A six-year-old case that has influenced a new generation of fraud claims against Hollywood studios is ending.
Disney has struck a settlement with the creators of Home Improvement to put an end to a six-year-old lawsuit that resulted in a consequential appellate ruling and was within weeks of going to trial.
Back in 2013, Wind Dancer Production Group and writer-producers Matt Williams, Carmen Finestra, Tam O'Shanter and David McFadzean filed suit with the allegation that they had been cheated from a show starring Tim Allen that had generated $1.5 billion for Disney. The creative team targeted syndication money and alleged that Disney had charged massive distribution fees as well as sold the hit comedy into the New York market for no money, undercutting the pot of net profits, upon which they asserted a 75 percent stake.
The lawsuit represented the second major legal action over Home Improvement. Back in the 1990s, the creators had brought one of the first actions over "vertical integration" in the entertainment industry, challenging how Disney had licensed the show to its affiliates. As consolidation has gripped entertainment, "vertical integration" suits have since become more common, including ongoing legal disputes over AMC's Walking Dead and Fox's Bones.