NEW YORK ( TheStreet) -- "Twilight" is sinking its fangs into Blockbuster ( BLOAQ.PK), suggesting the movie rental chain should liquidate.

Summit Distribution, the studio behind the "Twilight" movies, said in a court filing that the flailing movie rental chain owes it $9.5 million, and that if Blockbuster doesn't pay up it should file Ch. 7 bankruptcy.

"The debtors informed Summit that the debtors would not pay Summit with respect to products that were shipped post-petition because the debtors lacked the funds to do so," according to the filing.

Blockbuster entered Ch. 11 at the end of September, suffocating under nearly $1 billion in debt.

--Written by Jeanine Poggi in New York.

>To contact the writer of this article, click here: Jeanine Poggi.

>To follow the writer on Twitter, go to http://twitter.com/jpoggi.

>To submit a news tip, send an email to: tips@thestreet.com.

If you liked this article you might like

Blockbuster Tries to Lure Netflix Customers

Blockbuster Tries to Lure Netflix Customers

Dish Has Funny Plans for Blockbuster

Dish Has Funny Plans for Blockbuster

Netflix Dishes About Blockbuster Deal

Netflix Dishes About Blockbuster Deal

Dish Network's Blockbuster Bid Approved

Dish Network's Blockbuster Bid Approved

March Retail Sales: Live Blog

March Retail Sales: Live Blog