Bros., charged for “checking and collection costs,” according to the complaint.
The company allegedly failed to report any television sales, “drastically underreported” home video sales and paid him the lesser rather than the greater of the two home video amounts. It also allegedly deducted $2 million in checking and collection costs even though Warner Bros. charged less than half that to Morgan Creek.
Meanwhile, though Costner was promised a say in any sale of the rights to the movie, Morgan Creek assigned the foreign distribution rights without telling Costner to Morgan Creek International, a company owned by Morgan Creek CEO James Robinson that is now called Inverness, according to the lawsuit.
Costner says he discovered the fraud during an audit last year. Costner and Tig Films sued Morgan Creek Productions and Prince of Thieves Productions Ltd. and seek actual and punitive damages.
Costner is represented by Martin Singer and Michael Holtz with Lavely & Singer in Los Angeles.
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