The Weinstein Co. said that it will file for bankruptcy after the troubled studio founded by Harvey Weinstein ended talks to sell the company outside of chapter 11 to a group led by businesswoman Maria Contreras-Sweet, the Wall Street Journal reported. The decision comes two weeks after New York Attorney General Eric Schneiderman filed a lawsuit against the studio alleging sexual harassment and civil-rights violations. The studio had been close to a deal with Contreras-Sweet’s group before the lawsuit was filed and parties continued to discuss a deal after the legal action was taken. The studio said in an email that it would prepare a bankruptcy filing “in the coming days.” The studio has been searching for a buyer that could keep the company out of bankruptcy as lawsuits against the company have piled up. The proposed deal from Contreras-Sweet’s group was the only known offer that wouldn’t have required the Weinstein Co. to file for chapter 11 protection.
