The Rise, Fall, and Return of Axanar: Alec Peters’ Legal Battle with CBS and Paramount

In 2015, Alec Peters, the producer behind Prelude to Axanar, faced a lawsuit from CBS and Paramount over his fan film, which was inspired by Star Trek. After two years of legal wrangling, the two sides reached a settlement in 2017, allowing Peters to continue working on the project, provided he adhered to a strict set of guidelines. These guidelines, while initially considered restrictive, were agreed upon to allow Peters to complete his vision while maintaining some degree of control over the film.

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However, as Peters reflects on the ordeal, he believes that the conditions imposed by CBS and Paramount made it almost impossible for Axanar to flourish. “No one in Hollywood thought CBS did the right thing by suing us,” Peters shared. He contrasted CBS’ aggressive stance with the more fan-friendly approach of Lucasfilm, which, he pointed out, embraces fan-created content and celebrates fan films. By comparison, CBS and Paramount seemed intent on stifling creativity.

The 2021 Lawsuit: From Settlement to Arbitration

Just as production was gearing up to resume, CBS and Paramount re-entered the scene in 2021, this time with a lawsuit for $300,000 in attorney’s fees. What had initially been an amicable settlement now spiraled into an unexpected financial battle. The question on Peters’ mind—how could he go from being given the green light to being hit with a six-figure judgment?

According to CBS and Paramount, Peters had violated the terms of the settlement agreement. Among the most contentious allegations was that Axanar had breached the rule forbidding the use of professional Star Trek talent. But Alec Peters contends that there were other fan films, like Star Trek Continues and Star Trek New Voyages, that used far more of the original Star Trek elements without facing legal action.

Peters made his case clear to Jonathan Anchell, CBS’ general counsel at the time, asking why his project was being targeted when others had used even more copyrighted material. “Why are you suing us?” Peters asked. “We don’t even use the term Star Trek or the core characters. Why go after us?”

Anchell’s response was telling: “Because no one’s going to confuse those other shows for real Star Trek.”

The Ambiguities of the Settlement

The settlement had placed strict restrictions on what Axanar could and couldn’t do. Among the key stipulations, the film could not exceed 30 minutes, could not use the word “Star Trek” in its title, could not reuse characters or scripts from the original series, and could not sell merchandise. The project also had to be distributed for free, with a disclaimer that it was unofficial and unaffiliated with CBS or Paramount.

However, Peters argued that these restrictions were so extreme they left little room for creative freedom, essentially forcing him to walk a tightrope of compliance. “It’s as if CBS and Paramount wanted to make it impossible to make a great film without breaching the terms of the settlement,” he said.

Despite these conditions, Peters felt hopeful in the aftermath of the settlement. He was willing to work within the guidelines, but as he later realized, his fears were well-founded. “The moment the settlement was signed, I knew I had to be bulletproof,” he confessed. “These guys cannot be trusted.”

A New Round of Legal Trouble

In 2019, just as production on Axanar was set to restart, CBS and Paramount struck again. This time, it was an arbitration case that alleged Axanar violated the settlement terms by hiring professionals who had worked on Star Trek.

What frustrated Peters even more was the fact that, at the time, Prelude to Axanar had already been released. The dispute was about the next chapters of the film, which had been approved under the 2017 settlement agreement. The studios’ case, according to Peters, seemed to have little merit.

“I asked them, ‘Why are you suing us?’” Peters recalled. “We’re not using the term Star Trek, we’re not using your main characters. Why go after us?” CBS and Paramount’s response was clear: Axanar posed a bigger threat. It was too good, too professional, and too close to Star Trek for comfort.

The Fundraising Debate

One of the most contentious issues in the case was fundraising. The settlement agreement prohibited public fundraising for Axanar, but Peters and his team had raised substantial amounts of money through private donations. While the money was raised in a way that Peters felt complied with the settlement, CBS and Paramount argued it violated the spirit of the rules.

“We had 18,000 donors who gave us $1.2 million,” Peters explained. “We had no public fundraising campaign. The funds were all raised privately, behind a log-in system where only registered donors could contribute.”

Despite these efforts to comply, CBS and Paramount took issue with the way the donations were solicited, claiming that it violated the “no public fundraising” rule. Peters, however, felt this was an arbitrary interpretation and stood his ground on the matter.

The Arbitrator’s Ruling

In the end, the arbitration court ruled in favor of CBS and Paramount, awarding them over $300,000 in attorney’s fees. The arbitrator’s decision, according to Peters, was influenced by technicalities rather than the merits of the case. The court found that there was insufficient separation between the nonprofit organization running Axanar and the personal finances of Peters, which led to a breach of the settlement agreement.

“It’s just been an ongoing nightmare,” Peters said. “CBS basically bankrupted me, personally and professionally. All that donor money? Gone.”

Despite the financial strain and legal battles, Peters remains steadfast in his commitment to completing Axanar. “There’s no profit here. It’s all red ink. But the fans have been with us from the start, and I’m going to finish this thing,” he affirmed.

The End of the Legal Fight… or Just the Beginning?

For Alec Peters, the legal battles with CBS and Paramount have been a defining part of his life for nearly a decade. Yet, as he prepares to release Axanar‘s next chapters, he’s focused not just on completing the film but on telling the story of his long, painful journey.

“What’s the status of Axanar today?” Peters asked rhetorically. “We’re about to release episode four, and hopefully episode five, too. This 11-year story of all the trials and tribulations we’ve gone through is going to come to a successful conclusion. And that’s what I’m most excited about.”

Despite the setbacks, the Axanar saga continues—one that has been shaped not just by Peters’ passion for Star Trek, but by the ongoing legal challenges that have made this fan film saga anything but typical.

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