Weinstein Company Sale Halted by Lawsuit Accusing the Studio of Enabling Harassment

NEW YORK (NY)
Slate

February 12, 2018

By Molly Olmstead

New York’s attorney general has filed a lawsuit against the Weinstein Company accusing the studio of creating a “toxic environment” that allowed movie producer Harvey Weinstein to sexually abuse and harass women at his company.

The suit, filed Sunday in the State Supreme Court in Manhattan, halted the company’s sale, which was expected to be finalized that day, according to the New York Times. If the sale doesn’t go through, the company, which has struggled since accusations against Weinstein began piling up in October, will be headed toward bankruptcy, according to the Times.

The lawsuit alleges that the Weinstein Company and the two Weinstein brothers who founded it violated state and city laws related to discrimination, harassment, abuse, and coercion, according to the Times.

The investor group that planned to buy the company said it would set aside $20 million to $30 million for a settlement fund for Weinstein’s victims, according to Variety. Weinstein’s brother, Bob Weinstein, would leave the studio, and the group had said it planned to put more women in leadership positions. But the new owners would make David Glasser, Harvey Weinstein’s right-hand man, the new CEO.

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