BONNIE E. ESKENAZI (SBN 11940 1) BEskenaziggfirm.corn ELISABETH A. MORIARTY (SBN 156569) EMoriartyggfirm.corn 2 RICARDO P. CESTERO (SBN 203230) [email protected] GREENBERG GLUSKER FIELDS 3 CLAMAN & MACHTINGER LLP 1900 Avenue of the Stars, 21st Floor I 4 Los Angeles, California 90067-4590 Telephone: 310.553.3610; Fax: 310.553.0687 5 Attorneys for Plaintiffs 6

7 UNITED STATES DISTRICT COURT 8 CENTRAL DISTRICT OF CALIFORNIA I 9 FOURTH AGE LIMITED, a United Kingdom 10 corporation; PRISCILLA MARY ANNE REUEL 1V12 99t- z TOLKIEN, as TRUSTEE OF THE TOLKIEN COMPLAINT FOR: 11 TRUST, a United Kingdom Charitable Trust; THE J.R.R. TOLKIEN ESTATE LIMITED, a United 1) COPYRIGHT U 12 Kingdom corporation; HARPERCOLLINS iNFRINGEMENT; PUBLISHERS, LTD., a United Kingdom 13 corporation; LTNWIN FIYMAN LTD., a United (2) BREACH OF Kingdom corporation; and GEORGE ALLEN & CONTRACT 14 UN WIN (PUBLISHERS) LTD., a United Kingdom corporation, DECLARATORY (3) CL) 15 RELIEF - Gambling Plaintiffs, Games and Downloadable 16 Games; and no 17 (4) DECLARATORY z WARNER BROS. DIGITAL DISTRIBUTION, RELIEF - Trademarks, 18 INC., a division of WARNER BROS. HOME Service Marks and ENTERTAINMENT, INC., a Delaware Services Licensing 19 corporation; WARNER BROS. ENTERTAINMENT, INC., a Delaware REQUEST FOR JURY 20 corporation, as successor-in-interest to New Line TRIAL Cinema Corp.; DEADLINE.comWARNER BROS. CONSUMER 21 PRODUCTS, INC., a Delaware corporation; WARNER BROS. INTERACTIVE 22 ENTERTAINMENT, INC., a division of WARNER BROS. HOME ENTERTAINMENT, 23 INC., a Delaware corporation-NEW LINE PRODUCTIONS, INC.IN-C. a California corporation, 24 THE SAUL ZAENTZ d/b/a Middle- earth Enterprises, a Delaware corporation; and 25 DOES 1-10, inclusive, 26 Defendants. 27 28

84971-00003/1750228.18 COMPLAINT GREENBERG GLUSKER FIELDS CLAMAN & MACHTINGER LLP 1900 Avenue of the Stars, 21st Floor Los Angeles, California 90067-4590 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 8 7 6 5 4 3 2 1

revered asatreasure defendant WarnerBros. Entertainment, one of whichis predecessors-in-interest, States aftertheBible.ProfessorTolkien’s imaginative fiction,andisreportedto widely consideredamong thegreatest Rings Rings 84971-00003/1750228.18 HarperCollins Publishers, Trust; TheJ.R.R.TolkienEstateLi Anne ReuelTolkien,asTrusteeofThe and (c), and §1400(a) because and (c), jurisdiction pursuantto28U.S.C.§1367(a). based upon28U.S.C.§§1331and1338(a), 2201, andtheUnitedStatesC United Kingdom corporation(collectively, a UnitedKingdom corporation;andGeorge business inthisDistrict. jurisdiction inthisDistrictbyvirtueof and may befoundinthis District, andbe inthisJudicial occurred plaintiffs’ claims ” isoneofthemost storyis esteemedliteraryproperties ofalltime.Thisepic andTheHobbit 4. Plaintiffs FourthAgeLi 3. 2. 1.

From 2000to2003(andpursuant toalimited license obtainedbyits This caseinvolves merchandisingrightsin andto Venue inthisJudicialDistrictisproperunder28U.S.C.§§1391(b) This actionarisesundertheDeclar

DEADLINE.com d literaryclassic. . ProfessorJ.R.R.Tolkien’sseminal work“ JURISDICTION ANDVENUE JURISDICTION Ltd., aUnitedKingdom corpor opyright Act,17U.S.C.§§101 mited, aUnitedKingdom cor a substantialpartoftheev INTRODUCTION mited, aUnitedKingdom corporation; be thesecondmost-read bookin theUnited literary worksoftwentiethcentury their residing,transactingand/orsoliciting Tolkien Trust, aUnitedKingdom Charitable Inc., throughitssubsidiary, NewLine defendant The Saul Zaentz Company), defendantTheSaulZaentz Company), cause defendantsaresubjecttopersonal 2 District,oneormore defendantsresides “plaintiffs”)allegeasfollows: The Hobbit Allen &Unwin(Publis and theprinciples ofpendent atory Judgment Act,28U.S.C.§ isequallybelovedand ation; UnwinHyman Ltd., ents givingrisetothe

poration; PriscillaMary et seq The Lordofthe The Lordofthe . Jurisdictionis hers) Limited., a COMPLAINT GREENBERG GLUSKER FIELDS CLAMAN & MACHTINGER LLP 1900 Avenue of the Stars, 21st Floor Los Angeles, California 90067-4590 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 8 7 6 5 4 3 2 1

objects andeventsreferredtoin obtainedthe predecessors-in-interest defendants’ rights.Specifically, merchandising limited predecessors-in-interest Lord oftheRings scheduled tobereleasedinDecember2012,December 2013andJuly2014. Cinema andotheraffiliate 84971-00003/1750228.18 For example, althoughtheir rights towhichtheyare notentitled—rights increasing boldness, engaged inaconti success unprecedented financialandcritical all rightsand/orinterests not specificallyreserved predecessors-in-interest th such asrightsinservices.Toemphasize as electronicordigitalrights,rights inme items, clothing,andthelike).Theydidnot the typeregularlymerchandised atthetime parties thuscontemplated alimited grant other printed publishedmatte and all only uponandinconnectionwiththemanuf film rightsto pictures (the “Films”) basedonTheLordoftheRings demand world-wide. Tolkien’s generated millions ofdollars inrevenue.Goodswhich 5. 7. 6. articles oftangiblepersonal

The LordoftheRings When plaintiffs’predecessors-in-interest soldthefilmrightsto However, in recent years, andpar However, inrecentyears, legitimateTolkien-relatedmerchandisehas,overtheyears, The saleof The Hobbit

