The movie adaptation was initially set to be led and produced by Vaughn, 43, reported Deadline.
The reports of cancellation first surfaced just weeks after Hailee Steinfeld was casted to portray Vaughn's daughter in the adaptation.
The movie was set to be directed by Peter Billingsley.
Based on the novel by AJ Lieberman and Nick Thornborrow, 'Term Life' centers on a man whom everybody, wants dead.