Sony +MGM = No Hobbit Movie?

[driver8]

So Sony bought MGM for 5 Billion.. New Line (Owned by Warner) has rights to make Hobbit Movie, but MGM has distribution rights. Warner could have bought MGM but failed.

Is this the end of a PJ Hobbit movie?

Any newshounds got info?

 

[Krieg]

Considering the amount of money to be made on a potential Hobbit project...I am sure the two companies would work things out.

 

[Ranger REG]

Is Sony absorbing MGM, or will it remain a separate business entity (a subsidiary like WotC is to parent company Hasbro)?

Before this, I heard rumor that MGM will both finance the production AND distribution of The Hobbit and that they will lure Peter Jackson, who I believe is not an employed in-house film director for New Line, to direct. After all, it was Peter Jackson who went to New Line and pitched for the LOTR film because MGM and other film studios rejected the proposed film budget. That would be interesting because New Line already negotiated for the US distribution right with MGM during the LOTR production shooting.

From MGM's POV, that is smart business move, let the other studio foot the production bill for LOTR. If they had been a flop, it's no big loss to MGM, who will make more money by showing the film in more than ten countries overseas rather than domestic. But since they've been box office smashes, still more money to them, and since The Hobbit is just one pretty hefty novel, they could just produce just the one film while riding on the LOTR coattail.

 

[Belen]

No one owns the right to the Hobbit as yet. The Tolkien family retains the right to the hobbit. Until Chris Tolkien allows the movie to be made, then movie studios do not matter.

 

[Kid Charlemagne]

I believe the situation is this: New Line owns the rights to make the Hobbit, and MGM owns distribution rights (as a result of the old HObbit cartoon).

I'd be stunned if Peter Jackson shot it for MGM as opposed to New Line. After New Line put their neck out there for him, it would be a poor way to show appreciation. He'll get many, many, millions to make it, no matter how it gets done, if it gets done.

I've heard a lot of vague "Christopher Tolkien won't let them make it" kinds of rumors, but I haven't heard anything specific to indicate he has any control whatsoever over the making of a Hobbit film.

 

[Fiery James]

Is Sony absorbing MGM, or will it remain a separate business entity (a subsidiary like WotC is to parent company Hasbro)?

Oddly enough, I was just talking to my friends at MGM today. They have no idea how it will go down -- Sony was eager to take advantage of MGM's vast catalogue, but they may let them exist on their own, as they do with Columbia/Tri-Star. It would be ironic if Sony finally gets to make a James Bond movie now!

- James

 

[Ranger REG]

No one owns the right to the Hobbit as yet. The Tolkien family retains the right to the hobbit. Until Chris Tolkien allows the movie to be made, then movie studios do not matter.

Actually, the late JRR Tolkien sold film rights of Hobbit and LOTR to Saul Zentz who set up Tolkien Enterprises. The rest of Tolkien works he retained are now being maintained under the trustees of the Tolkien Estate, headed by Christopher Tolkien, who can be tight-fisted when it comes to his and his father's works.

If Chris had a say regarding the film rights, Peter Jackson would not have made the movies.

 

[Ranger REG]

I believe the situation is this: New Line owns the rights to make the Hobbit, and MGM owns distribution rights (as a result of the old HObbit cartoon).

I'd be stunned if Peter Jackson shot it for MGM as opposed to New Line. After New Line put their neck out there for him, it would be a poor way to show appreciation. He'll get many, many, millions to make it, no matter how it gets done, if it gets done.

Appreciation or not, unless New Line have it in their contract with MGM/UA (the one who bought the option to LOTR and Hobbit the way Courtney Solomon bought the film option to D&D) that they have the option to produce the Hobbit film in the future, MGM/UA is pretty much in the clear.

IOW, if there is such a clause, New Line can sue MGM/UA for breach of contract. MGM will have no choice but to fight the suit, settle it, or honor the contract.

What Sony think about all this? I don't know. But if they want MGM to retain both domestic and overseas distribution rights, they opt for the first two options (but more than likely to settle it out-of-court). Remember, New Line have both production and domestic (US) distribution rights to LOTR, and if there is such a clause, they'd have the same rights applied to the future Hobbit film as well.

I've heard a lot of vague "Christopher Tolkien won't let them make it" kinds of rumors, but I haven't heard anything specific to indicate he has any control whatsoever over the making of a Hobbit film.

He has no control over the film right since he's not part of Tolkien Enterprises. Of course, he also make no show of support for the films.

 

[Ranger REG]

Oddly enough, I was just talking to my friends at MGM today. They have no idea how it will go down -- Sony was eager to take advantage of MGM's vast catalogue, but they may let them exist on their own, as they do with Columbia/Tri-Star. It would be ironic if Sony finally gets to make a James Bond movie now!

I guess we won't know for sure as after the acquisition there will be a transition period.

I guess it is ironic from MGM's POV. But Sony will consider it sweet revenge. But I'm not interested in James Bond films anymore.

I'm a lot more concerned about the fate of the Hobbit.

 

[Kid Charlemagne]

Appreciation or not, unless New Line have it in their contract with MGM/UA (the one who bought the option to LOTR and Hobbits the way Courtney Solomon bought the film option to D&D) that they have the option to produce the Hobbits film in the future, MGM/UA is pretty much in the clear.

I'm not aware of any contract between MGM and New Line. New Line bought the rights to the Lord of the Rings from Saul Zaentz. New Line owns the rights to film the Hobbit. Period, to my knowledge.

They just can't show it to anyone, because MGM owns those rights.

What Sony think about all this? I don't know. But if they want MGM to retain both domestic and overseas distribution rights, they opt for the first two options (but more than likely to settle it out-of-court). Remember, New Line have both production and domestic (US) distribution rights to LOTR, and if there is such a clause, they'd have the same rights applied to the future Hobbit film as well.

Again, there's no clause and no contract. MGM had nothing to do with New Line and Lord of the Rings. Perhaps you are thinking of Miramax, which was the initial partner with Peter Jackson on LoTR?