Fox does NOT have a license to ALL of the X-men!!!

[Maniacal]

http://www.leagle.com/decision/20011...%20ENTERPRISES

I begin my post by asking, please read the actual legal document. Boring? Possibly. Informative? Definitely.

I posted something similar before, but this is more than just a legal summary of certain points - this is the full document. The original 1993 agreement between Marvel and Fox is locked away. HOWEVER, this disclosure quotes the original agreement in various places, so via those references we do learn some things about the original agreement. This legal document also clearly points out that there are MANY grey areas that enable both parties future negotiations.

After reading the article:

While Fox controls the rights to the term mutant, not ALL X-men, or mutants are 'theirs' unless they SPECIFICALLY named them in the original agreement which was NOT many considering how many X-men/mutants there are. As result... Quicksilver and Scarlet Witch can be used, since: they were not NAMED in the agreement, as long as they are not referred to as mutants, or origins are not tied to the X-men. Fox has the license to CERTAIN initial characters, 15 other core characters, and certain characters from 7 books at the time of the deal: Uncanny X-men, X-Factor, New Mutants, Alpha Flight, X-terminators, Excalibur, X-Force

Marvel gets a percentage of revenue from the Fox films. The RUMOR (not addressed in the above link) was that it was 5%. If true, off a $200 million dollar grossing picture, that would be $10 million. Not bad, could be better - Consider what Fox has to pay for marketing, production, creatives, actors, etc.. out of the remainder...

Marvel held TV rights, but after the Mutant X debacle, their arrangement had to be clarified. Fox cant make a show without Marvel and vice versa. Marvel cannot use the term mutant.

Fox gets first dibs on movie options for UNNAMED (in the original agreement) X-men mutants. This could be why Fox could pursue a Quicksilver film...but Marvel has to give permission first.

Marvel set limits on the license, and EXTENDED those just prior to X2. There ARE deadlines... that are still secret.

Following are quotes

TV Rights
“Marvel reserves all television rights. However, prior to the reversion (if any) of the Rights ... Marvel shall not, without Fox's prior written consent, which consent may be withheld in Fox's sole discretion, produce, distribute or exploit or authorize the production, distribution or exploitation of any live-action motion picture for free television exhibition, pay television exhibition, non-theatrical exhibition, or home video exhibition (on cassettes or discs) or any feature-length animated motion picture for non-theatrical exhibition or home video exhibition (on cassettes or discs)."


Marvel must approve MOVIE Storyline/Aspects
"Marvel must approve: (i) the "fundamental elements" of the story, namely the basic storyline, character integrity, living habitat, and conformity with the so-called "X-Men Handbook" written by Marvel; (ii) the screenplay, to the extent it substantially alters a fundamental element; (iii) costumes; (iv) the photography of scenes, to the extent it substantially alters a fundamental element; and (v) the content of director's cuts, to the extent it substantially alters a fundamental element.

Who can be used?
"The scope of the license to Fox is broad, encompassing any property contained in the "X-Men Universe" of comic books that Fox "may require" in order to create and produce its films, including the right to use Marvel's copyrights and trademarks in such property as Marvel would as owner of such rights. However, Exhibit A to the Agreement limits the characters which Fox may exploit to (i) certain "Initial Characters," comprising the principal and featured characters in the approved story, screenplay, or Marvel's publications, as well as 15 other "Core Characters" from the X-Men Universe of comics, and (ii) certain "Additional Characters," who are among the characters from a limited "X-Universe" of seven comic books, which Fox may add by written notice to Marvel.6 (Ex. A to 1993 Agreement ¶¶ 1, 3, 4.)"

TV - Together or nothing.
“Evidence reveals that throughout the negotiations, the parties agreed that neither Fox nor Marvel could produce a live-action television series, or any other form of live-action television production, without the other's consent."

Colossus
“The record does not reflect that Colossus is part of the X-Universe of characters to which Fox obtained rights.”

First Dibs go to Fox – Marvel can make a Goldballs film... if Fox doesnt want those rights first.
“Fox also has a right of first negotiation to obtain exclusive rights in those characters from the X-Universe that Fox has not yet used. (Ex. A to 1993 Agreement ¶ 6.) Also, where Fox does not exercise such right, and Marvel licenses X-Universe characters to a third party, the Agreement provides that the third party may not use the terms "X-Men," "X-Factor," or any similar reference to the "X-Universe" "in the title or marketing of the motion picture produced utilizing the Characters granted to such third party." (Id. ¶ 6(d).)"

Movie Production – Together as well?
“The Agreement provides for cooperation between Fox and Marvel on the selection of principal staff members, including directors and producers,”

Rights are for the characters then, not new ones.
“the 1993 Agreement granted Fox certain rights "to the then-existing X-Men characters and stories as reflected in seven then-existing comic book series." (Marvel Compl. ¶ 27.) “

Not all Xmen characters included
“In section entitled "The Grant of Rights to Fox Did Not Include All X-Men Characters and X-Men Comic Book Titles," discussing limitation on Fox's exploitation of X-Men characters only) (emphasis added); see also Memorandum from Rick Ungar to David Berson dated Jan. 17, 2001, Ex. 18 to Cendali Decl. (discussing separately the grant of rights in Paragraph 6 and the eligible characters in Exhibit A, and stating that Fox was granted "all rights in and to the `X-Men' comic book series for the media contemplated in the agreement").)

