Ad Agency Claims ThinkFilm, Capitol Films Hasn't Paid Its Bills

Posted by Eriq Gardner

Producer David Bergstein, the indie film production and distribution luminary who heads Capitol Films (Gosford Park, Jeepers Creepers, Lucky Number Sleven) and ThinkFilm (Before the Devil Knows You're Dead) might be having trouble paying his bills.

Allied Advertising, an in-placement advertising agency, has filed suit against Bergstein and ThinkFilm in Los Angeles Superior Court for failure to pay more than $4.1 million. In the lawsuit, Allied alleges it twice advanced Bergstein money after promises to work out a repayment schedule. At this year's Cannes Film Festival, Bergstein and ThinkFilm went on a "lavish film licensing buying spree," according to the complaint.

The SAG and others have complained about Capitol Films' failure to meet contractual financial obligations. The indie has recently had reported money problems on the sets of David O. Russell's "Nailed," "An Invisible Sign of My Own," and "Labor Pains."

This is also not the first time that Bergstein's companies have been sued by an advertising agency. Earlier this month, Mammoth Advertising sued Thinkfilm and Capitol Films in Manhattan Federal Court for failure to pay $428,000 for promotions for last year's "Before the Devil Knows You're Dead."