The Madras High Court granted interim injunction against the release of Tamil movie 'Vaalu' starring Silambarasan on July 17 in Tamil Nadu, Kerala, Karnataka, Puducherry and Karaikal through any person or company other than the petitioner Magic Rays of Chennai, pending disposal of a suit.
Justice K. Ravichandra Baabu, before whom the petition filed by Magic Rays, represented by its partner Sasikala, came up, said in his order "as I find that a prima facie case is made out for the grant of interim injunction and in view of the fact that the film 'Vaalu' is scheduled to be released on July 17, there shall be an order of interim injunction as prayed for, pending disposal of the suit."
Magic Rays filed for a permanent injunction restraining NIC Arts from in any manner infringing their copyright in respect of the exclusive distribution/theatrical release rights of the film pending disposal of the suit. NIC Arts had entered into an agreement with the Magic Rays assigning the rights of theatrical distribution and exploitation of 'Vaalu' in Tamil Nadu, Puducherry, Karaikkal, Kerala and Karnataka, on outright royalty lease basis for the period in perpetuity for the agreed consideration of Rs.10 crore, which is non-refundable. A sum of Rs five crore was already paid as on the date of signing of the agreement.
Detailing various expenses, the petitioner claimed that a total sum of Rs.9,53,55,000 was paid by the Magic Rays, including the retention of Rs one crore towards printing and publicity expenses.
The petitioner said the film was now scheduled for global release on July 17. As per the agreement, NIC Arts has to issue necessary Lab Letter to Magic Rays to get the positive prints. But, all of a sudden, they were avoiding Magic Rays, it was alleged.
On inquiry, it came to light that the producers planned to release the film through some third parties, which is in violation of the agreement dated May 29. Hence the petition was filed seeking permanent injunction on the film's release, the petitioner said.