DEADLINE.com and TheHobbit and , andthreemotion picturesbasedonTheHobbit d companies, producedand limited merchandising license herein specificallygranted.” r…” (emphasisadded).Theoriginalcontracting andTheHobbit The LordoftheRings in1969,theyalsogranteddefendants’ property, otherthannovels, paperbacksand limited nuing andescalatingpattern ofusurping 3 of therighttosellconsumerproducts dia yettobedevisedorotherintangibles e limited natureofthegrant,plaintiffs’ includeanygrantofexploitations such (such asfigurines,tableware,stationery acture, saleanddistributionof…any of theFilms, have,with defendants right tousethecharacters,places, “the righttoutilizeand/ordisposeof which belongexclusively toplaintiffs. ticularly in the aftermath ofthe ticularly intheaftermath bookscontinue tobehugelyin . Defendantsalsoobtained distributed threemotion andTheHobbit incorporate elementsfrom only givesthemtheright “solelyand COMPLAINT are The GREENBERG GLUSKER FIELDS CLAMAN & MACHTINGER LLP 1900 Avenue of the Stars, 21st Floor Los Angeles, California 90067-4590 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 8 7 6 5 4 3 2 1

to sell 84971-00003/1750228.18 havepainstakinglycultivatedoverthe The damagetothegoodwill thatplaintiffs ashamed ofthemselves,” and“ifthisisn’ Tolkien…[and] isanasty, greedy,ugl rights whichplainlyhavenotbeengrantedtothem. ringtones, online/downloadablegamesandhousingdevelopments—categoriesof Defendants alsohaveasserted physical ortangibleitem ofmerchandisesold channels, orthroughother the Internet,viamobile apps,tableta Lord oftheRings continue todevelop,licenseand/or Rampant arecommentssuchas“Iactuall questionable (anddecidedly consternation atseeing same categories,includingwithoutlimitati and haveregisteredtrademarksand/orfiled “intenttouse”applicationsinthose personalproperty” “articlesoftangible a widevarietyofgoodsandservicesbeyond casinos) featuring characters and storyelementsfrom and casinos) featuringcharacters distribution ofgambling games(bothover excess ofthelimited rights grantedto goodwill generatedbyhisworks.Fans base, causingirreparableharm conduct hasoutraged To defendants’ rights,butthisinfringing only doestheproduction ofgambling gamespatentlyexceedthescopeof defendants (andwhichplaintiffsthemselv Gambling constitutesafurthercategoryofri 8. tangible

To makemattersworse,plaintiffs

DEADLINE.com merchandise,defendants and TheHobbit and The LordoftheRings online interconnectivitysuchas Facebook. Thereisno non-literary) worldofonlineandcasinogambling. toTolkien’slegacyand and continuetoassertthat , availableonlybydownloadingand/oraccessvia sell) downloadablevideogames basedonThe pps orothersimilardigital distribution them,begunlicensingtheproduction and y act…Whoeverisresponsible shouldbe have publiclyexpre have developed,licensed and/orsold(and 4 t prostituting art,Idon’t knowwhatis.” y feelangryaboutthis…this insults es wouldintendnevertoexploit). Not on hotels,restaurants,travelagencies, the Internetandinbrick-and-mortar ghts which have never been granted to beengranted ghts whichhavenever associated with the morally- associatedwiththe tothe consumerwiththesegames. discovered thatde The LordoftheRings reputation andthevaluable they haverights relatingto ssed confusionand lkien’s devotedfan fendants have,in COMPLAINT . GREENBERG GLUSKER FIELDS CLAMAN & MACHTINGER LLP 1900 Avenue of the Stars, 21st Floor Los Angeles, California 90067-4590 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 8 7 6 5 4 3 2 1

categories ofrightsthat havebeenretainedbyplaintiffs. they desire,fortheirownfinancialenrich defendants willunilatera unlimited entitlement toexploit decades ispatent. decades 84971-00003/1750228.18 both withrespectto defendants intendtopursuesimilarextra-c their infringing andwrongfulconduct.To Defendants havemade plaintiffs engagedinlengthysettlement disc to stopthis unlawfulexploitationwithout resorttolitigation. Ingoodfaith, rights. defendants’ progressive usurpation ofpl Plaintiffs didnotbargainfor(northeyobtainanypurchasepricefor) to exploit charitable causesthroughouttheworld, is aregisteredcharityintheUnited Fund, TheDarfurAppeal,AsiaEarthqua and existingunderthelawsofUnited Kingdom. Library fortheBlind, Rebuilding Sri Cancer, Alzheimer’s Society, FoundationforChildrenwithLeukemia, National National Campaign forHomelessPeople(G 11. 9. 10. 13. 12.

The LordoftheRings Plaintiffs havenochoicebutto Plaintiffs neveragreedtograntde Plaintiffs havedoneeverythingin The TolkienTrust,constituted bya Plaintiff FourthAgeLimited (“FourthAge”)isaco

DEADLINE.com The LordoftheRings it abundantlyclearthattheyhavenointentionofceasing lly converttheirnarrowcontractualgrantofrightsintoan or The LordoftheRings THE PARTIES PARTIES THE The Hobbit Kingdom thatbenefits a widerangeof Lanka, WorldCancer ResearchFoundation, which haveincluded aintiffs’ valuableintellectualproperty 5 ke Appeal,TheNiger ment andwithcynicaldisregardofthe ontractual licensingactivityinthefuture, and the contrary,plaintiffsbelievethat seekreliefinthecourts. reat Britain),Breakthrough Breast ussions withdefendants, generallyandinperpetuity. fendants unlimited andinfiniterights The Hobbit. their powertoappealdefendants deed oftrustdatedApril1,1977, and The Hobbit Ifleftunchecked, Save theChildren rporation created rporation created alltonoavail. inanyway COMPLAINT GREENBERG GLUSKER FIELDS CLAMAN & MACHTINGER LLP 1900 Avenue of the Stars, 21st Floor Los Angeles, California 90067-4590 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 8 7 6 5 4 3 2 1

Tolkien Trustandsheisacitizen other worthy causes. World Wildlife Foundation,The PoetryTrus OutreachInformationNetwork, Climate 84971-00003/1750228.18 California. existing underthelaws oftheState division ofWarnerBros. HomeEntertainm defendant WarnerBros.DigitalDistribution, Inc.(“WBDigitalDistribution”)isa Hyman Ltd.andHarperCo (Publishers) Ltd.andUnitedArtists,de to proceedsfromtheJuly8,1969cont Unwin Ltd.andisawhollyownedsubsidia (Publishers) ofname Ltd.isthesuccessor,byway change,ofGeorgeAllen& successors toJ.R.R.Tolkienwithre wholly ownedsubsidiaryofHarperCollin corporation createdandexistingunderth The LordoftheRings HarperCollins istheworldwideexclusiv corporation createdandexistingunde The Hobbit Limited isthesuccessortoJ. and existingunderthelawsofUnite the Rings 14. 18. 15. 17. 16. literarywork.

literarywork. Plaintiff PriscillaMaryAnneRe Plaintiffs areinformed andbelieve,basedthereonallegethat Plaintiffs TheTolkienTrustandFo Plaintiff HarperCollinsPublishers Plaintiff TheJ.R.R.TolkienEstate

