This seems to be a trending thing for major film companies. Once they hear that a fan film that takes no profit and made just for the love of the material is being made they send an immediate Cease & Desist order to the production crew. This happened a couple months ago with Marvel and
We come to you today with some sad news. The Tolkien Estate, the legal body which manages the rights to Tolkien’s works, has asked us to immediately cease working on the movie Storm over Gondolin. Like you, we are extremely disappointed to have to stop the production of a movie inspired by Tolkien’s legendarium. However, the entire team is staying on board and we are more excited than ever by the opportunity to create a new world inspired by the ancient mythologies. Much of our work still stands, and we are therefore announcing the production of a new fantasy film where you will find elves and orcs in an original universe. Thank you for your support and your fidelity ; a new step in our journey is beginning, and it is for you that we are taking it!