Producer Behind Netflix’s ‘Pinocchio’ Sues The Jim Henson Company Over Profits, Credit

A former executive producer is suing The Jim Henson Company, alleging the studio failed to properly compensate and credit him for his work on several high-profile projects, including Netflix’s Academy Award–winning Guillermo del Toro’s Pinocchio.

Reported by The Wrap, Jason Lust, who previously headed feature film development at the company, filed the lawsuit in Los Angeles County Superior Court, claiming a 2015 settlement guaranteed him ongoing profit participation and producer credit on projects he helped shepherd during his tenure. According to the complaint, those terms were not honored following his departure from the studio.

The suit seeks at least $7.5 million in damages and argues that the alleged breach of contract is tied to some of the company’s most visible animation-adjacent releases. Lust contends that despite the commercial and critical success of these projects, he was excluded from meaningful backend compensation and received diminished professional recognition.

The most prominent title cited is Guillermo del Toro’s Pinocchio, the Oscar-winning stop-motion feature released in late 2022 by Netflix. Lust acknowledges receiving an executive producer credit but claims it was nonstandard, buried deep in the end credits, and structured in a way that reduced its industry value. He further alleges that he was denied full financial participation tied to the film’s success.

The lawsuit also references Fraggle Rock: Back to the Rock, the Apple TV+ reboot of the classic Henson property, as well as the sequel to Alexander and the Terrible, Horrible, No Good, Very Bad Day, citing similar disputes over credit and compensation.