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EXHIBIT 10.4

# EMPLOYMENT CONTRACT

THIS
AGREEMENT made as of this 21st day of October 2004, by and between ACME
TELEVISION, LLC, a Delaware Limited Liability Company (ACME) and Edward
Danduran, a resident of Irvine, California (hereinafter Executive).

In
consideration of the mutual covenants contained herein, the parties, intending to be
legally bound, agree as follows:

1.    
          Employment:

|(a) | In accordance with the terms and conditions of this Agreement, Executive agrees
                    to render exclusively to ACME his services as Vice President / Controller and to
                    perform such supervisory or executive duties on behalf of ACME, as may be
                    directed by ACME (referred to herein as Services). Executive agrees
                    to render the Services conscientiously and to the best of Executives
                    ability. Executive shall serve in the same officer capacity for ACMEs
                    affiliates  including ACME Communications, Inc. and ACME Intermediate
                    Holdings, LLC  although his sole compensation for such services shall be
                    as contained herein.
|--- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|(b) | During the term of employment, the Executive agrees that he shall devote his
                    exclusive time and energies to the Services on behalf of ACME as described
                    herein.
|--- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|(c) | Employee is not required to relocate to any location outside of Orange County,
                    California.
|--- | --------------------------------------------------------------------------------------------------------------

2.    
          Term: The term of employment under this agreement shall commence as of
          October 18, 2004, and shall continue through December 31, 2006, unless sooner
          terminated as provided herein.

3.    
          Compensation:

|(a) | Executives
annual salary, so long as Executive remains employed pursuant to this Agreement, shall be
$175,000. The Company, at its sole discretion, shall evaluate the Executives salary
each January 1st and determine if, based on the employees
responsibilities and the Companys performance, there should be any increase in such
annual salary.
|--- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|(b) | In addition, Executive shall be eligible to receive a discretionary annual
                    short-term incentive compensation bonus of up to twenty percent (20%) of his
                    base salary. In determining the Executives bonus for each year, his
                    individual performance and ACMEs achieving of its annual budget shall be
                    taken into consideration. The bonus, if any, and the amount thereof shall be
                    determined by and in the sole discretion of the senior management and/or the
                    Board of Directors or ACMEs Compensation Committee.
|--- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|(c) | Further, Executive shall be eligible to participate in ACMEs established
                    stock option plan. The amount and terms of any option grants may be determined
                    by ACME in its sole discretion.
|--- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|(d) | The Executive shall be provided a major medical plan, four weeks vacation per
               year, and shall be eligible to participate in a 401(k) plan pursuant to the
               terms of the plan adopted by ACME.
|--- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

4.    
          Inability to Perform: In the event of Executives incapacity, after
          a period of 90 days following such incapacity, ACME may, for any period of such
          incapacity or inability to perform, suspend the performance of services
          hereunder, and/or reduce Executives compensation hereunder on a pro rata
          basis and/or ACME may, by so notifying Executive during or within a reasonable
          time after such period of incapacity, terminate this Agreement effective
          immediately with no further liability to Executive. As used herein,
          incapacity shall mean any material, physical, mental or other
          condition which renders Executive incapable of performing his or her duties as a
          key management employee.

