The report said noted Hollywood attorney Yale Galanter was hired to reach out to Vivid to make the deal.
Sources told TMZ that Vivid founder and co-chairman Steven Hirsch said the DVDs had already been shipped.
Hirsch said, "It's true that we had several conversations with Mr. Galanter. We would have stopped shipment but it was too late. We continue to have the utmost respect for all involved."
TMZ said Galanter would not confirm nor deny the story.