The Weinstein Company voids Harvey's nondisclosure deals in bankruptcy filing
Anyone who experienced Harvey Weinstein's horrific behavior firsthand no longer has to worry about legal repercussions stemming from restrictive nondisclosure agreements.
The Weinstein Company filed for Chapter 11 bankruptcy protection on Monday, a move that had been coming for some time after numerous failed attempts to sell off the studio's assets. The filing also made clear that anyone bound by NDAs related to the company's co-founder can now speak freely.
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According to the filing (via The New York Times), this applies to anyone "who suffered or witnessed any form of sexual misconduct by Harvey Weinstein" and then signed an NDA barring them from sharing their story. Such documents were among the primary tools Weinstein employed to protect himself over the years.
"No one should be afraid to speak out or coerced to stay quiet," the company said. "Your voices have inspired a movement for change across the country and around the world. The company regrets that it cannot undo the damage Harvey Weinstein caused, but hopes that today’s events will mark a new beginning."
It's a fine statement to make, though the bankruptcy filing is also a blow to women with pending lawsuits against the studio. The studio's secured creditors are first in line for any money that comes from the bankruptcy proceedings, and even they likely won't see the studio's full debts paid.
On the other hand, the bankruptcy filing won't affect any pending civil suits targeting Weinstein personally, nor will it derail potential criminal cases that could emerge from ongoing investigations in New York, Los Angeles, and London.
The studio's assets will now be sold in a court-supervised auction, with the equity firm Lantern Capital Partners getting first crack at any offers as a "stalking horse bidder." Lantern had previously been in the mix as a potential buyer for the studio's assets, but that deal fell apart — twice — in a series of events that led to Monday's Chapter 11 filing.