5.    
          Restriction on Competition:

|(a) | In consideration of ACMEs entering into this Agreement, Executive agrees
                    that during the period of his employment hereunder, and for a period of 12
                    months after the expiration or earlier termination of this Agreement, Executive
                    will not, on his own account or on behalf of any other person or entity,
                    directly or indirectly: (i) solicit, induce or encourage any person who is an
                    employee of ACME or an affiliate thereof to terminate his or her employment or
                    other contractual relationship with ACME or any of its affiliates; (ii) solicit,
                    induce or encourage any person under contract with ACME or any of its affiliates
                    to discontinue, terminate, cancel or refrain from entering into a renewal of
                    such contractual relationship with ACME or any of its affiliates; or (iii)
                    directly or indirectly own, manage, operate, control, participate in, invest in
                    (other than investments of less then 5% of any publicly traded company) or
                    otherwise be connected with, in any manner, whether as an officer, director,
                    employee, partner, advisor, investor or otherwise, any business entity which
                    owns, manages, operates, controls or is otherwise connected with, in any manner,
                    a television station in any DMA (as defined by Nielsen) then served by a
                    television station then owned by ACME or any of its affiliates.
|--- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|(b) | Executive agrees that the foregoing restrictions are reasonable and necessary
                    to protect and preserve the full economic benefit for which ACME has bargained
                    in this agreement and to protect the legitimate interest of ACME in preserving
                    the relationship which is established between ACME and its other employees.
                    Employee further agrees that the foregoing restrictions are reasonable in all
                    respects, including duration, geographic scope and scope of activity, and are a
                    material part of the consideration passing to ACME pursuant to this agreement.
|--- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|(c) | Executive further agrees that, in the event of a breach by Executive of the
                    restrictions on competition set forth in this paragraph, ACME will suffer
                    irreparable injury that cannot be adequately compensated by monetary damages
                    alone. The Executive agrees that ACME, in lieu of or in addition to the remedy
                    of monetary damages, shall have the right to injunctive relief prohibiting the
                    Executive from breaching the restrictions on competition. The Executive also
                    agrees that the Executive will be fully able to earn an adequate livelihood for
                    the Executive and Executives dependents if the restrictions on competition
                    should be specifically enforced against him.
|--- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|(d) | The period of non-competition referred to herein shall be extended by the
                    length of time during which the Executive shall have been found to be in breach.
|--- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|(e) | The covenants contained in this paragraph shall be construed as agreements
                    independent of any other provisions of this Agreement. The obligations hereunder
                    shall survive the term of this Agreement. The existence of any claim or cause of
                    action by Executive against ACME, whether predicated upon this Agreement or
                    otherwise, shall not constitute a defense to the enforcement by ACME of the
                    covenant against competition.
|--- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

6.    
          Property Rights. Any trade secrets (including customer lists and sales
          information) inventions, improvements, developments or discoveries developed or
          created by Executive (whether alone or with others) during the period of his
          employment and related to the business of ACME (Property), shall
          become the sole and exclusive property of ACME. Executive agrees to execute all
          documents requested by ACME to vest in ACME the entire right, title and interest
          in any such Property, and give ACME all assistance it reasonably requires to
          maintain and protect ACMEs rights therein.

7.    
          Confidentiality. Executive shall maintain on a confidential basis all
          information, knowledge and data relating to or concerned with ACMEs and
          its affiliates operations, sales, business and affairs, and Property and
          he shall not, at any time during the term or hereafter, use, disclose or divulge
          any such information, knowledge, data or Property to any person, firm or
          corporation other than to ACME or its designees, except with the express prior
          written consent of ACME.

8.    
          Termination.

|(a) | ACME shall have the right to terminate this Agreement immediately upon the
                    death of the Executive. In the event of termination upon death of the Executive,
                    ACME shall pay the lesser of six months salary or the salary through the end of
                    the term of the Agreement, to Executives estate.
|--- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|(b) | ACME shall have the right to terminate this Agreement for cause.
                    Cause shall include, without limitation, Executives breach of
                    any material provision of this Agreement; Executives willful or repeated
                    failure to comply with ACMEs policies, rules and procedures as established
                    from time to time; Executives willful or repeated failure to perform
                    assigned responsibilities, or to comply with job instructions received; or any
                    conduct, off duty or on duty, of Executive which, in ACMEs reasonable
                    judgment, may bring public discredit or economic injury to ACME.
|--- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|(c) | ACME shall further have the right to terminate this Agreement without cause in
                    the event that ACME determines that Executives work is unsatisfactory or
                    otherwise does not meet the expectations of ACME. If Executive is terminated
                    pursuant to this provision, then and only then, Executive shall receive
                    severance pay equivalent to ten weeks pay and one additional weeks
                    pay for each year of service with ACME (up to a maximum total of 12 weeks
                    severance).
|--- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|(d) | Nothing in sections (b) and (c) above shall be construed to required ACME to
                    notify the Executive prior to termination of any basis for that Executives
                    Termination or to provide any opportunity for such Executive to cure
                    performance problems.
|--- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|(e) | In the event that ACME terminates Executives employment without cause, or
                    the Executive resigns in connection with a relocation of his position and the
                    corporate office outside Orange County, California, then ACME shall pay to
                    Executive his then current base salary for the shorter period of (a) the
                    remaining term of this agreement or (b) twelve months. Any payments under this
                    section shall be subject to mitigation by Executive.
|--- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

