Madras High Court refuses to block Ajay Devgn-starrer Hindi film Drishyam 3 in remake rights case

The Madras High Court recently refused to restrain the release and exploitation of the Ajay Devgn-starrer Hindi version of Drishyam 3 amid claims that production house Rajkumar Theatres Private Limited also held rights to remake the Malayalam film sequel in Hindi [Rajkumar Theatres Vs Wide Angle]..Justice K Govindarajan Thilakavadi reasoned that Rajkumar Theatres had failed, at the interim stage, to establish with sufficient clarity that it continued to possess an exclusive or joint copyright in the Hindi remake rights of Drishyam 3.“The material presently placed before this Court does not, at this interlocutory stage, establish with sufficient clarity that the applicant continues to possess an exclusive or joint copy right in the Hindi remake rights of ‘Drishyam 3’,” the Court said in its October 1 order.The Court, however, did not finally decide who owns the Hindi remake rights, observing that the rival claims based on various agreements and subsequent transactions would require detailed adjudication..Rajkumar Theatres had moved the High Court under Section 9 of the Arbitration and Conciliation Act seeking an injunction to block the worldwide release and exploitation of the Hindi film through theatres, OTT platforms, satellite television and other modes. The film stars Ajay Devgn and Tabu and is directed by Abhishek Pathak..According to Rajkumar Theatres, it had entered into an agreement with Kerala-based production house Ashirvad Cinemas and director Jeethu Joseph in December 2013 with respect to the remake rights to the Malayalam Drishyam film franchise. Rajkumar Theatres said that by these agreements, it acquired exclusive Telugu remake rights for the original Drishyam film as well as its sequels.On the same day, Wide Angle Creations acquired similar rights in Hindi and certain North Indian languages. Rajkumar Theatres, however, claimed that it funded the entire ₹50 crore consideration for this assignment and that the two entities agreed to share the Hindi and North Indian language rights equally.A June 2014 agreement subsequently recorded the arrangement, under which Rajkumar Theatres claimed that it and Wide Angle Creations became equal joint owners of the copyright for the Hindi version of Drishyam films..Rajkumar Theatres said it later learnt that Drishyam 3 had been remade in Hindi by the same parties that made Drishyam 2, without its knowledge or consent. It approached the Court after learning that the Hindi film was likely to be released on October 2..Ashirvad Cinemas, director Jeethu Joseph, Star Studio 18, Panorama Studios and other respondents opposed the plea, arguing that Rajkumar Theatres had produced no document establishing a subsisting exclusive right to stop the Hindi version of the film. They relied on a 2014 assignment to Viacom18 and 2022 settlement agreements to contend that the Hindi sequel and derivative rights had subsequently been assigned.The Court said that an order blocking the film worldwide would have serious consequences for the respondents and third parties claiming rights under subsequent arrangements. Such relief, therefore, required clear material establishing a subsisting and enforceable right threatened with imminent infringement..It added that Rajkumar Theatres' claim that its 2013 rights extended to the second sequel (Drishyam 3), as well as the respondents' contention that those rights had subsequently been assigned to another, required further adjudication. It proceeded to dismiss a plea for an interim stay on the release of the Hindi film Drishyam 3. .Senior Advocate K Ravi appeared for Rajkumar Theatres..Senior Advocate P S Raman appeared for Star Studio 18.Advocates K Sharath Chandran, Akshaya Ramadurai and K Manoj Menon appeared for the other respondents..[Read Order]