In a courtroom sequel not coming to a screen near you, Spider-Man, the X-Men and other iconic Marvel characters were at the center of a copyright struggle Tuesday between Disney and Stan Lee Media.
Stan Lee Media, which is no longer affiliated with the Spider-Man creator, sued the Walt Disney Company, claiming it had infringed on its copyrights.
“This is their seventh bite of a rotten apple,” Disney attorney Jim Quinn said after Tuesday’s court hearing in the 10th U.S. Circuit Court of Appeals.
He was referring to prior lawsuits filed by Stan Lee Media around the country.
Robert Chapman, an attorney representing Stan Lee Media, argued that the company still has copyright to at least some of the characters under a 1998 agreement.
But Disney attorneys said courts in other states already have ruled against Stan Lee Media on the same matter. Chapman said the earlier court decisions don’t apply to the latest lawsuit.
The three-judge panel did not issue a ruling.
Stan Lee Media originally sued Walt Disney for $5.5 billion on Oct. 9, 2012, claiming it had stolen copyrights it had purchased from Marvel comics creator Stan Lee in 1998.
U.S. District Judge William Martinez dismissed the lawsuit Sept. 5, 2013, and his decision was appealed.
Disney claims that after entering the agreement, Lee subsequently sent a letter to Stan Lee Media terminating that agreement because of breach of contract and sold his rights to Marvel. The comics company then sold its rights to Disney in 2009.
The Colorado company claims Disney owes it all of the profits it earned by making the Marvel movies and selling merchandise.
Disney argues that the 10th Circuit should dismiss the appeal because prior courts already ruled on ownership of the comics’ rights, the court lacks jurisdiction and a New York court already has ruled the statute of limitations had expired in 2005.
“Plaintiffs cannot wait a decade to enforce their rights,” Disney argued.
In 2010, Stan Lee Media sued Marvel Entertainment Inc. in a case called “Abadin vs. Marvel.” Stan Lee Media lost the lawsuit on the basis that the personal-service contract between the company and Lee had lapsed.
“Plaintiff has tried time and again to claim ownership of those copyrights; the litigation history arising out of the 1998 agreement stretches over more than a decade and at least six courts,” Disney’s attorneys claim.
Kirk Mitchell: 303-954-1206, kmitchell@denverpost.com or twitter.com/kirkmitchell, denverpost.com/coldcases
The Associated Press contributed to this report.
