In a long-running dispute over profits from the Oscar-winning movie Crash, a Los Angeles Superior Court judge ruled that companies controlled by Bob Yari owe about $12 million to director/co-writer Paul Haggis, co-writer Bobby Moresco and Brendan Fraser a member of the large ensemble cast. Tuesday’s award follwed a July ruling by Judge Daniel Buckley that found Yari’s companies in breach of contract for failing to pay profits to the trio. Buckley determined Haggis, Moresco and Fraser should receive roughly $9 million in profits and $3 million in interest. Attorney for the Yari companies Behzad Nahai said he and his clients “respectfully but vehemently disagree” with the judge’s decision. He did not say whether Yari’s side would appeal. Among details noted by the judge were that Yari should not have charged the film $1,300 for his Oscar and Golden Globes tickets nor for his $40,000 sponsorship of the Independent Spirit and Gotham awards. In addition to suits filed over profit-sharing for Crash, producer Cathy Schulman filed suit accusing Yari of firing her in retaliation for his being denied a producer credit on the movie by the PGA which in turn resulted in Yari’s not making the cut as one of the winners of the movie’s Best Picture Oscar.


Whoops.
Can anybody tell me the difference between Yari and Avi Lerner?
What a terrible film.
That it beat out Brokeback Mountain for the Oscar in ’06 is a joke. A massive joke.
Why is it terrible? Brokeback Mountain was horribly boring and if it had featured 2 lesser known actors it probably would have gotten little to no attention
This is insane. $12MM dollars? The film barely grossed that domestically. There is no basis in reality for this huge an award. Didn’t the court do any due dilligence?
um, according to boxofficemojo.com, the film did $98m worldwide, and $54m domestic. you seem like a terrible film auditor. one suggestion: get the internet. it’s really great…
don’t know where you got your numbers, but crash did mid 50′s dom and high 90′s worldwide. Huge hit on video. Yari is getting off cheap at 12 mil.
“This is insane. $12MM dollars? The film barely grossed that domestically. There is no basis in reality for this huge an award. Didn’t the court do any due diligence?”
Didn’t you?
Okay, let’s do the math, shall we? Lionsgate pays Yari a minimum guarantee for domestic rights. I’m guessing $3MM? Then LGF takes 35% distribution fee on everything that rolls in. Film does $55MM domestic. Theater owners keep $30MM, LGF gets remaining $25MM which is reduced by P&A (let’s say $20MM, maybe more with the Academy campaign). So, $25MM minus $20MM is now $5MM domestic. But wait! LGF takes 35% distribution based on the full $25MM (35% = $8.75MM) so Yari is now actually negative $3.75MM ($5MM domestic minus $8.75MM distribution fee). Meanwhile, Yari is trying to recoup his production budget (is it $6.5MM or is it $15MM?) from two sources, the LGF MG ($3MM?) and foreign sales (which were likely quite small on a talky American drama). So, lawsuits abound as everyone sues Yari for “profit participation” (what a funny phrase) and Yari in turn sues LGF since they control all cashflow. *NOTE: ALL SPECULATION FROM ONE WHO GETS MUDDY IN THE TRENCHES!
Yari is the shadiest of the shadiest.
It is not defamatory or untrue to say that Bob Yari is little more than a Madoff-type con man who has made a career out of swindling artists, crews, companies and filmmakers out of the compensation that he contractually agrees to provide them. A billionaire who makes standard financier shenanigans look altruistic by comparison, his M.O. is to “green light” a film, insist the producers fund pre-production on their personal credit cards, and then only partially fund the movie, sometimes as much as 2/3 of the way into the shoot when actors and crews are walking off sets for non-payment. He then proceeds to ignore any invoices for services rendered. Currently involved in multiple lawsuits like this one. Hooray for Haggis et al – though good luck getting this judgement paid. Yari is a liar and a thief – take it from someone who’s been in business with him. And for God’s sake when this pathological liar shows up in a couple years with more “money” to make movies – RUN.
sounds like Yari’s lawyer has some splaining to do.
A little more background info please? How are the 2 sides so far apart?
Total Lifetime Grosses
Domestic: $54,580,300 55.5%
+ Foreign: $43,829,761 44.5%
= Worldwide: $98,410,061
Domestic Summary
Opening Weekend: $9,107,071
(#4 rank, 1,864 theaters, $4,885 average)
% of Total Gross: 16.7%
> View All 23 Weekends
Widest Release: 1,905 theaters
Close Date: April 6, 2006
In Release: 315 days / 45 weeks
Worldwide box office 98 million. Production costs 6.5 million. Shouldn’t comment based on information so off base. Lots of profit here.
can someone tell me why the yari film group would owe this money and not Lionsgate? Wasn’t Lionsgate the distributor and studio?
any insight would be appreciated.
@filmStudent: As the producer/production company,Yari was the employer of the talent (writers, actors, etc) and signatory to the Guild contracts being enforced by the court. therefore he/ his company is libel for these damages, not Lionsgate, which acquired the film for distribution but did not employ/engage the services of the talent.
Yari Film Group was shuffling money around for years, funding films with bank loans for other films, not paying residuals due, stiffing vendors, over inflating budgets. This is only the tip of the iceberg. Glad Haggis and friends were able to get what is due them.
oh, they haven’t gotten it yet. Best of luck to them as they try to collect.
I always wondered what happened to Yari. It seemed like he had movies coming out every three months, then nothing since Crash.
I’m shocked — shocked — to find abusive accounting practices in
Rick’s casinoH’wood. And that’s even without considering the abusive contracting practices that make the abusive accounting possible in the first place…Then there was the catastrophe of “Nothing But The Truth”. It was a great film. Had Yari not gone bankrupt due to yet another lawsuit, there is no doubt that Kate Beckinsale and Vera Farmiga would have been Oscar nominees and maybe even winners. Yari is a
true crook and scumbag.
Agreed – really liked that film. Wondered why it basically disappeared (or never came out, or very very limited release).