The WSJ reports that (the fictional Plaza Hotel resident) Eloise is being evicted for two-year renovations. Poor Eloise! But don't worry, there's an intellectual property (para-trademark?) dispute brewing for entertainment in the interim!
Patrick Meehan, who owns the film, TV and merchandising rights to Eloise, wants the Plaza to pay him for using her name and likeness. That's something the hotel has never done. Meanwhile, Simon & Schuster, which holds publishing rights to the character, is miffed at being left out of the talks and is threatening to strike a promotional alliance with another hotel.
... But Eloise's return is not guaranteed. The Plaza has never had a legal claim to the character. Mr. Naftali is now negotiating with Mr. Meehan over compensation issues. Mr. Meehan says he expects the talks to be "protracted."
... Meanwhile, Simon & Schuster, which receives a percentage of movie, TV and product sales, was left out of the negotiations between Mr. Meehan and the Plaza.
The book publisher, which is an adviser to the estate, is threatening to recommend moving Eloise to another hotel if Mr. Meehan doesn't fulfill certain contractual obligations....
Simon & Schuster is not currently considering moving Eloise to another hotel in future books, Mr. Richter says, but he doesn't rule that out, either. Ultimately, Ms. Thompson's estate has final say over story lines for future books, but Simon & Schuster has always worked closely with her heirs. Mike Rudell, a lawyer for the estate, declined to comment.
Likely, the parties will work something out on their own. If it does go to court, it'll likely turn more on contractual provisions between Meehan and Simon & Schuster. But, this does raise the question of what - if any - rights an appropriated owner has to the assets of people/entities that appropriate. That is, Eloise's author didn't just pick the Plaza because it sounded fun, but rather very specifically for what the name conveys. Does the Plaza then have any right to the author's profits? (Obviously, the best case is always to bargain in advance, but this rarely happens, and virtually never with the first work.)
In lots of other contexts, appropriation of value in a name gets a pretty tough look (e.g. metatags, advertising keywords). I often don't agree with those decisions, but it seems to me like allowing broad protection from appropriation in those contexts could only lead to recognizing interests for parties like the Plaza.