TCB: Washington isn't one of the states I handle, so I haven't worked with anyone from that theatre. I don't know the specifics of the goings-on, but I can tell you that in the nearly two years I've been there, we've not pulled rights from anyone who's already signed and returned a contract with some sort of deposit, even for a national tour. Not to my knowledge, anyway. What I suspect happened is that the theatre in question applied for the rights, got approval and didn't return their contract in time (they have six weeks to return it to us or they're subject to re-approval). Once an expired contract goes back in for re-approval, we have to send the rights request back to the tour's offices for their approval. As they are "the" national touring company, making them a big money-maker for the authors, we have to defer to their decision as to whether or not an amateur group can produce the show. If they say no, we have to deny the rights.
Like I said, I don't know the specifics of this particular case, but I've seen enough contracts expire to venture a safe guess. I'm sorry they won't be able to go forward with ANNIE and I'm sure the Washington state rep will do her best to help that group find a suitable, family-friendly replacement show.