Kevin Spacey ordered to pay the Netflix show studio for wrongdoing

Kevin Spacey attends the Build Series to discuss his new play “Clarence Darrow” at Build Studio on May 24, 2017 in New York.

Daniel Zuchnik | WireImage | Getty Images

Oscar-winning actor Kevin Spacey was ordered last year to pay nearly $ 31 million to the studio behind House of Cards Netflix for breach of contract by violating the company’s sexual harassment policy, the court said Monday.

The sensational arbitral award came when the MRC studio filed a petition with the Los Angeles Supreme Court asking for confirmation that the money would be delivered.

Spacey and his production companies M. Profitt Productions and Trigger Street Productions were to pay $ 29.5 million in damages, $ 1.2 million in attorney fees and $ 235,000 in additional costs.

“MRC stood its ground, persevered, and ultimately got it right,” said studio lawyer Michael Kump, founding partner of Santa Monica-based firm Kinsella Weitzman Iser Kump Holley.

MRC is an independent studio that has worked on the Netflix films “Ozarks”, “The Great” Hulu, and “The Shrink Next Door” from Apple TV +.

MRC severed ties with Spacey, who starred in House of Cards, in 2017 after several people reported sexual harassment and misconduct by the Academy Award winner. Spacey has been accused of systematic hunting, sexual harassment and groping for the young people he has worked with throughout his career.

The studio then ditched the sixth and final season of the popular streaming show in 2017, before rewriting it without its character, President Frank Underwood, and cutting the episode number from 13 to eight.

MRC later filed an arbitration against Spacey for breach of contract, claiming that his behavior cost the production tens of millions of dollars. This arbitration was conducted out of sight of the public.

“The safety of our people, equipment and work environment is of the utmost importance to MRC and therefore we have decided to insist on accountability,” the MRC said in a statement Monday.

The case was considered in favor of MRC by an arbitrator in October 2020. The arbitrator found in his ruling that Spacey had repeatedly violated his contractual obligations “by behaving in certain ways towards multiple crew members in each of the five seasons in which he played the lead role and the chief executive. produced a “show”.

Spacey later appealed the arbitrator’s decision, but this month it was rejected.

Spacey’s representatives did not immediately respond to CNBC’s request for comment.

Disclosure: Comcast is the parent company of NBCUniversal and CNBC. Comcast owns a stake in Hulu.

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