Liger was one of the most anticipated Tollywood releases of 2022. The film’s pan-India scale and the combination of Vijay Deverakonda and Puri Jagannadh for the first time and the presence of Mike Tyson added massive buzz to the project. Unfortunately, the film ended up being one of the biggest disasters in the history of Tollywood. Now the film’s debacle has forced the buyers to seek compensation from Puri Jagannadh and co.
Liger issues have not been settled yet and theatre owners of Nizam are on strike against Puri Jagannadh for compensation. Distributor Warangal Srinu has stated that Puri is not responding to the calls so he can not compensate the theatre owners. This has led the theatre owners directly demand Puri for compensation. But, is the director legally obligated to compensate the buyers?
To get the context, Puri Connects- the film’s makers quoted huge amount for Liger rights and multiple distributors expressed interest to buy the movie by believing the combo. Finally, Warangal Srinu finalised the deal for close to Rs 65Cr NRA for South India. NRA means Non-Refundable Advance. So legally the producers do not need to pay any amount for losses. In addition to this, Warangal Srinu paid Rs 55Cr by stating that the market has decreased with Corona. After the release, the movie ended up as a massive failure.
If we go by legal means, Puri Jagannadh is not obliged to pay any amount. As a matter of fact, Puri can ask Warangal Srinu for the originally committed amount. Even theatre owners don’t have any right to ask the director for money as there is no direct dealing between them. Warangal Srinu is responsible for them which is why it is surprising to see the current strike against Puri. It is possible that they have gone by Warangal Srinu’s words that he does not have money to compensate so they are hoping Puri to cover their losses. But theatre owners need to understand they do not have any right to demand money from Puri Jagannadh. They can only request for compensation and being the film’s producer, it’s upto him to compensate or not.
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