9:40am PT by Ashley Cullins
MoviePass Films Deal Challenged in Lawsuit
Oasis Ventures Entertainment Partners says it didn't sign off on the acquisition of Emmett/Furla/Oasis Films and is asking an L.A. judge to render void the deal that launched MoviePass Films.
Helios and Matheson Analytics, the parent company of recently shuttered MoviePass, in 2018 acquired Emmett/Furla/Oasis Films to launch MoviePass Films. Former Helios CEO Theodore Farnsworth in September announced he was stepping down from his position and put in a bid to buy MoviePass' assets, including its film arm.
The lawsuit from Oasis claims Helios and Farnsworth conspired with Randall Emmett and George Furla to "steal assets" including rights to Escape Plan 3, 10 Minutes Gone, The Row and A Vigilante. According to the complaint, MoviePass Films was formed "without obtaining the Oasis Companies' advance written consent as required by their joint-venture agreement."
According to the complaint, the EFO joint venture agreement demands that Emmett, Furla and a manager named by Oasis each get a 1/3 vote on certain matters and Oasis would have to give approval in writing on others, such as a sale of material assets.
Emmett and Furla approached Oasis in May 2018 about a $5.5 million buyout that would have nullified that obligation, but, according to the complaint, Oasis claims an agreement wasn't signed.
Oasis is suing for intentional interference with a contractual relationship, inducing breach of contract and unfair competition, among other claims. The company is asking the court for a declaration voiding Helios' purchase, Emmett's and Furla's employment contracts with MoviePass and other related agreements.
The Hollywood Reporter has reached out to defendants for comment.