Settlement Terms
AMC Global Networks announced on Tuesday that it has reached a $120 million settlement with Robert Kirkman, creator of The Walking Dead, and other franchise producers, ending a breach-of-contract lawsuit filed in 2022. The case was scheduled for trial in October. The announcement follows a July deal in which AMC renewed rights to The Walking Dead and its spinoffs with Netflix for five years at $500 million.[S1]
AMC disclosed in an SEC filing that it will disburse $85 million in cash by September 18, and the remaining $35 million is scheduled for payment no later than January 31, 2027. This latter sum will be considered an advance against modified adjusted gross receipts participation that the plaintiffs are owed under agreements tied to The Walking Dead and Fear The Walking Dead.[S1]
Plaintiffs and Impact
The plaintiffs include Kirkman, Glen Mazzara, David Alpert, Gale Anne Hurd, and Charles Eglee. They will continue to receive ordinary course participation payments going forward, offset by the advance. As a result, AMC will record a one-time charge of $85 million in the September quarter.[S1]
The Walking Dead was a defining series for AMC, running for 12 seasons through 2022, with Fear The Walking Dead concluding in 2023. The franchise has spawned numerous spinoffs, including The Walking Dead: Dead City, Daryl Dixon, and TWD: The Ones Who Live.[S1]
Legal Background
This settlement comes five years after AMC paid $200 million to resolve a dispute with former showrunner Frank Darabont and CAA over profits. In 2024, a federal judge in California denied AMC's motion to dismiss the case, referencing that earlier agreement.[S1]
U.S. District Judge Fernando Aenlle-Rocha wrote in 2024 that it would be an illogical interpretation of the most favored nations provisions to allow AMC to give Darabont and CAA increased compensation without providing the same to the plaintiffs.[S1]