DEADLINE.com and The Hobbit llins Publishers,Ltd. R.R. Tolkienwithrespecttohiscopyright interests in nd residentoftheUnitedKingdom. spect tohiscopyrightinterestsin r thelawsofUnitedKingdom. . Plaintiff Unwin Hyman Ltd.isa . PlaintiffUnwinHyman Delaware, doingbusine &Unwin ract betweenGeorgeAllen scribed below,wereassignedtoUnwin d Kingdom. TheJ.R.R.TolkienEstate e licenseeofthebookpublishing rightsin 6 Friends oftheEarthTrust,UNICEF, e lawsoftheUnitedKingdom andisa s. PlaintiffGeorgeAllen&Unwin ent, Inc.,acorporation organized and ry of Unwin Hyman Lt ry ofUnwinHyman t, Performing RightsSocietyandmany uel Tolkien is a Trustee of The uel TolkienisaTrusteeofThe , Ltd. (“HarperCollins”) isa , Ltd.(“HarperCollins”) Limited isacorporationcreated Limited urth Age, and e urth Age, ss inLosAngeles, ach ofthem,are d. Certainrights The Lordof COMPLAINT GREENBERG GLUSKER FIELDS CLAMAN & MACHTINGER LLP 1900 Avenue of the Stars, 21st Floor Los Angeles, California 90067-4590 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 8 7 6 5 4 3 2 1

defendant WarnerBros.InteractiveEntert 84971-00003/1750228.18 defendant NewLine Productions, Inc.(“Ne rights basedonmotion picturesproduced byWarnerBros.Entertainment. Entertainment, engagedinthebusinessof, WBCP thereon allege,that Los Angeles,California.Plaintiffsar organized andexistingunderthelawsof Inc.(“WBCP”) defendant WarnerBros.ConsumerProducts, distributing motion pictures. businessof developing,corporation, previouslyengagedinthe producingand New LineCinemaCorpora based thereonallegethatWarner Bros.Entertainmentisth activities inconnectiontherewith.Plaintiffs pictures, televisionprogramming, anddigita business of, Distribution andWBInteractive,isanen WarnerBros.Entertainment, includingitssubsidiaries,WBDigital allege that Angeles, California.Plaintiffsarefurt and existingunderthelawsofStat parent company ofWBDigitalDistributi defendant WarnerBros.Entertainment,Inc. California. existing underthelawsofState division ofWarnerBros.HomeEntertainm 19. 22. 21. 20.

inter alia,thedevelopment, productionanddistributionofmotion Plaintiffs areinformed andbelieve,basedthereonallegethat Plaintiffs areinformed andbelieve,basedthereonallege, that Plaintiffs areinformed andbelieve,basedthereonallege,that Plaintiffs areinformed andbelieve,basedthereonallegethat

DEADLINE.com isawholly-ownedsubs tion (“New Line Cinema”), a surrendered Delaware Cinema”),a surrendered Delaware tion (“NewLine e furtherinformeda e ofDelaware,doingbusinessinLos Delaware, doingbusine her informed andbelieve,basedthereon 7 the StateofDelaware,doingbusinessin tertainment conglomerate, engagedinthe on andWBInteractive, ainment, Inc. (“WBInteractive”)isa Inc. ainment, inter alia,licensingmerchandising ent, Inc.,acorporationorganized and w LineProductions”) isacorporation (“WarnerBros.Entertainment”) isthe arefurtherinformed andbelieve, l content,aswellvariouslicensing idiary ofWarnerBros. nd believe,andbased e successorininterestto is acorporation ss inLosAngeles, andisorganized COMPLAINT GREENBERG GLUSKER FIELDS CLAMAN & MACHTINGER LLP 1900 Avenue of the Stars, 21st Floor Los Angeles, California 90067-4590 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 8 7 6 5 4 3 2 1

himself anditself, astheagent,empl doing theactsandthings hereinafterallege omissions allegedherein andare fictitiously nameddefendant be thesame.Oninformationand ascertained allege thetruenames and by suchfictitiousnames.Plaintiffswill otherwise, arepresentlyunknowntoplai DOES 1through10, inclusive,whether organized andexistingunderthelawsof 84971-00003/1750228.18 believe, andbasedthereona California. inLosAngeles, place ofbusiness of motion pictures,aswelllicen inthebusinessof, that Zaentzengages California. Plaintiffsarefurtherinformed andbelieve,basedthereonallege principal placeofbusinessinBerkeley,Ca corporation organizedandexistingunderthe defendant TheSaulZaentzCompanyd/b/a Bros.” arecollectivelyreferredtohereinas“Warner and WarnerBros.Entertainment DigitalDistribution,WBInteractive,WBCP Productions, NewLineCinema,WB pictures, aswelllicensingactivities business of, currently awhollyownedsubsidiaryofWa subsidiary ofNewLineCinema prior to 25. 24. 23.

inter alia,thedevelopment, productionanddistributionofmotion Plaintiffs areinformed andbelieve, The true names andcapacitiesof The truenames Plaintiffs areinformed andbelieve,basedthereonallege,that

DEADLINE.com capacities ofsaiddefendantswhenplaintiffs have llege thatNewLineProduc s wasresponsibleinsome liable toplaintiffstherefor. sing activitiesinconnectiontherewith. in connectiontherewith.NewLine inter alia,thedevelopmentandproduction individual, corporate,associateor seek leavetoamend to their complaint its surrender, andNewLineProductionsis ntiffs, whothereforesuesaiddefendants 8 oyee, and/orrepresentative ofeachthe lifornia, doingbusiness inLosAngeles, d, eachdefendantacted individually for rner Bros. Entertainment, engagedinthe Entertainment, rner Bros. Middle-earth Enterprise State ofCalifornia, withitsprincipal Plaintiffs arefurtherinformedand Plaintiffs lief, plaintiffsallegethateachofthe laws of the State of Delaware,withits laws oftheState the defendantsnamedhereinas and basedthereonallege thatin mannerfortheactsand tions wasawhollyowned s (“Zaentz”)isa COMPLAINT GREENBERG GLUSKER FIELDS CLAMAN & MACHTINGER LLP 1900 Avenue of the Stars, 21st Floor Los Angeles, California 90067-4590 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 8 7 6 5 4 3 2 1

Tolkien’s literarywork permeated ourpopular culture.Theinte created intheseliterarywo The languageandloreofMiddle-earth, populated byhisown situationsandevents. imaginary places,scenes,elements, fictional worldofMiddle-earth, inhabitedbyhisown imaginarycharacters and The LordoftheRings been votedthe“Bookof20 distinctive and famousthroughouttheworld. elements places,scenes, and thecharacters, Since theirfirstpublication more than50yearsago, each andeveryotherdefendant. relationship withtheadvanc acting withinthecourseandscopeofsa other defendantsand,indoingthe thingshe 84971-00003/1750228.18 The LiteraryWorks. influential worksin20 different languages andare “The ReturnoftheKing”(collectively,“ Rings,” whichconsistsof“TheFellows Again” (“TheHobbit”) andthethreevol original copyrightowner ofthefantasy University professoratOxford 28. 27. 26. ALLEGATIONS COMMON TO AL TO COMMON ALLEGATIONS

The LordoftheRings Professor Tolkien’sliteraryworkshave J.R.R. Tolkien(1892–1973)was

DEADLINE.com havebeenamong thebest-selli th-century literature. s havehelpedmake rks, havedelightedreadersaroundtheworld andhave widely consideredtobe e knowledge,acquiescenceorsubsequentratificationof th Century”byvariouspublicationsworldwide. andTheHobbit classics “TheHobbit:orThereAndBack hip oftheRing,”“TheTwoTowers”and and thefantasy-realm Professor Tolkien id agency, representation or employment agency,representationoremployment id rnational followingge ume workknownas“TheLordofthe 9 The Lordof theRings . Heistheworld-famous authorand The LordoftheRings , situationsandevents depictedtherein reinafter alleged,e The LordoftheRings a writer,poet,philologist and L CLAIMSFORRELIEF aresetinProfessorTolkien’s amongthemost popularand beentranslatedintonumerous The Hobbit ng fictionalworksofalltime. ach was at all times alltimes ach wasat nerated byProfessor ”). andeachvolume of andTheHobbit hasrepeatedly COMPLAINT , GREENBERG GLUSKER FIELDS CLAMAN & MACHTINGER LLP 1900 Avenue of the Stars, 21st Floor Los Angeles, California 90067-4590 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 8 7 6 5 4 3 2 1

