Presidio Enterprises, Inc. v. Warner Bros. Distributing Corp.

GOLDBERG, Circuit Judge:

The distinctly unsettling thought of angry “killer bees” terrorizing an unsuspecting Texas town lies at the heart of this case. Appellant Warner Bros, thought it could turn this idea into a “chilling, riveting, harrowing, cinematic experience,” and spent $10 million trying to do so. Appellee Presidio Enterprises was apparently similarly affected, for it agreed to pay Warner $65,000 for the right to show the film, sight unseen, at two of its theatres in Austin, Texas. To make a long story short, the film was a flop. Stung by this turn of events, Presidio flew enraged…