After Eros International Media Limited ("Eros") filed an appeal, the Madras High Court has put a stop to the release of the planned movie Akhanda 2. It is a big blow to the production house that worked on the film.
What caused the disagreement
The legal battle is about an old arbitration decision that ruled in Eros's favour against 14 Reels Entertainment Private Limited. The verdict says that Eros can get roughly Rs 28 crore in cash. The company says that this order has not been followed through on, even though they have tried numerous times to make sure it was.
Eros told the Court in its petition that 14 Reels Plus LLP, which is affiliated with 14 Reels Entertainment, was getting ready to release Akhanda 2 in order to get around the arbitral verdict. Eros stated that the action was a roundabout way for the corporation to get out of paying its legal debts.
The Court agreed with Eros' motion after examining the grounds and put an injunction in place that banned any release, distribution, or commercial use of Akhanda 2 until further notice.
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The verdict pretty well puts a stop to the plans to release Akhanda 2, which has been gaining a lot of attention. The injunction bans the movie from moving ahead in any form, whether it's in theatres, on the internet, or on satellite. For this to happen, the Court would have to change or lift the order.
This decision makes it clear what the courts think about implementing arbitral rulings. It also shows that producing companies must pay off their obligations before they may establish new operations. The lawsuit will go on, but Akhanda 2 can't be released till the issue is solved.
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