A war of words has erupted between Netflix and Relativity Media as reports said the streaming giant has requested a court void the parties’ supply contract and block reorganisation efforts by Ryan Kavanaugh.


The move by Netflix comes as a blow to Kavanaugh, casting as it does public aspersions on his ability to endure as a viable maker of films and threatening a lucrative income stream.

Netflix pays tens of millions of dollars to stream Relativity films.

The streaming giant filed papers with the US bankruptcy court in New York claiming Relativity was unable to deliver the films it said it would in the parties’ contract and did not look capable of meeting requirements this year or in 2017.

A Relativity spokesperson issued a statement to trade press that read: “This objection is nothing more than a blatant attempt by Netflix to use the Chapter 11 process to once again renegotiate the agreement, which does not expire until 2018.”  

Relativity’s team of attorneys has said the company would be able to satisfy the court that it can meet the requirements to enable a reorganisation to proceed.