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New ruling in the Siegel case (with trial dates)

April 4th, 2008
Author Jeff Trexler

Superman

The judge in the Siegel case has issued a new order pertaining to both the Superboy and Superman lawsuits. Click the link for a copy. I’ll have more to say when I finalize my Superboy post, which I began drafting last night.

The order in a nutshell:

–The parties are to spend the next 60 days negotiating a settlement.
–After the 60 days is up, the parties are to file a joint report on what happened.
–If they don’t settle, the trial in the Superman case is scheduled to begin on November 4, 2008.
–The court is setting aside ruling on the remaining issues in the Superboy case, along with setting the Superboy trial dates, until after the Superman trial is over.

This emphasis on settlement is consistent with contemporary court practice, particularly in the Ninth Circuit, which was an innovator in the field. On a personal note, the Circuit judge for whom I clerked, the Hon. D.W. Nelson, pioneered this judicial movement–click here for a guest blog post in which she talks about her experience as a leader in ADR–Alternative Dispute Resolution–as well as her work in spearheading women’s equality in the legal profession.

If you read the order (go ahead–it’s short), you’ll see that it highlights the two issues we’ve focused on as being unresolved: “1) Post-termination alterations to pre-termination derivative works and 2) Mixed use of trademarks and copyright.”

As I was re-reading the judge’s earlier rulings this past week, it became clear that the Superman ruling had changed the landscape considerably for the Superboy case, so much so that I’d decided to make that the subject of its own post. Again, it’s a fascinating issue not only for comics, but anyone whose work involves developing copyrighted and trademarked material.

Note: Cross-posted from here.

 
39 Responses to “New ruling in the Siegel case (with trial dates)”
  1. Dr. Jack Says:

    And the plot thickens.

    Now what, exactly, needs to be settled in the next 60 days?

    I apologize if that’s a dumb question, but with the news of the award to the Siegel family last week I’m unclear as to what’s in need of settling here (as pertains to Superman, that is. Not Superboy). What, precisely, will the trial in November(if no settlement is reached) be about?

  2. Jeff Trexler Says:

    No need to apologize–it’s an important question.

    The decision to recognize the Siegels’ copyright interest is just the beginning. Now the court has to determine how much that is worth.

    The core issues flagged by the judge are the last three from my Miraculous Return post, which I’ve copied below with a little bit of an extra explanation distilled from a yet unpublished post. References are to the text of the most recent Superman opinion.

    Accounting for profits: DC must account to the Siegels, as co-owners, for the profits from Superman material derived from Actions Comics #1–with the exception of derivative works prepared before April 16, 1999. What constitutes a derivative work has not been determined–there is a lot of new material in the Superman franchise. The court also does not resolve the question of what, if anything, the Siegels should be paid for pre-termination derivative works that have in some way been altered since April 16, 1999. (66-68)

    Trademark: The Siegels cannot share in profits purely attributable to Superman trademark rights. However, the court does not determine whether they are entitled to profits from mixed trademark uses that include elements of the Siegels’ copyrighted material. (66-68)

    Superman movies and TV shows: The court does not resolve the issue of Superman profits generated by Warner Brothers Entertainment and Time Warner, Inc. (71) The court ruling calls for “a trial on whether to include the profits generated by DC Comics’ corporate sibling’s [sic] exploitation of the Superman copyright.” (72)

  3. phunengames Says:

    From may point of view and maybe I wrong, I think Time/Warner should bring in the Shuester estate too. Settle everything to 2013. Figure out what the pot is to get the rights and divide it 50 /50 between estates. I this point one estate get way mor than the other would be wrong.

    I doubt this would happen. It is hard for moe to she time Warner being able to come up with something that the Sielge would think is fair and just.

  4. Jeff Trexler Says:

    @phunengames: Done-in-one could certainly reap benefits from a PR perspective. Imagine a press conference with all the relevant parties announcing that this is over, once and for all, to everyone’s (public) satisfaction.

  5. Jason M. Bryant Says:

    Who exactly is the Shuester estate? I thought Joe Shuester didn’t have any kids.

  6. Jeff Trexler Says:

    @Jason Bryant: His nephew, Mark Peary. In the original 304 provision text of the 1976 Act, this was too distant a relation to have termination rights, which is why they’d lapsed before the ‘98 Sonny Bono amendments.

  7. Tim O'Shea Says:

    Jeff, thanks for posting all of this useful information. Until you referred to the 1998 amendments as Sonny Bono’s, I had no idea he was behind them. Could you (or did you already) direct us to some background on Bono’s thinking on these amendments (as a musician I can imagine WHY he would be interested in these matters of course…)

  8. Vinnie Bartilucci Says:

    From Wiki, the unimpeachable source of all knowledge:

    Bono was elected to the U.S. House of Representatives in 1994 to represent California’s 44th District. He was one of twelve co-sponsors of a House bill extending copyright. Although that bill was never voted on in the Senate, a similar Senate bill was passed after his death and named the Sonny Bono Copyright Term Extension Act in his honor.

