14/11/2017 1:29 PM AEDT | Updated 14/11/2017 1:31 PM AEDT

George Miller Is Suing Warner Bros Over $7 Million 'Mad Max: Fury Road' Bonus

The 'Fury Road' director claims the studio has failed to honour its contractual obligations.

Warner Bros.

It won six Academy Awards and was an instant favourite with audiences and critics, so why hasn't 'Mad Max: Fury Road' had any sequels?

According to the 'Sydney Morning Herald', 'Fury Road' director George Miller is suing Warner Bros. alleging that they reneged on paying his production company, Kennedy Miller Mitchell, a $7 million bonus.

The legal dispute has shelved the future plans for the two follow-up films Miller had planned for his 'Mad Max' universe.

The disagreement lies in the fact that when the film was signed on it was agreed that Kennedy Miller Mitchell would receive a $US7 million bonus if the film's final cost was less than $157 million. While Miller is adamant that he held up his side of the deal, Warner Bros. says the film went over budget, negating the bonus agreement.

Kennedy Miller Mitchell has brought a claim against Warner Bros. for "deceptive and misleading conduct" as they believe they weren't properly informed the additional costs due to changes and delays attributed to decisions made by the studio, not the production company.

Cindy Ord via Getty Images
Miller's production company has brought a claim against Warner Bros. for "misleading and deceptive conduct".

There is also a disagreement when it comes to the financing of the film, with Warner partnering with RatPac Entertainment to assist with financing, however Miller states the studio had a deal with Kennedy Miller Mitchell for a first chance at supplying funding.

Speaking to Fairfax Miller and his partner, Doug Mitchell, said, "we are owed substantial earnings for diligent and painstaking work which spanned over 10 years in development of the script and preparation and three years in production of the movie".

"We would much prefer to be making movies with Warner Bros than litigating with them but, after trying for over a year, we were unable to reach a satisfactory resolution and have now had to resort to a law suit to sort things out."

Warner Bros. released their own statement which simply said, "We disagree and will vigorously defend against these claims".

Polling, News, Analysis
All the latest from the 2020 presidential election from HuffPost reporters in the US and around the world