Peppermint Private Limited, a company engaged in film production and digital entertainment, has filed a petition before the Madras High Court seeking to stop the release of the Malayalam movie Janaki v. State of Kerala, which is slated to premiere on May 15. The film stars veteran actor Suresh Gopi and is produced by Cosmos Entertainment. Peppermint has alleged that Cosmos has defaulted on payments and is attempting to release the movie despite outstanding dues.
According to the petition, Peppermint entered into a business transaction with Cosmos Entertainment and invested a sum of ₹3 crore towards dubbing rights, distribution, and assignment rights related to the film. However, Cosmos allegedly failed to make the agreed payments, following which both parties executed a Memorandum of Understanding (MoU) acknowledging the debt and outlining a repayment schedule.
Read Also:-Madras High Court Directs State To Form Committees For Scrutiny Of Bogus Community Certificates
"It was confirmed in the MoU that J Phanindra Kumar, proprietor of Cosmos Entertainment, had obtained ₹3 crore from Peppermint Private Limited through its sister concern Phars Films," the petition stated.
As per the terms of the MoU, Cosmos agreed to pay ₹50,000 directly to Peppermint and ₹2,50,000 to Phars Films. However, Peppermint submitted that Cosmos expressed its inability to fulfill the repayment terms just a day after the MoU was signed. Consequently, an addendum was signed, creating a security arrangement by transferring certain rights of the film to Peppermint as collateral. It was agreed that this security would stand canceled once the dues were cleared.
Despite the revised terms, Cosmos allegedly failed to pay the remaining amount. Peppermint informed the court that despite repeated requests, the producer did not honor the payment obligations. The petitioner also claimed that Cosmos was acting in a clandestine manner by trying to sell the exhibition rights of the film to third parties, which Peppermint said was in clear breach of the MoU and its addendum.
Cosmos is attempting to alienate the rights of the film without settling the dues, which is a violation of the agreement. This conduct threatens the petitioner’s security and recovery of the outstanding amount,"Peppermint submitted in court.
To safeguard its interests, Peppermint has approached the Madras High Court under Section 9 of the Arbitration and Conciliation Act, 1996, seeking an interim injunction to prevent Cosmos from releasing the film through any means—including theatrical, OTT, satellite broadcast, or any form of distribution—until the dues are paid in full.
Recognizing the urgency of the matter, Justice Abdul Quddhose on Monday (May 5) directed the respondents to file their counter and scheduled the matter for hearing on May 7 before the vacation court.
Read Also:-FIR Must Be Registered Against Unauthorized Subletting: DGP Tells Madras High Court
The case has drawn attention in the entertainment industry, given the impending release of a high-profile film and the serious allegations of contractual breach. The outcome of this petition could set an important precedent in the enforcement of financial and distribution agreements within the Indian film industry.
