After spending nearly three decades in development hell and being shelved by Warner Bros. for a tax write-off, the live-action-animation hybrid Coyote vs. Acme
is finally arriving in U.S. theaters on August 28, 2026, distributed by Ketchup Entertainment following a bitter behind-the-scenes battle.
Hollywood decisions sometimes defy basic logic, and few recent studio moves match the rollercoaster surrounding the Looney Tunes courtroom comedy. The project first originated from a 1990 New Yorker parody that imagined Wile E. Coyote taking legal action against the Acme Corporation over a lifetime of defective gadgets. After lingering in development for nearly 30 years, the picture was finally made in 2022 for approximately $70 million, only for Warner Bros. Discovery to shelve the completed movie in November 2023 to claim a reported $30 million tax write-off.
That cancellation sparked an immediate backlash across the industry. Filmmakers made angry phone calls to the studio, and several creators canceled meetings in direct protest. Fearing the project was locked in the corporate vault for good, the cast and crew gathered on the Warner Bros. lot to hold what they termed a funeral screening
for the doomed film.
The Funeral Screening That Sparked Hope Among Cast and Crew
Walking into that private screening room, the talent behind the picture initially feared the worst. Star Lana Condor admitted to Variety that the atmosphere felt deeply painful. It’s so horrible. It’s like, really easy to blame yourself,
Condor said at the film’s Los Angeles premiere. You almost feel like, ‘Was I the problem?’ You’re devastated for the hundreds of people who have worked on this far longer than I have. It feels like a funeral.
Her co-star Will Forte shared similar doubts before the lights went down. But once the projection started, both actors realized the studio had mothballed a genuine success. Condor noted that discovering the film was so good
actually made the feeling worse
regarding its tax-motivated cancellation. Yet that same viewing gave her stubborn resolve. I had hope.
Because it’s so good, I was like, ‘There will be a light,’
she said.
“We still got to go in a week after [it was shelved] to go see the movie. Personally, I thought, ‘Oh, it probably sucks. Why would they be doing that?’ And then, we go see this movie, and it’s magic. It’s freakin’ awesome.”
Will Forte, star, via Yardbarker
Director Dave Green noted that despite the heartbreak, the mood inside the room took on a celebratory tone reminiscent of a New Orleans jazz funeral. Sharing the finished cut with friends, other filmmakers, and stars who had never seen the final product made the evening charged and electric.
The Fight to Rescue the Looney Tunes Comedy From the Vault
Public and industry pressure eventually forced a reversal. Warner Bros. allowed the filmmakers to shop the project to other distributors. Major players including Netflix, Amazon MGM Studios, and Apple Studios expressed interest in acquiring the rights, according to aol.com. However, negotiations hit a wall when Warner Bros. initially demanded between $75 and $80 million to let the picture go.

The stalemate finally broke in March 2025. While the studio’s corporate maneuver initially sought a quick $30 million tax saving, the project’s unusual public crusade transformed it into an underdog cause celebre across Hollywood.
The narrative parallels the real-world Goliath-versus-David struggle depicted on screen. In the film, Will Forte plays a struggling personal injury attorney operating out of a 1-800 number who takes on the monolithic Acme Corporation on behalf of a perpetually frustrated Wile E. Coyote, voiced by Eric Bauza. The narrative unfolds in an Albuquerque where humans and classic Looney Tunes characters live side by side, featuring an ensemble cast that includes John Cena as Acme’s combative chief legal counsel, alongside Tone Bell, Martha Kelly, Luis Guzmán, P.J. Byrne, and John Early.
What Audiences Can Expect on Opening Night
Reviews of the finished hybrid comedy strike a mixed chord about its sprawling plot. The film also introduces classic favorites like Bugs Bunny and Daffy Duck, though critics note their screen time varies.

Despite narrative stumbles, the core emotional resonance for the cast remains tied to that dark afternoon on the studio lot when a presumed dead film was resurrected by its own creators’ belief. With Ketchup Entertainment now steering the release, audiences will finally get to judge the courtroom battle for themselves.
The theatrical rollout is slated for August 28, 2026.
