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Overnight Productions, the producer behind 2010’s Machete said Tuesday that it has filed a lawsuit against Robert Rodriguez’s Quick Draw Productions over the making of his sequel, Machete Kills. The suit could actually block the film’s release if it is successful.
According to Deadline, Overnight, which is run by producer Rick Schwartz, says that it wants to end a deal signed in April 2012 that allowed Rodriguez to make Machete Kills. The company is suing for $2 million in damages and could regain the rights to the Machete character.
In the suit, Overnight claims that Quick Draw “failed to obtain a release of the Texas tax credits” that the production earned, notes The Hollywood Reporter. Machete Kills’ producers also didn’t provide Overnight with an accurate “approved budget” that would have allowed the company to calculate its compensation.
“As a result, plaintiffs have been forced to bring this action to confirm the cancellation of the grant of rights and to recover the amounts plaintiffs are owed,” the suit states.
Machete Kills is supposed to hit theaters in 2013 after Open Road picked up distribution rights in October. The film features Danny Trejo in the title role, as well as Jessica Alba and Charlie Sheen. Lady Gaga also makes an appearance.
Rodriguez and Quick Draw have not commented on the suit.