A six-year-old case that has influenced a new generation of fraud claims against Hollywood studios is ending.
The 2013 suit made its own huge mark when a judge dismissed the case due to Disney's citation of an "incontestability" clause in the profits contracts that required an objection to participation statements within 24 months after the date sent and legal action initiated within 24 months after the date sent.
That appellate decision now gets frequently cited by plaintiffs in profits cases. It opened the door to more viable claims of accounting fraud inside the industry.litigation, the parties then went through a discovery process, and while the lawsuit was trimmed along the way, a Los Angeles Superior Court judge put the case on track for trial after denying Disney's summary judgment motion in April.
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