  9. barry miller Says:

    Since this is the anniversary of Action Comics #1 it would indeed be great PR for this to be settled now. DC of course has to protect their intrest,or Maybe its Time -Warner,but they are stuck with what was done by the Detective Comics/National Periodical Publications so many years ago. Speaking just as a fan for almost 50 years I would love to see this setled .

  10. Roland Baldwin Says:

    This smacks of bitterness. Plain and simple. They should be happy that supermans name has made generations believe in a better tomorrow. The world needs its heroes and this just tarnishes one of its three greatests name.

  11. Chocolate Messiah Says:

    This means the rights for Spider-Man will revert to the actual creators, DC, in 2009, followed by Green Lantern Armor Wars Jim Shooter Axis Ammendment Sonny Bono Cher Initiative Captain Shazam Destro Hama Act in 2010 to give charitable hero rights back to the creators business interests and family heirs of the foreseeable future copyright extension laws quarterly profit margin.

  12. The Mighty Dixon Says:

    Somewhere around twenty plus years ago DC gave this group an generous and unnecessary settlement. Look where that got them. It’s a risk but I would go for all or nothing. If the Siegels won I would simply cease publishing Superman. See where the could get when won the suit. If DC wins I would buy time on TNT right after “The Closer” (Cables tv highest rated program of all time) and celebrate as well as promote new Superman projects.

    I agree this is nothing but bitterness on the part of the Siegels, and in my opinion it something that shouldn’t be rewarded. The company has proven it has been nothing but generous and thankful to Jerry Siege, Jerome Shuster and their respective families in the past. There is a limit however as the people demanding compensation had no contribution to Superman whatsoever, not even to the creators during there time working on Superman.

    I think it’s wrong to ignore the original sales agreement just because no one knew that Superman would last 75 years at the time the original ownership rights were transfered to DC.

  13. Michael Says:

    Jerry Siege must be rolling around in his grave

  14. Kevin Melrose Says:

    Wait … what?

  15. Uncle Stan Says:

    How ironic it would be if DC were to cease using the Superman and replace his role in the DCU with a similar character: Captain Marvel. “Action Comics featuring Captain Marvel”–sounds like cosmic justice.

  16. greeneclipse Says:

    To all the people screaming and crying about how this is nothing but “bitterness” and that WB should put the screws to the siegel and Shuster estates, I just have to ask…do you realize that WB’s ownership of the copyright EXPIRED?!? And that by law, the Siegels and soon the Shusters are LEGALLY ENTITLED to get that copyright back? Or are we just so selfish and petty that we think the estates of the creators shouldn’t be allowed to exercise their legal rights to the property?

    The Siegels and Shusters are well within their rights to claim the copyright. For the “fans” to castigate them for doing so and to demand they be punished is uncalled for. What do you want, them to either be denied their legal rights or for tem to just pretend they don’t have them to begin with? True Superman fans wouldn’t do this.

  17. TheToileteer Says:

    Once again, we await the heirs of Nietzsche…

    I just thought of something the other day. Wasn’t Superman originally supposed to be an evil bald future guy? (An illustrated story by Siegel and Schuster with this theme, from their high school days I think, was reprinted in some DC encyclopedia hardcover.) Would ideas present in that story (such as the evil bald guy) then be available for reclaimation?

  18. Filby Says:

    I could be mistaken, but I believe the “evil bald Superman” became the character of the Ultra-Humanite, Superman’s first nemesis.

    I’m seriously dismayed by all the people who are crying foul over this. This is a major stroke for creator rights, and it’s not going to impede Time Warner’s publication of Superman at all — they’ll probably just pay the Siegels a nice big licensing fee and continue with business as usual.

  19. Tom Hunter Says:

    Seems to me that there needs to be fairness. Perhaps DC should offer the two families of the creators 0.5 % of profits from Superman and related merchandise from this point on?

    And if the case solely is revolving around Action Comics #1 material, doesn’t this severely limit what the two families should receive?

    I have no idea what the details are, but wasn’t there some sort of settlement directly with the two gentlemen before their deaths? Or was there a settlement with other issues unresolved that those gentlement where involved with?

    Part of me believes that if the two creators reached a settlement with DC that should have been the end of it. If not, then their should be a decent resolution now for direct family members only, not third cousins once removed from Aunt Berta’s side of the family that just wanna get some free cash.

  20. greeneclipse Says:

    “Part of me believes that if the two creators reached a settlement with DC that should have been the end of it.”

