THE future of York's only independent cinema, City Screen, could be in doubt if it loses a legal battle worth more than £1 million.

Bradford-based Totty Construction Group Ltd is suing the arthouse cinema for damages in a dispute over work on the former Yorkshire Herald building carried out in 1999.

Totty insists it carried out refurbishment and new build works on the project, and should have been paid a lump sum of £3,152,072, according to a High Court writ just made publicly available.

It is claimed City Screen has refused to pay Totty for extensions of time arising under the contract, and has refused to recognise its true monetary entitlements.

But City Screen, which has 18 outlets across the country, is vigorously opposing the action.

Totty is suing the York cinema for £1,082,479, plus VAT, as well as damages and also seeks declarations over its entitlements to time extensions following the 1999 contract.

Lyn Goleby, City Screen's managing director, said: "This writ is putting the future of the cinema at risk. It couldn't sustain a million pound claim.

"It would be tragic for York."

A spokesman for Totty Construction Ltd said: "Due to the pending legal proceedings it would not be appropriate to comment at this time."

Updated: 09:59 Wednesday, October 13, 2004