Zaentz’s AcquisitionofFilmand goods andservicesfeaturingthem. The Hobbit reputation anddeveloped famous andvaluablemarks intheworld. associated andproprietary of ProfessorTolkien’sliteraryworks, trademarks and service marks based on andservicemarksbased trademarks 84971-00003/1750228.18 the Rings Lord oftheRings copyrights in heirs andassigns,aretheownersofexcl United States,andallother right to make films basedon Agreements statesthat itisto collectively referredtohereinasthe GAU andUnitedArtists(the“1969 Agre and UnitedArtists(the “1969SassoonAg Lord oftheRings dated asofJuly8,1969regarding, (“United Artists”),enteredintoapair UnitedArtistsCorporation Zaentz’s andWarnerBros.’predecessor-in-interest, Corporation, Ltd.(“Sassoon”)andGeor 31. 30. 29. 33. 32.

and (andassociatedcharact As aresultofplaintiffs’dedicated Plaintiffs owntherights,subject tocertainlicenses,exploit Plaintiffs havecompliedinallresp Under the1969Agreements, UnitedArtistsobtained, SassoonTrusteeandExecutor Plaintiffs’ predecessors-in-interest, The LordoftheRings

DEADLINE.comThe Hobbit and Hobbit-relatedcopyrights. and and TheHobbit and highly valuablegoodwillin . characters, elementsand laws governingcopyright,and, The Lordof theRings begovernedbyNew Yorklaw. . OneoftheseagreementswasbetweenSassoon interalia ers, elementsandmarks)intheproducts, andTheHobbit Limited MerchandisingRightsin “1969 Agreements.”Eachofthe1969 of contemporaneously writtencontracts, The LordoftheRings The LordoftheRings ge Allen&Unwin,Ltd.(“GAU”),and 10 Plaintiffs haveestablishedanexcellent reement”) andtheotherwasbetween usive rightsandprivilegesintothe , certainmotion picture rights in effortsandthephenomenalsuccess ement”). Thesetwoagreementsare ement”). ects withthecopyrightlawsof andagreed,among otherthings, , aswellinandtonumerous marks) areamong themost The LordoftheRings asProfessorTolkien’s and and The Hobbit interalia The Hobbit The Lordof COMPLAINT and (and , the The . GREENBERG GLUSKER FIELDS CLAMAN & MACHTINGER LLP 1900 Avenue of the Stars, 21st Floor Los Angeles, California 90067-4590 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 8 7 6 5 4 3 2 1

executed by theparties),UnitedAr executed by scope ofthelimited merchandisingrights granted underthe1969Agreementsand 20, 1975(the “1975Amendment”). The signed bybothparties.” waivedor modified canbe agreement clause,whichstates, “No Waiver,etc...” and/or disposeof which plaintiffs’predecessors-in-interest 1969 Agreements containabroadandopen-endedreservationofrightsclause,by published matter...” tangible personalproperty and sale connection withthemanufacture, inTheLordoftheRings,“ and eventsreferredto merchandising rights inconnectionwith that UnitedArtistsobtainedthelimited ri GAU underthe1969AgreementandScheduleD. andSassoon ScheduleD.Harper Agreement Fourth Agearethesuccessors-in-inte referred tohereinasthe“Merchandisi to the1969SassoonAgreement(the“S (t GAUAgreement Schedule Dtothe1969 from anyfilms basedupon to payGAUandSassoonatotalof7.5%pa 84971-00003/1750228.18 37. 38. 36. 35. 34.

Paragraph 15oftheMerchandisingAg The MerchandisingAgreements we To underscorethelimitedofrightsbeingconveyed, nature The cruxoftheparties’agreement Further, underScheduleDtoth

DEADLINE.com all rightsand/orinterests not hereinspecificallygranted , otherthannovels,pape The LordoftheRings tists additionallyobtainedcertain rest toSassoonunderthe1969 ng Agreements.” TheTolkienTrustand except byanexpressagreementinwriting assoon ScheduleD”)arecollectively 11 The LordoftheRings inter alia,“Noneoftheterms of this ght to use the characters, places,objects ght tousethecharacters, 1975 Amendment furtherclarifiesthe expressly reserved“therighttoutilize distribution of…anyand all he “GAUSchedule rticipation indefined“GrossReceipts” e 1969Agreements(subsequently Collins isthesuccessor-in-interestto with respecttomerchandisingwas re amendedonorabout October . solely andonlyuponin rbacks andotherprinted reements additionallycontainsa andTheHobbit D”) andScheduleD limited articles of COMPLAINT …” . GREENBERG GLUSKER FIELDS CLAMAN & MACHTINGER LLP 1900 Avenue of the Stars, 21st Floor Los Angeles, California 90067-4590 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 8 7 6 5 4 3 2 1

Warner Bros.’ Acquisition ofLimite Warner Bros.’Acquisition be referredtohereinasth Merchandising Agreements,the1975Ame further amended(the“1981Amendment”). Agreement”). (the “Zaentz/UA andtheMerchandisingAgreements under andpursuanttothe1969Agreements Artists, allofUnitedArtists’right,titleand December 2,1976betweenUnitedArtistsa items oftangibleproperty the partiesalwaysintendedthat agreementsmakeclearthat inthese artwork). Thearticlesspecificallyreferenced using primarilyartworkfrom thefilms andnottheprintedwordoranyother drawing books,posters, stationeryitems, intended tobeincludedinthelimited 19 examples ofthetypes“articles the 1975Amendmentlaysout articles astowhichquestionsmayarisein was intendedto“providege 84971-00003/1750228.18 under theMerchandisingLicense. Lord oftheRings:The ReturnoftheKing” Ring” based on Zaentz underthe1969Agreementsa succeeded tomanyoftherights,interestsandobligations ofUnited Artists and

40. 39. 42. 41. (“Film 1”),“TheLord of The Lordof theRings

In oraboutNovember16,1981,th Thereafter, pursuanttoawrittenagreementandassignment datedasof New LineCinemaultimatelyproducedand distributed threefilms Thereafter, throughaseriesofwr

DEADLINE.com e “Merchandising License.” e “Merchandising neral guidanceindetermining therightsinothersuch the typesoldtoconsumers. severalcategoriesof : “TheLordoftheRi theRings:TheTwo Towers” merchandising rights grantencompass only tangible personalproperty”theparties nd theMerchandisingLicense. d Film-RelatedMerchandisingRights 12 69 merchandising rightsgrant(suchas figurines, calendarsandsimilar items the future.”Inproviding suchguidance, ndment andthe1981Amendmentshall

nd Zaentz,Zaentzac Collectively,the1969Agreements, the interest inandtoTheLordoftheRings (“Film 3”) itten agreements,NewLineCinema e MerchandisingAgreementswere products asillustrative ngs: TheFellowship of the

(collectively, the“Films”).