    It couldn’t have been “the end of it” simply because the copyright reverted back to the estate when it expired. That’s what this fight has been about. The estates are legally entitled to reclaim what’s theirs by law. I don’t understand why so many refuse to acknowledge this.

  21. Zing Says:

    “I don’t understand why so many refuse to acknowledge this.”

    Because with some people, all they read is that distant relatives want money for something that a relative whom they haven’t met had made. A lot of people think that all people are greedy, so when they just read “estate,” they think vehicle for greed.

  22. darrell_d Says:

    “Because with some people, all they read is that distant relatives want money for something that a relative whom they haven’t met had made. A lot of people think that all people are greedy, so when they just read ‘estate,’ they think vehicle for greed.”

    In other words, a lot of people are stupid.

  23. greeneclipse Says:

    “Because with some people, all they read is that distant relatives want money for something that a relative whom they haven’t met had made.”

    I’d like to know how it is that Siegel’s wife and daughter never met him, especially since his wife was the model for Lois Lane.

  24. Michael Says:

    Siegel’s wife and daughter Are just like most people in American today they have greed in their Heart.

    They know they have NO RIGHTS TO SUPERMAN but they don’t give a ratass, Now watch as every hero we love is taken away by lazy selfish female

  25. Nat Gertler Says:

    The saddest part of all this is how it suggests that fictional heroes do a poor job of inspiring their readers to think heroically. Instead, we see comments like the one above, a fact-impaired, dishonest, and misogynistic effort in mispunctuation, apparently inspired by paranoia that this might keep the writer from getting the comic book he wants, and that goes against his feeling of unearned entitlement.

    Fighting to keep an old widow lady from getting what is rightfully hers under the law doesn’t sound like any sort of heroism I’d recognize.

  26. darrell_d Says:

    “They know they have NO RIGHTS TO SUPERMAN but they don’t give a ratass, Now watch as every hero we love is taken away by lazy selfish female”

    Ladies and gentlemen, one of the many reasons why the term “fanboys” should be followed by well-deserved snickering and mocking.
    ‘I don’t know how the law works, but it is teh suxxor! Estate, what is that? Those stupid old guys sold Superman like, 100 years ago, for an apple and piece of meat, and that was a fair deal!’
    Moron.

  27. Shannon Gallagher Says:

    I hope they get nothing. Seigel and Shuster sold the rights how many times and if they made bad deals that is their own fault. I have no sympathy at all for their estates.

  28. Nat Gertler Says:

    Yes, and the publisher only bought the rights for 56 years. That’s the deal they made. Is that not also “their fault”?

  29. James Says:

    I just have to say that while I can sort of understand the point of view of the estates in a pragmatic way, it does strike me as sort of self-centered.

    I feel as though they are just attempting to get money out of a vaguely random situation. After all, their families have not owned Superman for decades, and I highly doubt they’ve been sitting around crying to themselves and counting the days until they had the rights again. I mean, what use are the rights without a vehicle for publishing the character, which DC provides? The whole thing has the look of a “we want a settlement, but we’re going to push as far as we possibly can so that the settlement can be huge.”

    And while I would never deny that what they are doing is within their legal rights, legal rights do not always line up with moral justification. In other words, they can be self-centered and greedy and still be following all the laws.

  30. darrell_d Says:

    “And while I would never deny that what they are doing is within their legal rights, legal rights do not always line up with moral justification. In other words, they can be self-centered and greedy and still be following all the laws.”

    Jerry Siegel, to his dying day, lamented the fact that he sold the rights to Superman so cheaply. None of us have an idea of what the Siegels are thinking. However, I really don’t think they are ‘greedy heirs’ who plan to take TW for all they’re worth, so they can swim in a money vault like Scrooge McDuck. But of course, I like to think and research before I post on the internet.

  31. Allen Smith Says:

    I doubt if DC could create a Superman-like character, legally. That would infringe on the rights of the owners of Superman, much like it was alleged that Captain Marvel infringed on Superman in the early ’40s. I don’t know how much interest the Siegels have in producing their own Superman comic, I’d guess that they will entertain bids for licensing rights to the character, not just from DC but from whoever might want the character.

  32. Nat Gertler Says:

    “I mean, what use are the rights without a vehicle for publishing the character, which DC provides?”

    Rights give you both money and control. Someone with the rights to Superman would have plenty of vehicles available to publish - including publishing one’s self, which is not a difficult proposition in this day and age. And despite a post that seems to suggest that there’s no moral basis to anyone who is not a publisher holding copyrights, it is the way that vast swaths of the publishing market work. In fact, the Constitution gives the Congress the power to bestow exclusive rights specifically on authors and inventors, not on publishers and manufacturers.

  33. Zing Says:

    “Jerry Siegel, to his dying day, lamented the fact that he sold the rights to Superman so cheaply. But of course, I like to think and research before I post on the internet.”

