Judge sides with PJ - fines NL

[gideon]

hot off the presses
-------------------

Kiwi director Peter Jackson has won the first round in his fight with Hollywood studio New Line Cinema over profits from The Lord of the Rings.


A judge has fined New Line, the film trilogy's financial backer, $US125,000 ($NZ169,000) for failing to turn over court-ordered documents in the case.

The Hollywood Reporter said Jackson's lawyers might also be allowed to inspect New Line's files if the studio did not produce several audits within 21 days.

New Line must also hire an outsider to collect electronic documents, including e-mails, it said.

Jackson sued New Line two years ago over money made, including DVD payments, from the first The Lord of the Rings film, The Fellowship of the Ring.

When Jackson's suit was filed it did not specify the amount of damages sought, but his lawyers later told The New York Times they believed Jackson was underpaid by as much as $US100 million for all three films, which had made more than $US4 billion.

 

[The Ringer]

:chew:chew:chew:chew
Great News!!

 

[Anzik]

all this squabbling over a mere 100 million....

 

[woodsy]

Not looking good for New Lie Cinema and Robert Shaye[dy].

 

[Darth Loki]

Wow, a $125K fine in a $100,000,000 lawsuit.

 

[The Josh]

Good for PJ! This might be why Shaye had a change of hear some in the last bit of news that came out.

 

[wofford29]

I can see it now. Peter Jackson wins lawsuit, and New Line fast tracks a new Hobbit film without PJ directing to pay PJ his money.

 

[tomandshell]

I can see it now. Peter Jackson wins lawsuit, and New Line fast tracks a new Hobbit film without PJ directing to pay PJ his money.

That would be funny.

 

[gideon]

Of course, if NL would rush a HOBBIT sans Jackson, then their economic return would probably be cut seriously. With a Jackson helmed HOBBIT, the have the potential of a $1 billion dollar box office plus a fortune in other side income from merchandising. NL would be following tht old adage about cutting off ones nose to spite your face if they dumped Jackson out of anger.

 

[gideon]

Here is more from the LA Times. Now it looks like NL may actually be engaged in some sort of conspiracy to cover-up and destroy evidence they were ordered to produce by the court!!!!!

--------------------------------------------------

New Line fined in 'Lord of the Rings' court battle

A judge orders the studio to pay $125,000 and hire an outside document retrieval service after evidence in director Peter Jackson's accounting lawsuit isn't produced.
By John Horn, Los Angeles Times Staff Writer
September 21, 2007
Peter Jackson has scored a legal victory in his battle with New Line Cinema over the accounting of the "Lord of the Rings," with a federal magistrate hitting the studio with $125,000 in sanctions for failing to produce potential evidence.

Jackson is suing New Line, contending that he had not received a fair and proper accounting of the first "Lord of the Rings" film's income, including DVD sales and foreign receipts. All told, the "Lord of the Rings" trilogy sold about $3 billion of movie tickets worldwide.

The lawsuit does not specify monetary damages, but is believed potentially to include tens of millions of dollars for Jackson. The lawsuit has driven a wedge between Jackson and New Line, and delayed development of a contemplated New Line-MGM movie based on "The Hobbit," a related novel written by "Lord of the Rings" author J.R.R. Tolkien.

Lawyers for Jackson and New Line did not immediately reply to a request for comment.

In an often angry ruling dated Sept. 18, U.S. Magistrate Judge Stephen J. Hillman found that New Line may have destroyed (or failed to prevent the destruction of) documents and failed to search diligently for documents and e-mails it was required by the court to produce. Hillman recounts any number of examples where the studio's searches were not meaningful or "haphazard." He was particularly critical of how New Line treated e-mails related to the film and its accounting.

"No witness can say with any degree of certainty what individuals searched their own e-mail files or how any of those searches were conducted," the magistrate wrote. Furthermore, he wrote, "New Line did not suspend the automatic deletion of e-mails and other electronic documents as part of a litigation hold; instead, to this day, e-mails continue to be purged from every employee's in-box every thirty days."

Convinced New Line has not and will not scour its electronic records appropriately, Hillman instructed the studio to retain and pay for an outside document retrieval vendor within three weeks. He also said some New Line witnesses may face further depositions to discuss new documents that should have been produced earlier but weren't.

The $125,000 in sanctions is intended to reimburse Jackson's attorneys some of their costs in pursuing the documents. In July 2006, Hillman ordered New Line to produce sales and licensing documents the studio had argued were confidential and proprietary.

[email protected]

 

[Sir Tristram]

I can see it now. Peter Jackson wins lawsuit, and New Line fast tracks a new Hobbit film without PJ directing to pay PJ his money.

My thoughts exactly.

Of course, to solidify New Lines loss, McKellen and Serkis would have to turn down reprising their roles...that would be an instant flop for NLC and The Hobbit!

Wow....Gandalf and Gollum may actually hold the fate in their hands on this one!

 

[KAOSINLA]

This will make PJ"s support stronger and hopefull backing New Line deeper into the corner.

 

[Lembas Eater]

Fascinating stuff!

 

[Darklord Dave]

Disney was accused of the same thing in the Pooh law suit. Studios will do anything to protect their asses(t)s.

 

[Mesa]

I thought this was a done deal, PJ has removed himself from any chance of doing the Hobbit because of bad feelings due to newline and their accounting/auditing of profits.

Hence, the Letter https://www.theonering.net/staticnews/1163993546.html

That's a real shame.

Edit: By "done deal", I don't mean the continuing legal saga, but rather there isn't a chance in Mordor that PJ will do the Hobbit.

 

[tomandshell]

From an interview this spring:

According to the man himself, whatever chances there are seem "remote at this point."

https://www.cinematical.com/2007/05/26/peter-jackson-on-halo-hobbit-and-dambusters/

The November letter was in response to New Line telling PJ that his services would no longer be required. Neither side wanted to talk about working together again until the law suit is behind them. But now New Line has been talking to PJ's reps and there is at least a "remote" chance that he could ultimately direct it.

A remote chance is better than nothing!

 

[Mesa]

From an interview this spring:

https://www.cinematical.com/2007/05/26/peter-jackson-on-halo-hobbit-and-dambusters/

The November letter was in response to New Line telling PJ that his services would no longer be required. Neither side wanted to talk about working together again until the law suit is behind them. But now New Line has been talking to PJ's reps and there is at least a "remote" chance that he could ultimately direct it.

A remote chance is better than nothing!

Good to know, thanks. I would really like to see both parties put this behind themselves. Whatever happens (and of course I'm on PJ's side), I just hope a HOBBIT is made, produced and directed by Peter Jackson. Otherwise, I imagine it will be a major let down. What director would want to attempt to fill PJ's shoes anyways?

 

[Lembas Eater]

Hopefully, this is all just part of the process, things that NEED to happen before THE HOBBIT can get going with both Peter and New Line.

 

[The Ringer]

Good to know, thanks. I would really like to see both parties put this behind themselves. Whatever happens (and of course I'm on PJ's side), I just hope a HOBBIT is made, produced and directed by Peter Jackson. Otherwise, I imagine it will be a major let down. What director would want to attempt to fill PJ's shoes anyways?

No director at all can fill Peter's shoes.

 

[revilal]

Additionally, will WETA get involved if there is no PJ ???