(“Film 2”),and“The quired from United COMPLAINT GREENBERG GLUSKER FIELDS CLAMAN & MACHTINGER LLP 1900 Avenue of the Stars, 21st Floor Los Angeles, California 90067-4590 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 8 7 6 5 4 3 2 1

and marketing ofthe Online Slots. provide contentandapprovals inconnec based thereonallege,thatde millions inawidespread spamemailcampa plaintiffs’ counselwa thereon allege,thattheemailreceivedby Palace” featuringthe OnlineSlots. Plain a“spa their attorneysbychancereceived players togamble realmoney. Plaintiffs learnedoftheOnlineSlotswhenone an actual,physicalslotmachine,and(invariousjurisdictionsoftheworld)allow and from Film 1(the“OnlineSlots”).Th story elementsfrom thefirstvolumeofProfessorTolkien’s Slot Game,”whichprominently features online slot gameknownasthe“Lordof The UnlawfulOnlineSlots. became whollyownedsubsidiaries about 2008,NewLineCinemaand dollars inlegitimatemerc allege, thattheFilms have Entertainment. Plaintiffsarefurther of dollarsforNewLineCinemaand which, plaintiffsareinformed andbelieve virtuallyunprecedentedcriticalandfinancialsuccess. met with respectively, The threeFilms, releasedfortheatri 84971-00003/1750228.18 47. 46. 44. 43. 45.

Plaintiffs areinformed andbelieve, Upon further investigation, Plaintif fs areinformed andbelieve, and Plaintiffs areinformed andbelieve,a The Films generateda In oraboutSeptember 2010,plaintiffs

DEADLINE.com handising licensingrevenue. handising additionally earnedZaentzandWarnerBros.millions of fendants havepurportedto of Warner Bros. Entertainment. Bros.Entertainment. of Warner reported $6billioninwo cal distributionin 2001,2002and 2003, its parent company, Warner Bros. Warner company, its parent informed andbelieve the Rings:Fellowship oftheRing:Online 13 tion with,thedevelopment, distribution m” emailadvertisin Line Productionsmerged withand/or tiffs areinformed a and uses characters, events, images and and usescharacters,events,images e OnlineSlotsareadigitalsimulation of , andbasedthereonallege,earnedbillions ign usedtoadvertisetheOnlineSlots. and basedthereon nd basedthereonallege,thatinor , forthefirsttime, learnedofan license,andcontinueto , andbasedthereon The LordoftheRings nd believe,andbased rld widerevenueand g an“OnlineCasino s merelyoneoutof allege, thatdue COMPLAINT

GREENBERG GLUSKER FIELDS CLAMAN & MACHTINGER LLP 1900 Avenue of the Stars, 21st Floor Los Angeles, California 90067-4590 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 8 7 6 5 4 3 2 1

to thesuccessofOnlineSlots,defenda 84971-00003/1750228.18 The UnlawfulCasi Lord oftheRings similar virtualgambling defendants alsohavepurportedtolicense categories ofrightsgranted todefenda defendants purportedtolicensetheright Plaintiffsareinformedand Machine”). andim events featuring thecharacters, approvals inconnectionwith,aLordoftheRings- These discussionswere unsuccessful. plaintiffs engagedinextensiveanddetaile d settlement withdefendants. discussions and adirectinfringementofplaintiffs’rights inandto such licensingactivitiesconstitutedamateri License. Plai pursuant totheMerchandising with theOnlineSlotsorCasinoSlotM defendants onwrittennoticethatanypurpo Casino SlotMachinetoWMSGaming, In casino, bylogging into awebsiteovertheInternet. with thecontentfeaturedonCasinoSl allowspl feature oftheCasinoSlotMachine Machine tocasinosacrossthewo distributed, andcontinuestomanufacture,licensedistribute theCasinoSlot 48. 52. 51. 50. 49.

Plaintiffs areinformed andbelieve,basedthereonallege,that Not onlydotheCasino SlotMachinesthemselves falloutsidethe Promptly after sendingtheirbreachandinfringementnotifications, Shortly afterdiscoveringtheseinfri Plaintiffs areinformed andbelieve,

DEADLINE.com ( The TwoTowers no SlotMachine. games baseduponthetwos rld, includinginCalifornia. and

nts, but defendants are additionally nts, butdefendantsare additionally agery from the work (the “Casino Slot work(the“Casino fromthe agery achines grosslyexceeded theirrights achines believe, andbasedth 14 The Return oftheKing The Return , andcontinueto ot Machine once a player has left the ot Machineonceaplayerhasleft c., which, in turn, has licensed and c., which,inturn,haslicensed nts maycurrentlybeworkingto develop develop,manufacture rted licensingactivityinconnection al breachoftheMerchandisingLicense ntiffs furtherinformeddefendantsthat ayers to continue to view and interact ayers tocontinueviewand nging activities,plaintiffsput and basedthereon themed casinoslotmachine, ubsequent volumes in The LordoftheRings provide contentand ereon allege,that ereon ) and anddistributethe allege, thatone The Hobbit COMPLAINT The . . GREENBERG GLUSKER FIELDS CLAMAN & MACHTINGER LLP 1900 Avenue of the Stars, 21st Floor Los Angeles, California 90067-4590 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 8 7 6 5 4 3 2 1

Machines toprovidegambling servicesto authorizing, incitingand/orencouragingthepurchaserorlesseesoftheCasinoSlot 84971-00003/1750228.18 Trademarks The Unlawful Downloadable-Only (Non-gambling) VideoGames. purpose otherthantofacilitatethesegambling services. of plaintiffs’rights: theCasinoSlot whatever manneritdesires. Tothecont infinite rightstoexploit licensed, sold,distributedand/or that defendantshave,withoutauthorizati asiPadsandtablets. internet-connected TVsandotherportabledevicessuch networks suchasFacebook,throughmob variety ofdigitalplatforms including do acquired digitallybywayofelectronic Rings sold, distributed and/or marketed defendants have,withoutauthor The Unlawful Exploitati unauthorized andaninfringementofplainti merchandise. Defendants’ articles oftangiblepersonal Merchandising Licenseonlygives Warner only video games(the“Dow are likewiseaccessibleonlyonlinea , thatdonotrequireanytangiblephysicalpurchase,butcansimply be 56. 54. 53. 55.

The MerchandisingLicense does Plaintiffs arefurtherinformed a Plaintiffs areinformed andbelieve,basedthereonallegethat Defendants donothave rightsto suchonline and/ordownloadable- .

DEADLINE.com The LordoftheRings on ofServicesLicens exploitationoftheDownloadableGames is property. TheDownloadableGamesarenot tangible nloadable Games”).Thegrantofrights inthe ization from plaintiffstodoso,developed,licensed, marketed video gamesbasedon a seriesofvideogamesbasedon Machines are manufactured fornoother aremanufactured Machines nd/or throughdigital download. without limitation inbrowsers,onsocial rary, ZaentzandWarner Bros.haveonly 15 on from plaintiffstodoso,developed, ile phonesandsmart phoneapplications, wnload and/or accessed online, througha wnload and/oraccessed the generalpublicinfurtherinfringement Bros. and Zaentz the right to create righttocreate Zaentzthe Bros. and ffs’ valuable intellectual propertyrights. nd believe,andbasedthereonallege or not giveZaentzunlimited and ing, Service Marks and ing, ServiceMarksand The Hobbit generallyandin The Hobbit The Lordofthe

