Particularly in this economy, it can be a quick drop from boom to bust in Hollywood. Film producer Warren Zide has just learned that lesson, joining the many highly successful people who have found it necessary to file for bankruptcy over the years.

Zide, the producer of such hits as the "American Pie" and "Final Destination" series of movies, filed for Chapter 7 bankruptcy earlier this month in Los Angeles. He recently completed the credit counseling required of all individual Chapter 7 filers and has been given notice that he needs to complete a course in financial management.

Zide's bankruptcy filing didn't list his debts individually, but he indicated that his total debt is in the range between $1 million and $10 million. His assets likely include the rights to his popular movie series and other intellectual property. His copyrights, merchandise licensing deals and other sources of income related to the movies he has produced will likely be sold to satisfy his creditors.

The Detroit News reports that Zide, a Michigan native, also owes the State of California $518,630 in back taxes, which are generally not subject to discharge through bankruptcy. The tax debt will be one of the first debts submitted for repayment in the Chapter 7 bankruptcy process, leaving creditors ranking lower in preference to be paid out of what remains.

The 1999 hit "American Pie" was followed by two sequels that were released in theaters and a number of direct-to-video spinoffs. The "Final Destination" series is made up of four movies so far, including 2009's "The Final Destination in 3-D."

Related Resource:

"American Pie Producer Files for Bankruptcy" (Bankruptcy Beat, The Wall Street Journal, August 31, 2010)