    Believe it or not, I was looking for information like this. Where did you get that except about Siegel on his deathbed from? I kind of hope you don’t say from an interview by his wife, haha.

  34. Kevin Melrose Says:

    What are you asking, for evidence that Siegel lamented selling the rights to Superman?

  35. darrell_d Says:

    “Believe it or not, I was looking for information like this. Where did you get that except about Siegel on his deathbed from? I kind of hope you don’t say from an interview by his wife, haha. ”

    I think I read it in Gerard Jones’ Men of Tomorrow. I also read the press release that Jerry Siegel released back in the ’70’s, and he seemed to regret selling Superman and trusting certain individuals at National.

  36. Frank Gonzalez Says:

    What I see clearly are that the majority of the comments come from people who have never created anything in their lives and dont understand the creative process or the rights of the originator. Writers, Singers, Poets, Artists, and composers are all entitled to reap from the benefits of their creations. They are often exploited by huge corporations because they themselves don’t have the legal advice or the financial fortitude to request accountability from the companies that buy their work. The laws were passed to protect the creators and their families from being exploited and I see justice in sharing the profits to the spouses and heirs of these great works of art. What I don’t understand is all these pointless accusations about distance of relatives or the fairness of original deals. The law states that now the works are the posession of the estates. Deal with that fact and then move forward. It’s not relevant what you feel in law but how the law is expressed and worked into our society. So respect that they have the rights and that DC and any future corporation must contend with compensating the creators of their fortures with further compensation.

  37. James Says:

    I can actually agree with a fair amount of the criticism leveled at my original post. Admittedly, I don’t know a whole lot about these sorts of situations. However, part of the point I was making about having the vehicle for publishing that DC provides, which I didn’t explain well, is that if you look at the ruling they only have the rights to the first comic, which does not contain all that much of what people consider to be Superman. Were they to attempt to publish themselves or through a different company, they would have to almost create a new character; none of the villains we know, no Jimmy Olsen, no Kryptonite, a lack of a fair amount of the powers we associate with, such as flight which is almost synonymous with Superman nowadays, and you begin to wonder what comics about such a character would even be like.

    I’m pretty sure we can all at least sort of agree that part of Superman’s continued success is a kind of nostalgia centered on a world and characters we grew up with; characters that, aside from Superman himself and Lois Lane as far as I understand it, the family does not hold the rights to. Given the sheer amount of difficulty that DC itself has had over the years any time they try to change the Superman formula even a little bit, I have a hard time believing that Superman would be all that successful outside of the world DC created for him. More than anything, I think the loss of Lex Luthor, often considered to be the best, and perhaps only good, Superman villain would probably cut possible profits via another publishing venue… if not in half, then at least by a sizable margin.

    I also reiterate my point that having the right to do so does not make doing so morally just. As someone pointed out above, apparently the creators regretted their decision to sell Superman later in life, which is unfortunate. However, they did still sell those rights and while I do believe they should be given their due and probably paid some reasonable amount in line with the success of the character I do not think they deserve rights that the actual creators sold.

  38. darrell_d Says:

    ‘I also reiterate my point that having the right to do so does not make doing so morally just. As someone pointed out above, apparently the creators regretted their decision to sell Superman later in life, which is unfortunate. However, they did still sell those rights and while I do believe they should be given their due and probably paid some reasonable amount in line with the success of the character I do not think they deserve rights that the actual creators sold.’

    The way I understand it, the contract they signed stated that they sold the rights ‘forever and ever’. A bad contract, as under the copyright law at the time, they did not have the option to sell the rights for ‘forever and ever’. I may be wrong, so if anyone knows, please correct me.

  39. Nat Gertler Says:

    “I do not think they deserve rights that the actual creators sold.”

    If so, does Time Warner deserve the rights that they didn’t buy? At the time the rights were sold, there were only 56 years of copyright to sell. When Congress decided to retroactively extend copyright terms, it was a gift from the American people (who would’ve otherwise gained the rights to the material as public domain) to the copyright holders, and it was Congress (acting as representatives of the American people) who chose to allow the creators or their families to have part of that gift. And the inclusion of the creator, or (in the event of his death) the creator’s widow/widower and offspring in the gift was specifically intended for cases very much like the Superman case, where the rights to something valuable were sold for not much early on.

    And if I understand the law in use here (and this is something I hope Jeff will go more into and clear up), even if the 1970s law had been in place in 1938, this still would not have been Jerry’s right to sell. The rights of recapture were not his to sell or give away; if he had said in his will “I give my rights of recapture to Nat Gertler”, I still wouldn’t have gotten them (dadgummit!). The right of recapture materials under this pre-Sonny Bono act law went specifically to the surviving spouse and offspring, it was not part of an estate, not something that was the creator’s to choose who gets… and thus not something he had to sell.

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