9.    
          Freedom to Contract: Executive represents and warrants that Executive has
          the right to enter into and perform this Agreement, that Executive neither has
          made, nor will make, any contractual or other commitments which would conflict
          with the performance of Executives obligations under this Agreement, and
          that Executive will neither do any acts nor enter into any commitments in
          derogation of the rights granted in this Agreement.

10.    
          Choice of Law: This contract will be construed in accordance with the
          laws of the State of California relating to contracts made and to be fully
          performed therein.

11.    
          Waiver of Breach: A waiver by either party of any term or condition of
          this Agreement in any instance shall not be deemed or construed to be a waiver
          of such term or condition for the future, or any subsequent breach thereof. All
          remedies, rights, undertakings, obligations and agreements contained herein
          shall be cumulative, and none of them shall be in limitation of any other
          remedy, right, undertaking, obligation or agreement.

12.    
          Assignment. It is the intention of the parties hereto that the Executive
          remain employed pursuant to the provisions hereof by any successor of ACME,
          whether by merger, consolidation, acquisition of all or substantially all of the
          business or assets, or otherwise, and ACME shall have the right to assign this
          Agreement to any such successor.

13.    
          Invalid Provision: The invalidity or unenforceability of any particular
          clause, term or provision of this Agreement shall not affect the validity or
          enforceability of any other clause, term or provision hereof. If, in the opinion
          of any court, any clause, term or provision of this Agreement is found to be
          unreasonable or unenforceable, such court shall have the right, power and
          authority to excise or modify such provisions, or portions thereof, as the court
          deems necessary and to enforce the remainder of such clause, term or provision
          as so excised or modified.

14.    
          Notices. Any notices required or permitted to be given under this
          Agreement shall be in writing, and shall be deemed given upon receipt if sent by
          certified or registered mail, return receipt requested, and postage prepaid,
          hand delivered, or via overnight delivery service which provides a receipt. All
          such notices shall be addressed as follows:

|If to ACME:      | Thomas D. Allen
Executive Vice President
2101 E. Fourth St., Suite 202
Santa Ana, CA 92705
|---------------- | ------------------------------------------------------------------------------------------
|If to Executive: | Edward Danduran
19 Rockwren
Irvine, CA 92604                                              

Either
of the parties hereto may at any time change the address to which notice shall be sent by
providing notice to the other party as required hereunder.

15.    
          Entire Agreement. This Agreement comprises the entire understanding of
          the parties hereto with regard to the employment by ACME of Executive, all prior
          negotiations having been incorporated herein. This Agreement may not be modified
          except in writing signed by the party against whom enforcement is sought.

IN
WITNESS WHEREOF, the parties have executed this Agreement as of the date first written
above.

| | EXECUTIVE:/s/Edward G. Danduran
Title:Vice President  &  
  Controller                               
| | -----------------------------------------------------------------------------------------------------
| | ACME TELEVISION, LLC/s/Thomas D. Allen
Title: Executive Vice President  &  
  Chief Financial Officer