Weinstein Company Holdings – Court Approves Genius Products Settlement of $2.5 million

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September 4, 2018 – The Court hearing the Weinstein Company case approved the motion of The Weinstein Company (“TWC”) and The Weinstein Company Holdings (“TWC Holdings,” and together with TWC, “the TWC Debtors”) requesting Court approval of a settlement by and among  the TWC Debtors, the Chapter 7 Trustee for the Estate of Genius Products (“the Genius Trustee”) and National Union Fire Insurance Company of Pittsburgh (“National Union”) pursuant to which National Union will make a $2.5 million settlement payment to the Genius Trustee [Docket No. 1438]. As previously reported [Docket No. 1337], “The complaint in the Genius Lawsuit asserted seven causes of action against the TWC Debtors, all of which concerned the relationship between Genius and the TWC Debtors and sought the recovery of more than $130 million in payments that Genius made to TWC pursuant to the Exclusive Distribution Agreements from March 2007 through January 2010….On October 11, 2016, the TWC Debtors filed a motion for partial judgment on the pleadings to dismiss the claims to the extent that they sought recovery of payments Genius made pursuant to the Original Distribution Agreement, which would have removed approximately half of the Genius Trustee’s $130 million avoidance claim…. Within five (5) business days of the Effective Date, National Union shall cause a payment of $2,500,000 (the ‘Settlement Payment’) to be paid by check to the Genius Trustee in full and final settlement of all claims between the Parties.”
 

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