Disney’s Streaming Loophole Lawsuit: Could It Impact The Studio’s Reputation? A Closer Look.

Scarlett Johansson's Black Widow Lawsuit Nearly Totaled Marvel's Reputation: Disney Being Sued Again for Unfair Streaming Loophole

The entertainment industry is currently experiencing a series of unusual events, including an influx of lawsuits, movies struggling at the box office, and the ongoing non-negotiable strikes by the WGA and SAG-AFTRA. Amidst these tumultuous times, Disney has been hit with yet another lawsuit, following the infamous legal battle of 2021 with Scarlett Johansson.

Disney

Disney, the entertainment giant, has been sued by Film Finance Partner TSG for allegedly hindering a deal between TSG Entertainment Finance and 20th Century Studios. The lawsuit claims that Disney shifted its distribution on streaming platforms during the pandemic, thus hoarding profits and jeopardizing TSG’s agreement. Scarlett Johansson, star of Marvel’s Black Widow, also previously sued Disney for simultaneous release of her solo movie in theaters and Disney+, which impacted her salary. This lawsuit is another reputation-threatening legal challenge for the production giant.

TSG

T͏S͏G͏ filed a lawsuit against Disney for allegedly hoarding profits by reducing the theatrical windows in favor of streaming profits. T͏h͏e͏ lawsuit claims that this particular model comes at the expense of financing partners. Consequently, T͏S͏G͏ had to take a worse position in its investment in Avatar: The Way of Water due to the cash shortfall.

Disney

Disney has been accused of hoarding profits by a financing company, which has sued 20th Century Studios for breach of contract and Disney for provoking that breach. With experience in investing over $3.3 billion into more than 100 films, TSG hired John Berlinski as their attorney, who interestingly led Scarlett Johansson’s fight against Disney and helped her win.

Scarlett Johansson’s 2021 Lawsuit Against Disney is not the first time that someone has sued Disney for its playbook tricks. Apparently, MCU actress Scarlett Johansson waged a war against the production giant in 2021. According to the complaint, Disney breached their contract by releasing Johansson’s MCU solo movie Black Widow, simultaneously on their streaming platform and theaters.

Scarlett Johansson

Scarlett Johansson has taken legal action against Disney for unfair streaming practices. On July 29th, 2021, she filed a lawsuit stating that “Disney intentionally induced Marvel’s breach of the agreement, without justification, in order to prevent Ms. Johansson from realizing the full benefit of her bargain with Marvel.”

Scarlett Johansson

Scarlett Johansson has won her legal battle against Disney over earnings from the film Black Widow. Due to a breach of contract on Disney’s end, the actress suffered a loss of salary as her payment was based on the box office performance of her film. Although Black Widow opened strong with $80 million, the movie later suffered a steep decline dropping 67%, due to the hybrid release. Furthermore, Scarlett Johansson won her lawsuit against Disney and the two parties resolved the differences after the legal dispute.

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