There is. You can remove it by the following command in the Terminal:
sudo rm -rf ~/Movies
This should allow for its unhindered removal, but if this still does not work then you can first run the command "sudo su" to drop to the root shell, then run the following command with the modification of "USERNAME" to that for your main account:
rm -rf /Users/USERNAME/Movies
After doing this, close the Terminal or type "exit" to exit from the root shell. You can then recreate the Movies folder in the Finder where it should then be recognized properly. You can then ensure its permissions are set accordingly by rebooting to the OS X installation drive, choosing "Terminal" from the Utilities menu, and then running the command "resetpassword." With this utility, select your account and then choose the option to reset user permissions and ACLs.