'Hate (A Love Story)' is based on the account of a man who sued the church and its founders after members staged a protest at the funeral of his son.
The subsequent legal battle went all the way to the US Supreme Court, which ruled in favour of Westboro Baptist Church on the grounds of free speech.
Director of 'Hate (A Love Story)', Rod Lurie was quoted by Variety magazine as saying: "The first amendment is the first amendment for a reason - our most cherished right.
"But it often creates muddy and uncomfortable situations, ones that are the source of great drama and national self-reflection."
The film will be based on the story of Albert Synder whose son, Marine Lance Corporal Matthew Snyder, was killed while serving in Iraq in 2002.
Members of Westboro Baptist Church arrived at the funeral holding signs which read provocative phrases including "God Hates You".
'Hate (A Love Story)' is being developed by the Los Angeles-based company Branded Pictures Entertainment and is being produced by J. Todd Harris.
It emerged in August that Marc Webb would direct 'This Above All', a film based on the account of Megan Phelps-Roper, a woman who was disowned by her family after leaving Westboro Baptist.
The church became infamous during the mid-2000s for inflammatory pickets targeting American soldiers, homosexual people and others.