Splash News & Picture Agency, a major paparazzi outlet that is the subject of a Meghan Markle lawsuit, has filed for Chapter 11 bankruptcy.
The agency has suggested that there are several reasons for filing bankruptcy, including the cost of defending two ongoing litigation cases, one of which is believed to be the privacy action brought by the Duchess of Sussex. Now, according to The Hollywood Reporter, Splash has defaulted on a loan worth nearly $ 1 million.
“Splash’s financial problems stem from three sources,” Splash president Emma Curzon said in a statement filed as part of the bankruptcy. “As a consequence of the global pandemic, the availability of celebrity images has decreased and the budgets of media companies have been cut to reflect broader macroeconomic challenges. This situation has been aggravated by two ongoing litigation and the costs of defending these cases ”.
Meghan Markle’s battle with Splash dates back to the agency taking photos of her during a “private family outing” in a park in Canada.
According to the BBC, the images were taken at Horth Hill Regional Park on Vancouver Island, British Columbia, on January 20, 2020.The case was reported to have been resolved in December, but as points outThe Hollywood Reporter, the case still cannot be solved to some extent.
“The case involves free speech issues under UK law and has unfortunately proven too excruciatingly expensive for Splash to continue his defense,” Curzon added in the Chapter 11 filing.
Read more: The Sun paid a private investigator to obtain personal information on Meghan Markle
Also, if the plaintiffs prevailed in that case, it would likely result in a large award for attorneys’ fees against Splash. Despite the merits of the case, the company has tried to resolve this issue, but has not been able to reach an agreement. [sobre] a financial agreement within your resources. “
The Duchess of Sussex recently won a privacy case against the Associated Newspapers publisher. She brought the case over the newspaper’s decision to publish parts of a letter she wrote to her now estranged father Thomas Markle, prior to her wedding to Prince Harry.
A court ruled in his favor and found that The Mail on Sunday and Mail Online had violated his privacy when he published the excerpts of his letter.
–
