The Tamil Film Producers Council (TFPC) and Film Employees Federation of South India (FEFSI), which have been at loggerheads for quite some time now, leading to non-cooperation in the completion of production work of several movies, have arrived at a compromise pursuant to the appointment of a retired judge of the Madras High Court to mediate their dispute.

Justice P. Dhanabal on Friday (September 12, 2025) disposed of a civil suit filed by TFPC against FEFSI after their advocates Krishna Ravindran and G. Mohanakrishnan presented a joint compromise memo signed by the office-bearers of both the entities in the presence of retired judge M. Govindaraj. The judge directed the Registry to return the court fees of ₹3 lakh to TFPC since the matter had been settled out of court.

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According to the joint compromise memo signed by TFPC president N. Ramasamy, FEFSI president R.K. Selvamani, and a few other office-bearers, the parties had agreed to enter into a fresh Memorandum of Understanding (MoU) with respect to wages and other conditions of work that members of various associations, affiliated with FEFSI, would be entitled to when they get engaged for film work.