COMPLAINT that that GREENBERG GLUSKER FIELDS CLAMAN & MACHTINGER LLP 1900 Avenue of the Stars, 21st Floor Los Angeles, California 90067-4590 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 8 7 6 5 4 3 2 1

expressly beencarvedoutofall negotia publications. Zaentz hasunlawfullyregist fromrelationship inthelate1960s—printed theveryinception oftheparties’ substantive merchandisingrigh limited merchandisingrights andtheirtrademark rightsmust strictlytracktheir 84971-00003/1750228.18 excluding Plaintiffsfrom registeringtheirow International Class16 (paper developments andcasinogambling. licensing suchastravel rights extendtointangibleitemssuchas example, defendantshaveta services wellbeyondthelimited intheMerchandisingLicense.For grantcontained defendants contendthattheyhaveobtai merchandising andtrademarkrightsto“ar Merchandising License. services whichplainly havenotbeenlicensedtoZaentzexploitunderthe Zaentz’s registeringtrademarks andserv boundaries oftherightsgrant.One graduallyexploitation reservedtotheplaintiffs, erodingthedefinedcontractual begun toexpanditstrademark program to by ProfessorTolkienhimself. of themarks) from exercisingtheir ownsupe and must refrainfromregisteringmarksthat legitimate rightstoexploitTheLordoftheRings defendants canonlyregistermarks inthecategorieswhichtheyhaveobtained 59. 58. 57.

ached ontheoneareaof evenencro Zaentz has Additionally, despiteexpresscont In spiteoftheserestrictions,Zaen

DEADLINE.com agencies, hotels,restaurants,theme parks,housing ken theposition thattheirmerchandising andtrademark goodsandprintedmatter), withtheeffecttherebyof ts undertheMerchandisingLi example ofsuchencroachmentinvolves ned rightsin abroadarrayofgoodsand tions andagreements downloadable gamesandtoservices downloadable 16 ice marksforawidevarietyofgoodsand encroachuponareasofmerchandise ticles oftangiblepersonalproperty,” ered as the owneroftrademarksin ered as preclude plaintiffs(therightfulowners rior rightsinthemarksmadefamous n legitimatetrademarks inthatclass. tz has,slowlyandconsistently, ractual languagelimiting defendants’ and TheHobbit and merchandisingthat has cense. Inotherwords, between theparties merchandising, COMPLAINT GREENBERG GLUSKER FIELDS CLAMAN & MACHTINGER LLP 1900 Avenue of the Stars, 21st Floor Los Angeles, California 90067-4590 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 8 7 6 5 4 3 2 1

intentionally violatedplaintiffs’rights. undertaking theconductcomplained ofin trademark andservicelicensingactivity suggest thattheycanandwillcontinue limitation) downloadabledigitalgames and goods andservicestowhichtheyhadneverbeengrantedrights,including(without of theRings Downloadable Games, and/orbyauthorizing, inducing, participating,causing or Hobbit exhibiting, andotherwise Rings and allotherlawsgoverningcopyrightin Plaintiffs havecompliedinallrespectswith thecopyrightlawsofUnitedStates, such activities,butalsothattheynowclai gambling activitiesthattheyasserted,notonl no avail.Indeed,itwasonlyuponplainti litigation, includingengaginginsettlementdiscussionssincethefallof2010,allto to appealdefendantscurtail this 84971-00003/1750228.18 of theRings herein. allegations containedinparagraphs1 andTheHobbit 61. 64. 60. 63. 62. inconnectionwiththe OnlineSlots, (Against allDefendantsandDoes

and and Plaintiffs areinformed andbelieve, Defendants haveinfringedpl These aremerelyexamples.Plainti Plaintiffs aretheexcl and Plaintiffs repeatandreallege,

DEADLINE.com The Hobbit The Hobbit by,withoutlimitation, reproducing,distributing, adapting, FIRST CLAIMFORRELIEF exploiting portionsof The Lordofthe Rings . (including the rightsinfringed bydefendants). usive ownersofthecopyrightsinandto unlawful exploitationwithoutresortto through 61,above,asthoughfully setforth topursuesimilarextra-contractual 17 in thefuture,bothwithrespectto ffs’ vehementlyobjectingtodefendants’ thisaction,defendantsknowingly and med widevarietiesof The LordoftheRings aintiffs’ copyrightsin 1-5forCopyrightInfringement) a varietyofservices.Defendantsnow the Casino Slot Machine, and/or the SlotMachine,and/or the Casino y thattheyfullyintendedtocontinue incorporate herein byreference,the incorporate herein ffs have takenallreasonablesteps and basedthereonallege,thatin othercategoriesof andTheHobbit The Lordofthe and The and COMPLAINT The Lord The Lord . GREENBERG GLUSKER FIELDS CLAMAN & MACHTINGER LLP 1900 Avenue of the Stars, 21st Floor Los Angeles, California 90067-4590 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 8 7 6 5 4 3 2 1

Casino SlotMachineand/or consent toexploit materially contributing tothefo 84971-00003/1750228.18 pursuant to17U.S.C. §505. pursuing thisaction, which plaintiffsareentitledtorecover fromdefendants and/or their licensees. and/or theirlicensees. Lord oftheRings defendants’ infringingacts Rings preventing defendantsfrom infringingplaintiffs’copyrightsin no adequateremedyatlaw.Plaintiffs plaintiffs whichcannotbefully compensated bymonetarydamages. infringement oftheircopyrights. plaintiffs reservetheright activities, allofwhichshoul profits,gainsor willreceive received or plaintiffs areinformed andbelieve,ba informed andbelieve,basedthereona damage inan amounttobedetermined acco as allegedabove,plaintiffs knowingly. Rings andTheHobbit andTheHobbit 65. 69. 66. 68. 67.

At notimediddefendantsseekorobtainplaintiffs’permission or Plaintiffs haveincurredandwillcontinue toincurattorneys’fees in Plaintiffs areinformed andbelieve,basedthereonallegethat Defendants’ infringement ofplaintiffs’ copyrightsin As adirectandproximate resultof

DEADLINE.com and TheHobbit and The LordoftheRings , andrecallingfrom the market has causedandwillcontinueto to seekstatutorydamages fordefendants’intentional havesufferedandwillcon were, andcontinuetobe d bedisgorged toplaintiffs.Inthealternative, the DownloadableGames. regoing, withknowledgethereof. thathavebeenmadeor are thereforeentitledtoinjunctiverelief other benefits from their infringing otherbenefitsfromtheir 18 and/or llege exceeds$80million. Furthermore, sed thereonallege,th rding to proof,butwhichplaintiffsare defendants’copyrightinfringement The Hobbit , committedwillfullyand allunauthorizedusesof causeirreparableharm to tinue tosufferinjuryand authorizedbydefendants intheOnlineSlots, The Lordofthe at defendantshave The Lordofthe Plaintiffshave COMPLAINT The GREENBERG GLUSKER FIELDS CLAMAN & MACHTINGER LLP 1900 Avenue of the Stars, 21st Floor Los Angeles, California 90067-4590 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 8 7 6 5 4 3 2 1

repeatedly breached thecovenantofgood breached repeatedly Warner Bros. Entertainment,throughthei Warner Bros. throughtheirpredecesso License, plaintiffs, 84971-00003/1750228.18 licensing and/orexploitation of registration, exploitation,and/oruseof the CasinoSlotMachine,Downlo the MerchandisingLicense,inconnection with, without limitation, theOnlineSlots, of conduct whichfarexceedsthescopeof repudiated theMerchandisingLicenseby,am performed ontheirpartundertheMerchandising License. frustrating, orinjuringplaintiffs’ relationship, andwouldre in goodfaithanddealfairlywithplain Zaentzan Licensethat the Merchandising herein. allegations containedinparagraphs1 and The Hobbit merchandising rights inconnectionwith The Hobbit (Against WarnerBros.Entertainment, 75. 74. 73. 72. 71. 70.

