Hobbit Update

This is a little old but, I thought I'd post something on it anyway. The Tolkien Estate is suing New Line Cinema for its share of the Lord of the Rings movies. The estate reportedly received just $62,500 as an "upfront payment" before production began (Source: http://news.yahoo.com/s/ap/20080211/ap_en_mo/tolkien_lawsuit). The estate was supposed to receive "7.5 percent of the gross receipts." (Source: http://news.yahoo.com/s/ap/20080211/ap_en_mo/tolkien_lawsuit) The estate is suing New Line for more than $150 million. They are also seeking to prevent New Line from making any movies based on other Tolkien works.

Personal Observations: Considering the complaints Peter Jackson and actors/actresses who had parts in the movies about not getting their share of the profits, I can believe New Line was tightwadish enough not to pay these guys. I don't know how they thought they could get away with it. The estate probably isn't hurting for money so they would be able to get the best legal help out there and force New Line to pay them their share. Unless New Line quickly settles with the estate, this will hold up "The Hobbit" and its follow-on for another couple years at least. The good thing about that is that New Line Cinema will lose the rights to "The Hobbit." MGM will most likely buy the rights from Saul Zaentz (who owns them). Also, by the time this lawsuit is settled, Peter Jackson's schedule will be more open and he may be able to direct the two movies himself. Right now, current speculation says Guillermo Del Toro will get to direct the movies though I haven't heard of him signing any contract to do so. As far as I know, his agents are still in talks which may have been put on hold because of this lawsuit. The obvious bad point of this lawsuit is that "The Hobbit" will be held up for a couple more years (groan). One hoped for good point is that the egotistical Bob Shaye, Co-CEO and Co-Chairman of New Line Cinema will be given the boot by the studios parent company Time Warner after this latest fiasco. The tightwad certainly deserves it. Stay tuned for further updates.