Complaint claims that AMC is trying to jack up fees because its fame “may be fleeting” without “Breaking Bad” and “Mad Men”
AMC has found itself in another carriage dispute — and this one has a uniquely catty tone to it.
In a lawsuit filed in U.S. district court in New York on Oct. 11, Canadian service provider Telus claims that AMC is threatening to wrongfully break its carriage agreement with Telus and is aggressively trying to jack up the carriage fees it receives from the company.
The suit, obtained by TheWrap, claims that AMC is making the move now because its success “may be fleeting,” now that “Breaking Bad” has ended its run and “Mad Men” is preparing to do the same. Ouch.
The suit clams that AMC, in “a transparent ploy to deprive Telus of the benefit of its bargain and extract higher fees,” has threatened to terminate its agreement with Telus as of Nov. 1, in violation of the 2010 agreement between the two parties.
According to the suit, the agreement dictates that AMC give Telus 30 days’ notice that Telus has materially defaulted on its agreement, along with the opportunity to remedy the situation within that time period, prior to terminating the agreement.
Telus claims that AMC didn't provide such notice. The company does concede that AMC mentioned two defaults in its termination letter to Telus, but claims that those defaults don't justify termination, and that they've since been remedied in any case.
AMC, which has has previously found itself in carriage disputes with Dish Network and AT&T, had no comment for TheWrap on the lawsuit.
The suit asks for injunctive relief preventing AMC from interfering with Telus’ distribution of AMC programming, plus “such other and further relief that the Court may deem just and proper, including attorneys’ fees, costs and disbursements in this action.”
Pamela Chelin contributed to this report.