Movie Release Moves Forward Amidst 50 Cent Trademark and Publicity Lawsuit

This lawsuit puts the spotlight on the right of publicity and the importance of written agreements in the entertainment industry.[1] The court will decide whether the parties ever entered into an enforceable agreement giving Skillhouse’s production company the right to promote and release the project using valuable aspects of the rapper’s persona and IP.

Background and Contractual Dispute

The Skillhouse movie is the inaugural project for streaming platform GenTV, which was launched by Ryan Kavanaugh following his career brokering film finance deals in Hollywood. In 2022, Curtis J. Jackson III, publicly known by his professional name 50 Cent, and Kavanaugh entered into preliminary discussions about Jackson potentially acting in and producing Skillhouse, an influencer-focused horror film that would debut in both traditional movie theatres and on social media. Jackson alleges that he provided acting services and filmed scenes for Skillhouse based on the understanding that the parties would subsequently reach and memorialize a final written agreement.

On April 24, Jackson and his IP holding company, NYC Vibe, LLC sued Kavanaugh, Skill House Movie LLC, and GenTV LLC in the Central District of California. According to the complaint, Kavanaugh and GenTV promoted Skillhouse using Jackson’s name, image, voice, and trademarks in promotional materials, social media, the press, and in audiovisual works despite no authorization from or compensation to Jackson.

The parties dispute whether they entered into a finalized, written agreement that gave Kavanaugh and GenTV the rights to use Jackson’s IP and persona in connection with Skillhouse and GenTV. The parties negotiated a term sheet, which Jackson alleges was never signed. However, court filings indicate that the defendants disagree with Jackson’s contention that he never signed the binding term sheet or the certificate of employment. Thus, there is a dispute about the existence of an enforceable contractual agreement and the rights granted to each party.

The Lawsuit

Jackson alleges that the defendants engaged in several unauthorized actions. For example, they prominently displayed phrases such as “A 50 CENT MOVIE” and “PRODUCED BY 50 CENT” in clips and trailers of Skillhouse, as well as clips of Jackson himself in the film, creating the impression that Jackson was deeply involved in the project. The defendants also tagged Jackson’s social media handle, “@50cent,” on the film’s Instagram account, naming Jackson as an actor and producer. Jackson alleges that the defendants carried out these actions without authorization or any form of compensation.

Jackson contends that his right of publicity and trademarks are valuable commercial assets due to his fame as a rapper, producer, actor, and entrepreneur. He emphasizes that he is selective about licensing these rights and ensures that he maintains control over the use of his persona and trademarks in commercial contexts. Jackson asserts several legal claims, including trademark infringement, violations of both statutory and common law rights of publicity, false advertising, and unfair competition. Jackson seeks both monetary damages and equitable relief, including an injunction.

Notably, however, his request for a preliminary injunction to bar release of the film was denied on July 3, paving the way for the release of the film as planned today, July 11. In denying the motion for the preliminary injunction, the judge ruled that the plaintiffs are not entitled to “such extraordinary relief.” The judge explained, “[h]ere, the parties disagree as to the critical fact in the case: whether Jackson signed the Binding Term Sheet and/or Certificate of Employment (collectively the “Agreement”) on August 2, 2022. But even accepting Plaintiffs’ contention that no final Agreement was ever executed, the evidence before the Court raises numerous (and substantive) disputes of fact and law concerning whether the parties’ course of conduct evinces mutual agreement as to the Agreement’s material terms.… For that reason, the Court cannot find a likelihood of success on the merits at this stage of the litigation.”

Key Takeaways

When it comes to protecting your valuable IP and publicity rights, it is crucial to have clear, written agreements in place specifying the parties’ respective rights and obligations before performing any services. The likelihood of misunderstandings and disagreements increases where there is no written agreement, which can lead to litigation, and once you have performed services in the entertainment industry, it is often difficult to enjoin the other party from using the results and proceeds of those services.