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Legal Dispute Summary |
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This legal dispute summary will incorporate two articles by the same author; the first provides the details of a $120 million breach of contract lawsuit filed by Walt Disney Home Video against Blockbuster Video in 2003, and the second provides information on the outcome of the lawsuit that ended approximately two months ago (Sweeting, 2005). In 2003, Walt Disney, via Buena Vista Home Entertainment (BVHE) sued Blockbuster Video for $120 million, claiming breach of contract pertaining to their revenue-sharing deal (Sweeting, 2003, p. 1). In 1997, Disney and Blockbuster signed a contract for a five-year revenue sharing deal that Blockbuster had the option of terminating early. With one year to go on the contract, Blockbuster exercised its option in 2002 and the companies had been unable to reach a new agreement (Sweeting, 2003). The companies continued to share revenues on a per-title basis despite the lack of a new agreement. Disney spokesman John Spelich maintained Blockbuster breached its contract with Disney by failing to account for "hundreds of thousands" of Disney cassettes with a value of $26 million; sold 200,000 cassettes before their rental date expired; and sold more than 45,000 cassettes over the number Blockbuster was allowed to sell under the revenue-sharing agreement (Sweeting, 2003, p. 1). Disney claims that actual damages stand at $94 million with $28 million in interest (Sweeting, 2003). Blockbuster executive VP and gen
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Category: Government - L
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Los Angeles, Disney/BVHE Blockbuster, Blockbuster Video, Disney Blockbuster, John Spelich, Video Business, Ed Stead, Dispute Introduction, sweeting 2003, sweeting 2005, Blue Disney, Walt Disney, federal district court, breach contract, federal district, district court, 2003 2, burden proof, blockbuster video, agreement sweeting, agreement sweeting 2003, sweeting 2003 2, court los angeles, video business, sweeting 2005 1,
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 = 4 (250 words per page)
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