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“Will and Grace” find Solace with $49 million

May 1st, 2007 · 67 Comments

By Melissa Gentry

nbc-saw-wg-pic-from-other-side.jpg

NBC saw WG pic from other side

HOLLYWOOD, CA (Hollywood Today) 5/1/07 — After a three year battle the two creators of “Will and Grace,” have finally reached an out-of-court settlement with NBC Studios that may be worth $48.5 million.

The unexpected settlement Friday caught everyone by surprise after being followed by a dramatic Thursday that was full of many ups and downs, beginning with an unpublicized $48.5 million verdict in favor of Mat Mutchnick and David Kohan, and went through a motion for mistrial, a juror dismissal and tossing of the verdict.

The two parties finished up the day in the office of former Walt Disney Co. general counsel Lou Meisinger, who served as the mediator on the case; and after an all-night negotiation, they came to an agreement Friday morning, just minutes before Los Angeles Superior Court Judge Warren Ettinger was about to announce his decision to either grant a mistrial or send the case back to the jury.

After Judge Ettinger was informed of the settlement, he dismissed the case and settlement details were not released. Although Ettinger hinted Thursday that the verdict had gone for Mutchnick, Kohan and their agent Scott Schwartz, who filed the suit in 2003, claiming that NBC Studios failed to negotiate a fair licensing fee for the show with sister network NBC, costing them about $65 million in lost revenue.

Several jurors confirmed Friday that they had awarded $48.5 million to Mutchnick, Kohan and Schwartz in compensatory damages. Furthermore, the jury found that the evidence of fraud was sufficient to move to the punitive damages phase, where NBC would more than likely have been required to pay much more.

According to Reuters juror Brian Hewett said, “We believed their testimony, NBC did not live up to their obligations; we believe we made the right decision.”

And Although Hartwell was removed from the jury because he didn’t disclose that he operates a Web site that includes writings critical of big corporations, including NBC and its parent, General Electric, according to the jurors he did not pollute the jury’s decision. “He didn’t influence anyone in any matter,” juror Rick Gonzales told Reuters. He also went on to say that Hartwell was actually really passive.

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