After over a year of hard fought litigation, Greenberg Glusker, led by acclaimed entertainment litigator Bonnie Eskenazi, successfully resolved a landmark profit participation case brought on behalf of our clients, the Tolkien Trust (a UK registered charity) and the J.R.R. Tolkien 1967 Discretionary settlement, against New Line Cinema for its failure to pay a contractually required gross profit participation in the three films based on J.R.R. Tolkien’s world-famous literary work “The  Lord of the Rings.” 

The three “Lord of the Rings” films produced by New Line are among the most successful films ever produced, having reportedly grossed nearly $6 billion world-wide.  The complaint, filed in February 2008, sought over $150 million in compensatory damages as well as a declaration that the plaintiffs had the right to terminate the studio’s future rights, which put New Line’s planned release of the upcoming film “The Hobbit” in jeopardy. 

The confidential settlement enables the Tolkien Trust to continue to achieve its philanthropic objectives.  By virtue of the settlement, New Line will now be able to move forward with its film plans for “The Hobbit.”

The Greenberg Glusker attorneys responsible for bringing the matter to its successful conclusion were Bonnie Eskenazi, Elisabeth Moriarty, Ricardo Cestero and Rachel Valadez.