Director Alan Elliott’s Amazing Grace appeared poised for success after a record-breaking debut and strong industry interest, but its momentum stalled following Neon’s acquisition. Despite early buzz, the film received a limited release, failed to gain awards traction, and ultimately landed on streaming. Elliott later sued Neon, alleging mismanagement, improper accounting, and excessive expenses that prevented the film from turning a profit—claims Neon disputes.

The case has exposed internal challenges at Neon during its early growth, including reliance on outsourced marketing and accounting, staffing shortages, and admitted bookkeeping errors. Financial records show millions in distribution costs and ongoing losses for the film, though conflicting testimony from Neon executives raises questions about whether it was ultimately profitable. One of the issues is that under the distribution deal, employee salaries can’t be charged to the movie. But the lawsuit alleges Neon double dipped. One example: Amazing Grace was billed over $16,000 in consulting fees for digital market services by a company owned by Andrew Brown, Neon’s president of digital distribution who was the company’s svp of digital strategy, marketing and distribution at the time of the charge in 2019, according to a review of court documents. Neon disputes that Brown was a full-time employee when the charge was incurred, though a 2022 report when he was promoted to his current position says that he has held an executive title since 2017. “Andrew started as a consultant in 2017 and was hired in early 2020,” Friscia said in his deposition.

At its core, the dispute reflects broader tensions in indie film distribution—where opaque accounting practices and high expenses often mean filmmakers never see returns. Robert Rosenberg noted, “That’s the kind of thing that would make you want to take a second look… I can understand the distrust on Alan’s part.”