MoviePass liquidating, may owe money to 12,000 subscribers

MoviePass liquidating, may owe money to 12,000 subscribers

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Movie ticket subscription service MoviePass and its parent company filed for Chapter 7 bankruptcy liquidation late Tuesday and may owe money to subscribers.

The filing means they will be sold for parts, and the proceeds will be distributed to their creditors, ending any possibility that MoviePass could be revived after the service shut down in September.

The company filed a 174-page list of more than 12,000 subscribers it may owe money, totaling about $1.2 million, which amounts to an average of nearly $100 per person. 

The subscribers were listed as unsecured creditors, and it was not immediately clear whether they would get paid back. The company, which listed their claims as “disputed” in a court filing, filed a list of those subscribers matched up to their email addresses.

MoviePass, which once offered unlimited movie tickets for $10 per month, is liquidating.

An attorney for the company did not immediately respond to a call and email seeking comment Wednesday morning.

MoviePass gave subscribers access to unlimited movies for $10 a month.

It was a classic too-good-to-be-true business model. The company quickly ran into financial hurdles, technical challenges and industry opposition.. Even after it shut down, some former customers accused MoviePass on social media of still charging their credit cards.



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