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It is the the Saul Zaentz company that owns and guards the trademarks as WCH has pointed out , and it is worth pointing out since it is tediously and somewhat odiously fashionable to blame CRT personally for all these incidents.
Local to me are two pubs/restaurants with Hobbit names. One has had no trouble since it does not sell merchandise or give TM names to its drinks or dishes. The other which was in the news with the Estate wrongly getting the blame did sell stuff and theme the menu was allowed to continue on payment of the very modest sum of £70 for a license.
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“But Finrod walks with Finarfin his father beneath the trees in Eldamar.”
Christopher Tolkien, Requiescat in pace
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