Motion Passes: Court Blocks TV Tokyo, NAS from Marketing Yu-Gi-Oh! ZEXAL and Establishes Trial DatesJune 2, 2011 at 5:57 pm | Posted in 4Kids, Other Stuff, Yu-Gi-Oh!, ZEXAL | 5 Comments
The U.S. Bankruptcy Court for the Southern District of New York has granted 4Kids’ motion to stop TV Tokyo Corporation and Nihon Ad Systems, Inc. (NAS) from taking control of the Yu-Gi-Oh! anime property pending the results of the parties’ lawsuit. The court has ordered the Japanese licensors not to restrict or interfere with 4Kids’ rights as the licensee as established in the parties’ contracts. Furthermore, the licensors must also honor the terms of the Yu-Gi-Oh! license, which include delivering the completed episodes of Yu-Gi-Oh! ZEXAL to 4Kids for production and marketing.
Additionally, the court has drawn up a preliminary schedule for the forthcoming lawsuit between the licensors and 4Kids. The trial, which had initially been halted after 4Kids filed for Chapter 11 bankruptcy protection, will be divided into two stages. The first stage will determine whether TV Tokyo and NAS justifiably terminated the Yu-Gi-Oh! license with 4Kids and whether the licensors are entitled to the monetary damages that they are claiming under their audit of 4Kids.
4Kids will first answer the complaints on June 10. Then, through the remainder of June and into July and August, both parties will participate in typical pretrial affairs, including the exchange and compilation of statements and evidence. Barring any extensions or delays, the first stage of the trial will commence on August 29.
The structure and schedule for the second stage of the trial has yet to be announced.
So there you have it. 4Kids will thus be the only company marketing the Yu-Gi-Oh! franchise at Licensing International Expo in Las Vegas, Nevada later this month. Additionally, whatever plans 4Kids has or will develop for producing and distributing Yu-Gi-Oh! ZEXAL have just been given the green light.
As the impending trial looms overhead, how will the stressors from these legal proceedings affect the Japanese licensors and 4Kids as the two sides are compelled to collaborate? Will Yu-Gi-Oh! ZEXAL still see a U.S. debut this fall? Who will ultimately prevail and control the multimillion-dollar Yu-Gi-Oh! property? Whatever the outcome, it is so on.