Third Mortal Kombat movie enters legal limbo

A lawsuit, filed Tuesday in Los Angeles, claims that Warner Bros. shut Threshold out of production on the movie

Before Midway went bankrupt last year, there were plans to make a third Mortal Kombat movie in the works with production company Threshold Entertainment. Warner Bros. picked up the rights to the franchise after Midway went under and now Threshold is suing them for breach-of-contract.

The lawsuit, filed Tuesday in Los Angeles, claims that Warner Bros. shut Threshold out of production on the movie. Threshold argues that they have a licensing interest in the product following a 2006 agreement with Midway over script development and pre-production on the third Mortal Kombat flick. The lawsuit says that a federal bankruptcy court upheld its claim to the movie during the Midway asset sale.

Hollywood coverage website The Wrap reports that Threshold didn't name a dollar amount in damages within the lawsuit. We've contacted both Warner Bros. and Threshold for official comment and will update this story when we hear back from one or both parties.

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