DNYUZ
No Result
View All Result
DNYUZ
No Result
View All Result
DNYUZ
Home News

DGA Sues MGM Over ‘Sweetheart’ Licensing Deal Made to Skew Pension Payments

June 28, 2026
in News
DGA Sues MGM Over ‘Sweetheart’ Licensing Deal Made to Skew Pension Payments

The Directors Guild of America sued MGM on Friday for undervaluing and undercutting the union in favor of a “sweetheart deal” with its streaming service MGM+ (formerly Epix).

According to court documents obtained by TheWrap, MGM is accused of beginning a below-market licensing agreement with Epix, now known as MGM+. The deal reportedly gave MGM the ability to report lower revenue numbers to the DGA to avoid paying the full pension rate.

“By entering into this sweetheart distribution license arrangement with Epix, MGM was able to report artificially low license revenue to the Directors Guild of America (‘DGA’), the union representing employees responsible for creating MGM’s movies and television shows, as well as to the Plaintiff Directors Guild of America – Producer Basic Pension Plan (‘Pension Plan’), the benefit fund responsible for providing the DGA-represented employees their pension benefits, and as to which MGM has pension contribution obligations as a participating employer,” the suit claims.

“The Pension Plan only learned that MGM had used its self-dealing arrangement with Epix to shirk its pension contributions years after the Pension Plan received MGM’s understated contributions, and the Pension Plan still has not received information that would reveal the full scope of the underpayments.”

The DGA further accuses MGM of intentionally licensing its own films at a lower rate to Epix, a relationship that could exist because the two companies are not separate from one another. Epix then allegedly sublicensed movies and shows to other streamers like Netflix and Paramount+ and failed to report that revenue to the DGA.

The DGA attempted to conduct audits of MGM’s pension contributions from April 2010 to September 2013, October 2013 to September 2017, and October 2017 to June 2022, and further alleges MGM failed to provide requested records.

In February 2026, audit firm Nigro Karlin Segal & Feldstein LLP (NKSF) also allegedly found MGM failed to report another $540,426 in potential pension contributions.

The DGA has requested MGM be ordered to award unpaid pension contributions (the exact dollar amount cannot be calculated until records are supplied) as well as attorney’s fees and interest.

Representatives for MGM did not respond to TheWrap’s request for comment.

The post DGA Sues MGM Over ‘Sweetheart’ Licensing Deal Made to Skew Pension Payments appeared first on TheWrap.

Welcome to the July issue of The Highlight
News

Welcome to the July issue of The Highlight

by Vox
June 29, 2026

Once upon a time, Sara Herschander writes, going through life meant interacting with the world around you — turning a ...

Read more
News

Daveigh Chase, ‘Lilo and Stitch’ and ‘The Ring’ actor, cause of death revealed

June 29, 2026
News

Travis Kalanick’s summer commute: a 5-minute jet ski ride

June 29, 2026
News

Justices Expand Trump’s Power to Fire Officials

June 29, 2026
News

Jesús Ortiz Paz and Jimmy Humilde took their legal dispute to Instagram. Here’s the breakdown

June 29, 2026
Madonna Issues Explosive Take on AI

Madonna Issues Explosive Take on AI

June 29, 2026
Mamdani Nears Deal to Resolve Budget Fight Over Housing Vouchers

Mamdani Nears Deal to Resolve Budget Fight Over Housing Vouchers

June 29, 2026
Robin Byrd went to the Supreme Court with her fight to host nude porn stars and strippers on her wild NYC talk show — and won

Robin Byrd went to the Supreme Court with her fight to host nude porn stars and strippers on her wild NYC talk show — and won

June 29, 2026

DNYUZ © 2026

No Result
View All Result

DNYUZ © 2026