Angel Studios Faces Lawsuit from ‘David’ Movie Producers Over Breach of Contract and Misdeeds

The lawsuit, filed March 5 in Utah’s Fourth Judicial District Court and obtained by TheWrap, alleges Angel failed to honor a 2021 agreement for mutual approval provisions for marketing and distribution decisions for “David.”

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Slingshot, the producer behind the highly anticipated animated musical film David, has initiated a lawsuit against Angel Studios for breach of contract and other alleged misdeeds. The lawsuit claims that the faith-based distributor executed a “hostile takeover” of the film, infringing upon several agreements for its own benefit.

Filed on March 5 in Utah’s Fourth Judicial District Court and reported by TheWrap, the lawsuit asserts that Angel Studios did not adhere to a 2021 agreement concerning mutual approval for marketing and distribution decisions related to David. Slingshot further alleges that Angel engaged third parties without obtaining necessary consent and misused David to promote its own platform.

This situation mirrors complaints from the producers of The Chosen, who also severed ties with Angel Studios last year. The globally successful series, along with its groundbreaking crowdfunding strategy, terminated its agreement with Angel in May due to multiple contract breaches, which led to an arbitrator ruling in favor of the producers and a subsequent $5 million restitution that Angel was compelled to pay.

According to Slingshot, their partnership with Angel Studios was founded on the promise of close collaboration regarding marketing and monetization decisions. However, they now claim that Angel prioritized its own interests, neglecting Slingshot and instead using David to bolster Angel Guild subscriptions rather than enhancing the film’s outreach.

The dispute intensified when Angel Studios placed episodes of the related miniseries Young David behind a paywall, violating a pre-established “pay-it-forward” model similar to that of The Chosen, which was designed to boost global accessibility.

“Angel ignored its obligation to maximize potential revenues for David while refusing to consult Slingshot on key decisions,” the complaint states. It also accuses Angel of distributing inadequate marketing materials, altering brand guidelines without approval, and continuing to exploit David-related content after the contract was terminated in November 2024.

The lawsuit further details “other misdeeds” by Angel Studios, including unauthorized merchandising agreements and alleged misuse of David’s intellectual property during investor presentations for Angel Studios’ proposed public listing. It emphasizes that Angel failed to uphold its promise of complete mutuality in decision-making, a critical provision for Slingshot in their partnership.

“Enough is enough,” Slingshot declared in its filing, citing irreparable damage to its brand reputation and goodwill. In addition to seeking damages, the lawsuit demands restitution for intellectual property infringement and a formal declaration affirming the termination of the agreement.

Angel Studios has not yet responded to requests for comment.

This legal battle highlights the escalating tensions within the faith-based entertainment industry as companies navigate the complexities of crowdfunding, streaming, and global distribution. The animated feature David, scheduled for release in 2025, has already been likened to major Disney productions and represents a substantial $42 million investment supported by over 12,000 individual backers.

The post Angel Studios Sued by ‘David’ Movie Producers for Breach of Contract, Other Bad-Faith ‘Misdeeds’ appeared first on TheWrap.

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