Snow White and the Huntsman director will not work on the movie's sequel, according to reports.
Sanders, who admitted to an affair with actress Kristen Stewart in July, will not be involved in the sequel. However, according to Times Live, Twilight star Stewart will star in the next movie.
It has previously been reported Sanders' wife Liberty Ross, who also starred in Snow White and the Huntsman as Stewart's on-screen mother, had banned her husband from being involved in a sequel.
The couple have two children together.
A source told RadarOnline.com: "Liberty let it be known in no uncertain terms that Rupert can't direct the sequel to 'Snow White and the Huntsman'.
Sanders and Stewart each issued public apologies for their affair once it was revealed by a tabloid in July.
Stewart and her Twilight co-star Pattinson, who she dated during the affair, have recently reconciled after a short break.