Marvel approves direction?
“It should be noted that, as written, the Agreement provides Fox with the right to storylines of the X-Men Property "which are contained in a Story or Screenplay approved by Marvel." (1993 Agreement ¶ 6.) Although this provision suggests, on its face, that Marvel controls the scope of the license as to storylines, the approval provision does not suggest that Marvel may veto Fox's choice of storylines. Rather, Marvel's approval role appears designed to ensure the integrity of the Property as portrayed in a theatrical motion picture. (Id. ¶ 11.)"



Hope you enjoyed this. The ONLY people who know the details of the deal are their lawyers. Even Marvel hgher ups are confused and at times contradictiory. Only time will tell. If Fox wants to continue to utilize the franchise, it seems like they do need to deal with Marvel. Whilst Marvel seemed to have a decent relationship with Fox...

Disney is another story. Most in the industry would agree they are the over-confident/bully in the room of motion picture producers and distributors. In their eyes, everyone else needs them - not the other way around. They like full control of properties, from womb to coffin.. .

[William300]

Doesn't matter. Marvel/Disney are downgrading the X-MEN. So they won't use any of them anyways.

[Flight]

so everyone but colossus?

[Maniacal]

About Colossus... it was a character Fox used in their defense against a Mutant X character, but they didnt actually have the rights to.Colossus.

It just shows that there are characters Fox has to get permission for.

The list of licensed characters is not some VAST all of the X-men list.

[ExodusCloak]

Surely Colossus does count under that broad, vague phrasing.

[WeaponX]

Yeah not buying any of this. If marvel had the rights to any of the X-men they would be using them just like they have Quicksilver and Scarlet Witch.

[Maniacal]

I hear you. But these are the real legal documents. Nothing to buy. It is what it is.

Now consider that Marvel wanted to do a Cable and also a Dazzler film. Based on their deal, Fox would have had the option first. Fox probably took it and Marvel just didn't want to put themselves in that position again.

[RLAAMJR.]

So Marvel did not permit Storm to fly in the xmen movies. Hahaaha. Just joking.

[Grey]

Interesting read. Thanks for sharing.

[Holland Oates]

Particularly given the catch-all provision in Paragraph 6, the scope of the license to Fox is broad, encompassing any property contained in the "X-Men Universe" of comic books that Fox "may require" in order to create and produce its films, including the right to use Marvel's copyrights and trademarks in such property as Marvel would as owner of such rights. However, Exhibit A to the Agreement limits the characters which Fox may exploit to (i) certain "Initial Characters," comprising the principal and featured characters in the approved story, screenplay, or Marvel's publications, as well as 15 other "Core Characters" from the X-Men Universe of comics, and (ii) certain "Additional Characters," who are among the characters from a limited "X-Universe" of seven comic books, which Fox may add by written notice to Marvel.

So, from reading the bolded part, I gather that Fox would have to notify Marvel that they want to use, for instance, the characters in the Shi'ar Empire and those in the Starjammers.

[Tazpocalapse]

HMnn. Funny you bring up Colossus considering he has appeared in a X-movie and is set to appear in Deadpool.
Also the one about the rights being for characters then not now may have been changed over the years. Darwin and Angel appeared in X-men first class, i always thought those 2 appearing in the movie was FOX trolling Marvel and taking advantage of having a large chestbox of X-characters.
I think alot has changed since that was written.

[Ambaryerno]

HMnn. Funny you bring up Colossus considering he has appeared in a X-movie and is set to appear in Deadpool.
Also the one about the rights being for characters then not now may have been changed over the years. Darwin and Angel appeared in X-men first class, i always thought those 2 appearing in the movie was FOX trolling Marvel and taking advantage of having a large chestbox of X-characters.
I think alot has changed since that was written.

Hell, Negasonic Teenage Warhead dates from 2001, and they tapped HER for Deadpool.

[Goddess]

Kavita Rao, Angel Salvadore, Azazel all appeared after the film rights were sold but still made it into the movies. Any character that debuts in an X-Book is on the table to be used by FOX. Even characters like Tempus and Goldballs and that Animax chick.

[MarvelMaster616]

Very interesting read. Thanks for sharing it. It actually helps answer a question I raised in another thread about giving other X-men characters the same treatment that the Maximoff twins got in Age of Ultron. This explains why there's that gray area that Kevin Feige once mentioned. It does appear that there are a list of characters that Fox controls no matter what, which probably includes Wolverine and Storm. However, the X-men have such a large library of characters. It really wouldn't be too hard to tweak some of those characters into being Inhumans in the MCU. It also shows that Marvel does have some input on what Fox does with its characters. Fox doesn't have free rein to do what they want. And Marvel does still profit from their success. Not only that, they profit while Fox has to pay all the marketing and production costs.

However, I think being under Disney's domain changed that. Disney has billions of dollars. In fact, I looked up some numbers on Yahoo Finance. Disney's market share is more than twice that of 20th Century Fox. They can afford to take a hit if they want. It just depends on how petty they're willing to be.

One curious omission here is the animation rights. We already know Marvel can produce animated cartoons and air them on non-Fox affiliates like WB and Viacom networks. Does this mean Marvel owns those rights outright? Wolverine did show up in Ultimate Spider-Man so maybe there's something else we don't know about.

[Sardorim]

[Marvel must approve MOVIE Storyline/Aspects]

Yet it seems Marvel hasn't done this for any of the X-Men movies or Fox ignored Marvel.