. Moreover, Zaentz and WarnerBr Moreover, Zaentzand Zaentz andWarnerBros.Entertainm Plaintiffs havefullyperformed all Further, therewasata As setforthindetailabove,pursuan and Plaintiffs repeatandreallege,

DEADLINE.com ashereinabovealleged. SECOND CLAIMFORRELIEF frain from conductthatwoul services in connectionwith services in rights undertheMerchandisingLicense. ll times relevant herein, Contract) adable Games,and/ortheimproper through 69,above,asthoughfully setforth tiffs inallaspectsoftheircontractual service marks and trademarks, and/or the service marksandtrademarks,and/or 19 The LordoftheRings r predecessors-in-inte d WarnerBros.Entertainmentwouldact faith andfairdealing containedinthe the limited rightsgranted tothemunder Zaentz andDoes6-10ForBreachof rs-in-interest, granted toZaentzand rs-in-interest, granted ong otherthings,engagingin acourse os. Entertainmentalso have incorporate herein byreference,the incorporate herein duties andobligations required tobe t totheterms oftheMerchandising ent havemateriallybreachedand d resultindestroying, an impliedcovenantin The LordoftheRings andtheFilms, and rest, certainlimited COMPLAINT

GREENBERG GLUSKER FIELDS CLAMAN & MACHTINGER LLP 1900 Avenue of the Stars, 21st Floor Los Angeles, California 90067-4590 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 8 7 6 5 4 3 2 1

and/or otherwiseexploit(a)gambling gamesbasedon between thepartiesastowhetherright Zaentz andWarnerBros.Entertainm on thatbasisallegeexceeds$80million. determined accordingtoproof,butwhich Entertainment’s actsofbreach,plaintiffsha rights grantedtothemundertheterms of Merchandising Licenseby,among otherthi 84971-00003/1750228.18 have deprivedplaintiffs ofthebene in numerous otherwrongfulactsandomissions asallegedhereinabove,allofwhich downloadable-only vide The Hobbit plaintiffs’ copyrights in advertisement, distribution and/or otherexploitationconstitutes aninfringementof the MerchandisingLicense and,therefore, merchandising rights grantedtoWarnerBros channels (suchastheDownloadable tablet such as,forexample,mobileapps, available forplayonly viatheInternetordownloadthroughdigitalplatforms herein. allegations containedinparagraphs1 (Against allDefendants 76. 78. 77.

Downloadable GamesBeyondScopeofMerchandisingLicense) (suchastheOnlineSlotsandCasinoSlotMachine)(b)digital, As adirectandproximate result By reasonoftheforegoingfacts, and Plaintiffs repeatandreallege,

DEADLINE.com o gamesbasedon The LordoftheRings THIRD CLAIMFORRELIEF

for DeclaratoryJudgment –GamblingGamesand fits oftheMerchandising License. Games)isbeyondthescopeof ent continue their acts of breach. ent continuetheiractsof through 76,above,asthoughfully setforth 20 theMerchandisingLi apps orother similar digitaldistribution Plaintiffs’ damageswillonlyincreaseif plaintiffs are informed and believe, and plaintiffs areinformedandbelieve, whethersuchdevelopment, production, The LordoftheRings to develop,produce,advertise,distribute ngs, exceedingthescopeoflimited ve beendamaged todateinasum tobe . andZaentzpursuanttotheterms of of Zaentz’s andWarnerBros. of Zaentz’s andTheHobbit an actualcontroversyhasarisen incorporate herein byreference,the incorporate herein The LordoftheRings . Plaintiffscontend, cense andengaging andTheHobbit COMPLAINT and/or , GREENBERG GLUSKER FIELDS CLAMAN & MACHTINGER LLP 1900 Avenue of the Stars, 21st Floor Los Angeles, California 90067-4590 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 8 7 6 5 4 3 2 1

distribution and/orother exploitati and defendantsdispute,thatsuchdevelopment,production,advertisement, 84971-00003/1750228.18 that: plaintiffs requestadeclaration respective rights andotherlegal declaration ofthisCourtundertheprovisi Judgment Act,28U.S.C.§2201.Accord between theplaintiffsanddefendants constitutes aninfringementofpl development, production,a merchandising rights grantedundertheMercha and The Hobbit 79.

b. a.

distribution and/or other exploitation constitutes an infringementof production, advertisement,therefore, thatsuchdevelopment, andZaentzpursuant Warner Bros. Downloadable Games),isbeyondthescope oftherightsgranted to Lord oftheRings exploit downloadable-only/online the rightto develop,produce,adve exploit gambling gamesbasedon therighttodevelop,produce,adve In viewoftheforegoing, anactualcontroversyhasarisenandexists damages injunctiverelief;and aswellpermanent to exploitation constitutesaninfringement ofplaintiffs’copyrightsinand such development, production,adver and Zaentzpursuant totheMerchandisi Machine), isbeyondthescopeof Hobbit (including,withoutlimitation, theOnlineSlotsandCasinoSlot

DEADLINE.comThe LordoftheRings . dvertisement, distribution and/orotherexploitation and/or aintiffs’ copyrightsinandto relations ofplaintiffsanddefendants.Inparticular, on isbeyondthe scopeofthelimited and/or The Hobbit within the meaning of the Declaratory within themeaningofDeclaratory 21 ingly, plaintiffs hereby request a ons of28U.S.C.§2201,settingforththe The Hobbit /digital videoga The LordoftheRings ndising License,and,therefore,such rtise, distribute and/orotherwise to theMerchandising Licenseand, rtise, distribute and/orotherwise (including,withoutlimitation, the tisement, distribution and/orother rights grantedtoWarnerBros. ng License and, therefore, that ng Licenseand,therefore, , entitlingplaintiffsto The Lordof theRings mes basedon and/or COMPLAINT The The

GREENBERG GLUSKER FIELDS CLAMAN & MACHTINGER LLP 1900 Avenue of the Stars, 21st Floor Los Angeles, California 90067-4590 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 8 7 6 5 4 3 2 1

84971-00003/1750228.18 developments,” casino ga example, “hotels,restaurants,travel defendants havebroad defined intheMerchandisingLicense) substantive rightstolicenseothers to example, defendantscontend, and/or filed “intentto use”applications Merchandising License,andha broad arrayofgoodsandse Merchandising License. service markregistrations whichfa used (and/orassertedtherighttouse), manufacture andsellpursuantto the MerchandisingLicense. property” —andonlythosearticlesforwh in connectionwiththemanufac being licensedtoZaentzand/orWarnerBros herein. allegations containedinparagraphs1 (Against allDefendantsforDeclaratory 80. 83. 82. 81.

relief. Hobbit, entitlingplaintiffs todamages plaintiffs’ copyrightsinandto Plaintiffs repeat and reallege, and Plaintiffs repeatandreallege, Additionally, theyhaveobtainedrights defendantscontendthat ina Without anyauthorization todoso,defendantshave fromplaintiffs The MerchandisingLicensemakes

