CONSUMED BY MEDIA

Yeah, Redbox is suing Fox

Posted in DVD, Fox, Lionsgate, Redbox, rentals, Universal by Diane on August 12, 2009

redboxThis seemed inevitable: Redbox has filed suit against Fox for its attempts to withhold movies from the kiosk company for 30 days after each DVD’s release. The company previously filed suit against Universal, which is trying to block Redbox from renting its movies for 45 after each DVD’s release.

Redbox accuses Fox of using its power to “unlawfully coerce” distributors from selling its movies after Oct. 27, when “Ice Age 3” will be released, the LAT reports. Redbox filed suit yesterday, the same day Lionsgate confirmed it has entered into a deal with the company. The current scorecard is three studios working with Redbox, two trying to withhold movies and two antitrust lawsuits against those companies.

Speaking with the LAT yesterday, Lionsgate prexy Steve Beeks, ever pragmatic, explained his company’s decision to work with, rather than against, the fast-growing Redbox. “You can either find issue with [Redbox’s] model or you can make the assumption that it is here to stay and find a way to work with them to the benefit of both parties,” Beeks told the paper. “We chose the latter.”

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