Inferno Distribution Files for Chapter 11 Bankruptcy
The distribution arm of film company Inferno International has filed for Chapter 11 bankruptcy protection, the Wall Street Journal reported.
The distribution unit is Inferno Distribution. The Journal said that Inferno Films and Inferno Features are not part of the bankruptcy case.
The finance and international sales company, which is an executive producer on Brad Pitt’s upcoming thriller Killing Them Softly, said the filing of its distribution business came following a large judgment against the company. The judgment came in litigation related to 2005 romantic comedy Just Friends with Ryan Reynolds, which the company has appealed. Inferno's other films include Killer Elite and The Kids Are All Right.
Inferno's creditors include the DGA, SAG and former company partner Alan Mann, who has been in a long-running legal fight with the firm over Just Friends.
The Weinstein Co., which will distribute Killing Them Softly in the U.S. starting in October, wasn't available for comment, according to the paper.
Chapter 11 bankruptcy allows a company to restructure its debt, unlike Chapter 7 liquidation of businesses.
Inferno said it filed for bankruptcy protection “to sort out the numerous claims, disputes and litigation involving their businesses and assets” and plans to emerge as "a stronger and healthier business enterprise," the Journal quoted from court papers.