DEADLINE.com Service MarksandServicesLicensingActivity) merchandising rights insuchgoodsand/or servicesas,for FOURTH CLAIMFORRELIEF mbling andonline/downloada rvices wellbeyondthe limited grantcontainedinthe andPlaintiffsdispute,thattheyhaveobtained ve registeredtrademarksand/orservicemarks ture and sale of those “articles oftangiblepersonal ture andsaleofthose“articles ll outsidetherightsgrantedunder agencies, ringtones,online gamesandhousing usethe“NameandSubjectMarks”(as through 79,above,asthoughfully setforth applied forand/orreceivedtrademarkand in suchcategories.Merelybywayof 22 Judgment –Extra-ContractualTrademark, association withservices,andthat The LordoftheRings . are strictly limited totrademarksused . arestrictlylimited ich theyhavebeengiventherightto incorporate herein byreference,the incorporate herein clear thatthetrademarkrights clear as wellpermanentinjunctive ble videogames. and/or COMPLAINT The GREENBERG GLUSKER FIELDS CLAMAN & MACHTINGER LLP 1900 Avenue of the Stars, 21st Floor Los Angeles, California 90067-4590 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 8 7 6 5 4 3 2 1

In particular, plaintiffs requestthefollowing declarations: respective rights andotherlega declaration ofthisCourtundertheprovisi Judgment Act,28U.S.C. §2201.Accord between theplaintiffsanddefendants between thepartiesasto: 84971-00003/1750228.18 Lord oftheRings constitutes aninfringementofplaintiffs’intellectualpropertyrightsinandto advertisement, distribution and/orothe under theMerchandisingLicense,and,ther property rights isbeyondthescopeof registration orattemptedregi 86. 85. 84.

a. b. a.

in anycategories,nor theabilityto That defendantsdonot havetheright In viewoftheforegoing, anactualcontroversyhasarisenandexists Lord oftheRings what isthescopeandextentofdefe to thetermsofMerchandisingLicense;and merchandising rights grantedtoWarner The LordoftheRings amusement, themeparksand/orcasinogambling) inconnectionwith educational services,parties,fes ringtones, online/downloadable (including withoutlimitation hotels,restaurants,travelagencies, ability toregister,useorexplo whether therighttolicenseorexploi By reasonoftheforegoingfacts, Plaintiffs contend,anddefendants

DEADLINE.com and/or The Hobbit stration, orotherexploitation ofPlaintiffs’intellectual and/or l relationsofplaintiffsandWarnerBros. Zaentz. and/or . Hobbit-related trademarks. within the meaning of the Declaratory within themeaningofDeclaratory the limited merchandisingrights granted r exploitationasde 23 ingly, plaintiffs hereby request a ons of28U.S.C.§2201,settingforththe The Hobbit efore, suchdevelopment,production, it servicemarksinanycategories games, housingdevelopments, tivals andculturalactivitiesand/or an actualcontroversyhasarisen dispute, that such license, use, dispute, thatsuchlicense,use, register, use or exploit service register,useorexploit ndants’ rightsto registerand/oruse t services in any categories, orthe categories, t servicesinany to licenseorexploit any services Bros.and/orZaentzpursuant , isbeyondthescopeof scribed hereinabove COMPLAINT The GREENBERG GLUSKER FIELDS CLAMAN & MACHTINGER LLP 1900 Avenue of the Stars, 21st Floor Los Angeles, California 90067-4590 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 8 7 6 5 4 3 2 1

Entertainment’s breachoftheMerchandising License: the parties may ascertain thei the partiesmayascertain infringement ofplaintiffs’copyrightsin 84971-00003/1750228.18 WHEREFORE,plaintiffspray 2. 87. 1.

b. a.

c. b. a. b.

For interestatthemaximum rate. legal believe exceed$80million; and For damagesaccordingtoproofbut On theSecondClaimforRelief, For plaintiffs’reasonableattorneys’fees. believe exceeds$80million, orinth For damagesaccordingtoproofbut and For permanent injunctiverelieftobe a isnecessary A judicialdeclaration Hobbit-related marks. they relatetotheregistrationand/oruseof respective rights andobligationsunde Plaintiffs furtherdesireajudici On theFirstClaimforRelief,fo injunctive relief;and and/or marks inanycategoriesconnectionwith valuable intellectualpropertyrightsinandto described hereinabove constitutes aninfringementofplaintiffs’ and/or

DEADLINE.com The Hobbit The Hobbit PRAYER FORRELIEF r respectiverightsandduties. , entitlingplaintiffs todama , and,therefore,thatdefendants’conductas forjudgment asfollows: 24 The LordoftheRings al determination ofthe parties’ r defendants’knowingandwillful for Zaentz’sandWarnerBros. nd appropriate atthis timesothat nd appropriate which plaintiffsareinformedand which plaintiffsareinformedand e alternative,statutorydamages; determined bytheCourtattrial; r theMerchandisingLicenseas Lord oftheRings The LordoftheRings The LordoftheRings ges aswellpermanent andTheHobbit COMPLAINT and/or

:

GREENBERG GLUSKER FIELDS CLAMAN & MACHTINGER LLP 1900 Avenue of the Stars, 21st Floor Los Angeles, California 90067-4590 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 8 7 6 5 4 3 2 1

\\\\\ \\\\\ 84971-00003/1750228.18 5. 4. 3.

a. a. b. c. b. a.

For plaintiffs’ costsof suitherein;and exploit servicemarksinany exploit anyservicesincategories, For adeclarationthatdefendantsdonothavetherighttolicenseor marks and/ortheabilitytolicenseorexploit services. of rela Licenseasthey the Merchandising for adeclarationofthe parties’respectiverightsandobligationsunder On AllClaims forRelief: the Rings On theFourthClaimforrelief: of TheRings constitutes aninfringementofpl The Hobbit only/online/digital video games basedon advertisement, distribution and/orother exploitationofdownloadable- for adeclarationthatdefendants’ development,production, of TheRings constitutes aninfringementofpl without limitation, theOnlineSlotsandCasinoSlotMachine), games basedon advertisement, distribution and/orother exploitationofgambling for adeclarationthatdefendants’ development,production, Merchandising License; for adeclarationofthe parties’rights regardingthescopeof On the Third Claim for Relief: for Claim On theThird

DEADLINE.com Lord oftheRings and/or (including,withoutlimitation, and/or and/or The LordoftheRings The Hobbit and/or The Hobbit The Hobbit 25 -related trademarks and/orservice Hobbit-related trademarks ; and categories inconnectionwith . ; and aintiffs’ copyrightsinandto aintiffs’ copyrightsandtoin northeabilitytoregister,useor and/or te totheregistrationand/oruse The LordoftheRings theDownloadableGames), The Hobbit (including, The Lordof COMPLAINT The Lord The Lord and/or 1 b. For such other and further relief as the Court may deem just and 2 proper. 3 DATED: November 19, 2012 GREENBERG GLUSKER FIELDS 4 CLAMAN & MACHTINGER LLP 5 6 By: BONNIE E. ES 11940 1) 7 Attorneys' for the Tolkien-related Plaintiffs 8 9 REQUEST FOR JURY TRIAL 10 z Plaintiffs hereby request a jury trial on all issues so triable. 11

0 o (_) 0v 12 DATED: November 19, 2012 GREENBERG GLUSKER FIELDS CLAMAN & MACHTINGER LLP 13 14 By: 15 BONNIE 11940 1) 0 Attorneys for the Tolkien-related 16 Plaintiffs ri CD 0 z 17 18 19 20 DEADLINE.com 21 22 23

25 26 27 28

84971-00003/1750228.18 26 COMPLAINT