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Amazon shelved a finished $25m film and settled Woody Allen's $68m lawsuit

Amazon ended its four-film Woody Allen deal in 2018 and shelved a completed film, then settled his $68m breach-of-contract lawsuit in 2019.

Amazon · 2018-08-30

What happened

Amazon, spending heavily to turn Prime Video into an awards contender, signed Woody Allen in January 2015 for his first television series. In 2016 the relationship expanded into a four-film deal that included a $10m advance. Allen carried a decades-old controversy that had been public the whole time — a risk Amazon's own signing press release framed as a prize.

When the #MeToo reckoning renewed attention on that accusation, the films became hard to promote. Cast members distanced themselves publicly; Timothée Chalamet and Selena Gomez pledged their salaries to charity. In June 2018 Amazon terminated the deal by email without stating a reason, and in August confirmed that the completed A Rainy Day in New York, reported to have cost $25m, had no release date. For the first time since 1981, no new Allen film appeared that year.

Allen sued in February 2019 for $68m, arguing that Amazon was fully aware of the accusation when it signed and had terminated without cause. Amazon's response was that Allen's own comments about #MeToo 'sabotaged' its attempts to promote the films, and that 'scores of actors and actresses expressed profound regret for having worked with Allen in the past'. The case settled in November 2019 on undisclosed terms.

The shelved film finally opened across Europe in late 2019 and reached US cinemas in October 2020 through a small independent distributor. Allen's subsequent films went without a major US release, and his yearly release streak never returned. Amazon had paid the production cost, fought the lawsuit and settled — for films it had chosen not to release.

Why it happened

  • Amazon signed a filmmaker whose controversy was decades old and fully public, then committed to a four-film pipeline on top of it
  • The deal priced a static reputation — but the #MeToo era made the films unmarketable and made cast members publicly regret the work
  • Termination was not a free exit: the completed film, the $68m lawsuit and the settlement all followed the decision, not the scandal
  • Amazon argued it could not promote the films, yet had already spent $25m making one it then refused to release
What it costa shelved $25m film and a $68m lawsuit settled in privatecostly

The lesson

A risk that is public before you sign does not get cheaper later. Amazon paid for a film it refused to release and settled a lawsuit it chose to fight — the money left either way.

Aftermath

A Rainy Day in New York finally opened across Europe in late 2019 and reached US cinemas in October 2020 through MPI Media Group. Allen's next films found no major US distributor, and the yearly release streak that broke in 2018 never came back. Amazon never disclosed the settlement terms; the episode had already burned the reported $25m production budget and two years of legal fees.

Sources

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