No Peace in the Shire: Tolkien Estate Sues for Movie Money

02/14/08

<<Why, you ask? Well, according to the complaint, the Tolkien Trust sold the movie rights in exchange for 7.5% of the royalties. Yet apparently New Line Cinema has paid them a total of $62,000, or the original down payment. Allegedly, New Line has paid not one single solitary red cent since.

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Now, I don't know much about movie making, but it seems to me that if a movie company has grossed around $6 billon, it probably made some profit. So assuming the allegations are true, New Line is going to be in trouble.

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The suit is asking for $150 million in compensatory damages and punitive damages as well. The real kicker is that they are also asking for a court order terminating New Line's rights to make any other movies based on the Tolkien franchise. Since a two-part movie series based on Tolkien's The Hobbit is starting production, such an order would leave that in limbo, upsetting legions of fans.

This is one battle that won't be solved by the King of Gondor riding in and waving his magic sword around — much as New Line Cinema undoubtedly wishes it could be.