After the Covid-19 pandemic hampered its rollout of sci-fi thriller Lumina, Goldove Entertainment opted to handle distribution itself instead of working with a sales agent. Plans included creating dozens of life-sized standees to advertise the movie, conducting a sweepstakes with tens of thousands of dollars in prizes and hiring a company that could get the film into theaters. At the end of the day, it spent roughly $4 million on marketing for a title it hoped to make at least $20 million the opening week.

On Monday, Goldove Entertainment sued distribution partner Wild About Movies, which allegedly lied about the number of theaters that would show the movie, for fraud and breach of contract. The lawsuit, filed in Los Angeles Superior Court, faults the company for the film’s underwhelming box office performance and seeks damages equivalent to its marketing spend.

Wild About Movies chief executive Timothy Nasson denied the accusations and...