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Tony DeRosa-Grund Fails in Arbitration Bid Against Warner Brothers

Thursday, February, 12, 2015

A Hollywood producer’s attempt to gain millions of dollars in potential profit sharing from a successful film franchise has reportedly failed, as an arbitrator has denied his claims of ownership and claims of breach of contract against one of the world’s largest film studios.


Tony DeRosa-Grund had filed lawsuits against Warner Brother’s over a producer’s credit for the film ‘The Conjuring’ and subsequent sequels and prequels, seeking to be named producer on all ‘Conjuring’-related materials and to gain profit participation on all related releases. A judge dismissed the lawsuit and ordered both parties into arbitration to settle the matter of who owned the franchise.


‘The Conjuring’ was released in 2013 and has made over $300 million worldwide, and has a sequel out this year and a prequel in the works. It’s estimated that DeRosa-Grund’s profit participation would have been in excess of $3 million had he won, with future earnings likely just as rich if the franchise maintained its popularity. The arbitrator also barred DeRosa-Grund from gaining any producer credit.


In response to his failed arbitration, DeRosa-Grund has sued his former attorneys, blaming them for the arbitration loss.


The arbitrator cited DeRosa-Grund’s own breaches of contract with Warner Brothers as grounds for denying him any further involvement in the film franchise, including a failure to afford Warner Brothers right of first negotiation and last refusal. As a result of the arbitration ruling, Warner Brothers gained an award of $200,000 from DeRosa-Grund in the form of damages.