The Walking Dead Producers Win A Battle Against AMC in $200M Profit Participation Lawsuit, But The War is Far From Over

In a groundbreaking turn of events, the producers of The Walking Dead franchise register their first win against AMC concerning their $200 Million Profit Participation Lawsuit. In a case spanning approximately a decade, the showrunners of The Walking Dead had demanded a profit cut from AMC.

One of the first people who demanded a profit margin from AMC was the show's developer Frank Darabont who was unlawfully fired during the second season of the show in 2011. In 2013 Darabont and his agents at the Creative Artists Agency filed a case against AMC on grounds of breach of contract. After years of fighting AMC had agreed to settle the case for $200 million.

In August 2017, the show's executive producers, Robert Kirkman, Gale Anne Hurd, Charles H. Eglee, Glen Mazzara, and David Alpert filed similar lawsuits against the company. However, the matter did not conclude in the last 7 years.

A monumental decision was reached on March 25, 2024, when the United States District Court decided to favor the executive producer's union in their endeavors, registering their first big win since the lawsuit occurred.

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Details of the court's ruling concerning producers of The Walking Dead

On March 25, 2024, the United States District Court ruled in favor of the executive producers of The Walking Dead franchise who had moved to court against AMC in 2017 on grounds of breach of contract.

In the momentous judgment, the court said:

"It would be an illogical interpretation of the MFN (most favored nations) provisions and contrary to the reasonable expectations of the parties in entering into the agreements if the court were to allow Defendants, as a matter of law, to provide Darabont and CAA with increased contingent compensation and a greater share of future gross receipts for the series through a settlement agreement—at Plaintiffs’ expense—without providing Plaintiffs the same."

It also added:

"Plaintiffs are entitled to the same treatment afforded to Darabont with respect to his MAGR interests, they are therefore entitled to have the same valuation applied to their MAGR interests, which, collectively, exceed Darabont’s and CAA’s. As a result, Plaintiffs are entitled to a payment well over $200 million from AMC, in an amount to be proved at trial.”

The decision comes as a big win for the producers of the show as it increases their chances of settling with AMC.

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AMC is on the verge of concluding its recent The Walking Dead spinoff. The last episode of The Walking Dead: The Ones Who Live is available for streaming on AMC Plus.