Category Archives: The Weinstein Company

The Weinstein Company Cancels Disclosure Agreements in Wake of Bankruptcy

The fall of The Weinstein Company started with the scandal surrounding Harvey Weinstein’s acts of sexual misconduct. From there, a snowball effect ensued, threatening the very existence of the Hollywood film studio. Now, after having filed for bankruptcy, The Weinstein Company has also released all employees from complying with their nondisclosure agreements.
Harvey Weinstein Kept Legal Troubles a Secret
Most people think they know when the Weinstein troubles started, but, in truth, Harvey Weinstein had been caught up in legal battles for dozens of years. Though he kept it as much of a secret as possible, Mr. Weinstein was continuously defending himself against sexual harassment claims, settling them before a court action would bring his deeds to light.
That situation changed abruptly, when Hollywood actresses stood up and declared money wouldn’t silence them any longer. Soon, A-listers like Gwyneth Paltrow and Angelina Jolie were sharing the stories about their encounters with Harvey. This was too much for the film studio to handle and Harvey wss dismissed from his own company. Even with this change in management and the implication that sexual misconduct would no longer be tolerated, The Weinstein Company couldn’t bounce back. Hollywood and the public had started a boycott of the studio.
The Weinstein Company is Down, But Not Out
In spite of their best efforts, The Weinstein Company has continued to suffer losses. Investors have pulled out of lucrative deals and they lost out on an opportunity to bring Maria Contreras-Sweet in as the head of the studio. That $500 million arrangement would have reorganized The Weinstein Company as a female-run company, but reports of undisclosed debt brought that possibility to an abrupt halt.
Reporting on the bankruptcy, The Weinstein Company reported that they did find an investor. Lantern Capital is taking a chance on the studio, though with a few conditions, which will allow the company to continue producing feature films and television. This is undoubtedly good news for those employed by The Weinstein Company, since it means they may not lose their jobs after all.
While news of the bankruptcy may not be completely unexpected, news that The Weinstein Company is releasing all of its employees from their nondisclosure agreements is surprising. It comes as a part of an arrangement with New York Attorney General Eric Schneiderman. By releasing employees from their NDA obligations, the state will find it easier to pursue civil rights violations against Harvey Weinstein.
In a statement, Mr. Schneiderman said Harvey Weinstein used the NDAs as his “secret weapon” to ensure silence. He hopes that, without the nondisclosure agreements serving as an obstacle, more people will step forward to make statements against Harvey Weinstein.