The daughter of Stan Lee is launching a new legal fight against POW! Entertainment, the company that holds the rights to her father’s name, likeness and intellectual property.
In a lawsuit filed in L.A. Superior Court on Tuesday, J.C. Lee alleges that a series of “suspicious transactions” have diluted her stake in the company. The suit also alleges that she has not received payments as required under the intellectual property agreement.
Stan Lee, the co-creator of numerous Marvel superheroes, died in 2018 at the age of 95, leaving behind a tangle of legal disputes.
J.C. Lee, his daughter and sole heir, sued POW! Entertainment in 2019, alleging that the company wrongfully claimed ownership of her father’s name and likeness. A federal judge dismissed that suit in 2020, finding that the claims were “frivolous” and “factually and legally baseless,” and that the central issue in the case had already been adjudicated several times.
The judge ordered J.C. Lee to pay $1 million in sanctions, in an effort to deter further frivolous litigation. An appeals court upheld the dismissal but rejected the sanctions award, finding it was not warranted.
In the latest suit, J.C. Lee is seeking access to POW! Entertainment’s books and records. The suit alleges that Stan Lee and his late wife, Joan Lee, initially owned nearly 45% of the company when it was formed in 2001. But, the suit alleges that a series of questionable transactions have left the Lee Trust — of which J.C. Lee is the trustee — with only 15% of the company.
The suit also alleges that Camsing International Holdings, the parent company of the majority owner of POW! Entertainment, now intends to sell its stake in the company.
Upon learning this in August, J.C. Lee, through her attorneys, requested access to the company’s records but was denied, according to the suit. The suit also alleges that J.C. Lee is owed money for the sale of Stan Lee merchandise, as well as an annual salary in the amount of $125,000 that was to be paid to her in the event of her father’s death.
POW! Entertainment did not immediately respond to a request for comment.
