“This has caused huge financial loss and damage to the reputation of our company,” Beijing Pangu Investment said in a statement.I suspect that the Pangu Investment was not satisfied that the hotel was not sufficiently highlighted in the movie, perhaps with a long scene in front of the company's logo as Transformers and human characters discuss how great being at the hotel is. Based on what little Chinese television I have seen they have a 1960s TV/current sports approach to advertising where it has to be in your face and blunt as possible. The American approach is touch more subtle such has having characters drinking a soft drink, eating at a certain place, or using a clearly labeled brand item for a scene. Its an ad but you would not necessarily recognize it as such. An example is a scene of walking through a hotel lobby where may or may not see hotel branding would be enough for most American companies but maybe not for a Chinese one. Another example is the Chinese cut of Iron Man 3 which was accused of essentially being 5 minutes of commercials being added to the movie. Now we might have a taste of why Marvel Studios felt it was necessary to do it that way. It will be interesting to see if this is the beginning of more lawsuits that could lead to Hollywood deciding to pass on future "cooperative agreements" in China.
“When marketing and distributing ‘Transformers: Age of Extinction,’ (the studio) is not allowed to use our company’s image, logo, our building’s inside and outside views and its recognizable elements,” the statement continues. “If already used in the film, they shall all be deleted.”
The contract was ended on June 15, and the company said it has filed court charges related to financial losses and damages to its reputation. It did not elaborate on how the partners had violated the terms of the contract.
“Pangu Plaza has a prominent placement in ‘Transformers 4′ and it looks beautiful onscreen,” a spokesman for Paramount said in a statement. “We regret that Pangu is not currently satisfied with certain aspects of our collaboration and are working to resolve its concerns.”
Obviously with the movie only one week away from release, demanding a set piece be removed from the film isn't going to happen and the companies lawyers know it. Chances are they are hoping to get a large settlement that will essentially refund their money while keeping their hotel in the movie resulting in the equivalent of a lifetime of free advertisement in the movie. Not too shabby a deal if they can pull it off and could open the door for the other companies Paramount has been doing business with for the movie to do that same.