(2011) Tags: Universal
CEPIA, LLC. v. UNIVERSAL PICTURES VISUAL PROGRAMMING LIMITED
In the fall of 2009, Plaintiff Cepia successfully launched a line of toys called the ZhuZhu Pets.® Cepia wanted to further capitalize on the value of the Zhu-niverse® by marketing and distributing two feature-length animated children’s movies featuring the ZhuZhu Pets® and Kung Zhu® characters.
Cepia produced two movies, ‘Quest for Zhu’ and Amazing Adventures of Zhu (previously known as Kung Zhu). Cepia invested approximately $4,000,000 in production costs for ‘Quest for Zhu’ and $4,300,000 for ‘Amazing Adventures of Zhu’.
In or around April 2011, Universal International proposed that it could effectively market and distribute the Movies internationally for Cepia. In its pitch to Cepia, Universal International touted its “dedicated and passionate children’s teams in every market” and its commitment to “do a great job” marketing and distributing Cepia’s valuable Movies worldwide. Based upon these representations, Cepia selected Universal International to assist in the international marketing and distribution of the Movies.
Universal International’s marketing plan was to include viable cross-promotional strategies, cost-effective supplemental strategies, and trade marketing tactics, all of which Cepia believed to be necessary to an acceptable plan. Plaintiffs claim Universal botched the distribution and marketing for ‘Quest for Zhu’.
The marketing plan included only summary figures without support or detail. The marketing plan also appeared to increase marketing to a level that eliminated any profits for Cepia.
Cepia initiated the instant lawsuit on July 31, 2015. Cepia’s Complaint seeks monetary damages and other remedies in connection with a dispute stemming from the marketing and distribution of the two animated children’s movies. In particular, Cepia alleges a breach of contract between Universal and Cepia (Counts I and II), conversion by Defendants (Count III), and a breach of the implied duty of good faith and fair dealing by Universal.
Judgment: IT IS HEREBY ORDERED that Defendant’s Motion to Dismiss is GRANTED.