Fayetteville videographer accuses North Carolina of violating his copyright. Florida treasure hunter also suing for breach of contract.

Fayetteville videographer Rick Allen can continue his lawsuit alleging North Carolina officials illegally copied his videos of Blackbeard’s wrecked pirate ship and then passed a law, nicknamed “Blackbeard’s Law,” in an effort to legalize their actions, a federal judge ruled on Thursday.

U.S. District Judge Terrence W. Boyle partly dismissed Allen’s lawsuit. But he also allowed Allen to proceed with a claim that Blackbeard’s Law is invalid in regard to violations of federal copyright law, and to proceed with a claim that North Carolina violated his copyright on photos and videos from the shipwreck.

Blackbeard’s law was passed in 2015 and 2016 after the dispute emerged over Allen’s copyright and media rights, and access to the shipwreck. The law says photos, videos and other documentary material from derelict vessels are public record while in the custody of state government. Public records by law are to be given to anyone who asks, and for as little cost as is needed to make duplicates.

In related matters, Florida treasure-hunting company Intersal Inc., which in 1996 found Blackbeard’s wrecked Queen Anne’s Revenge just off the North Carolina coast, is continuing its litigation against North Carolina.

Intersal in North Carolina Business Court accuses the state of breach of contract and infringement of intellectual property rights. The case is scheduled for trial in spring 2018, said John Masters, chairman of Intersal’s board.

A spokeswoman for the department declined comment on Monday, on either Allen’s lawsuit or Intersal’s lawsuit and ethics complaints, saying it would be inappropriate for the agency to make a statement now.

The two lawsuits stem from the fact that there was little treasure left on Blackbeard’s flagship when it sank after running aground off what is now Fort Macon State Park and Atlantic Beach in 1718.

Normally, the state and a shipwreck hunter such as Intersal would split proceeds of any treasure found, with 75 percent going to the company. But experts say most items of value were removed from Queen Anne’s Revenge before it went under.

So, to allow Intersal to recoup its exploration costs and make a profit, North Carolina agreed to grant the company a 15-year contract regarding access to the wreck and exclusive media rights. Intersal contracted with Allen’s company, Nautilus Productions, to do the underwater photography and videography of the wreck.

Intersal’s 15-year contract ended in 2013.

Intersal attempted to exercise an option to extend the contract by 10 years, but was rebuffed. That led to litigation that was settled with a new contract.

The new contract calls for the state and Intersal to jointly make commercial documentaries and other media based on the excavation of Blackbeard’s sunken pirate ship.

Now Intersal’s lawsuit says the state violated the 1998 agreement and the new 2013 agreement.

For example, it says North Carolina has been publishing media from the wreck in violation of the contracts. Intersal further alleges the state is blocking renewal of its permit to dive on the wreck.

Also, it says there has been a conflict of interest.

It says Billy Ray Morris, head of the state Underwater Archeology Branch, was also the treasurer of the Friends of Queen Anne’s Revenge nonprofit organization. The suit says the organization paid Morris' wife $10,000 for work on a project about the shipwreck that was to include a website and video.

The Friends of Queen Anne’s Revenge has since been dissolved.

Intersal said it has filed an ethics complaint against Morris because of the $10,000 payment and other allegations. It has another one filed against Kevin Cherry, deputy secretary for archives, history and parks, it said.

Cherry in February signed a letter from the state asking people to contribute money to an upcoming traveling exhibition to mark the 300th anniversary of the shipwreck. He signed another letter as treasurer of the N.C. Literary and Historical Association and chairman of the Blackbeard 300 Committee soliciting money for the exhibition.

Intersal contends the exhibition, with replicas of artifacts from the shipwreck, will violate its contract by attempting to monetize the Queen Anne’s Revenge without including Intersal.

Allen’s lawsuit is continuing in federal court, while Intersal’s is continuing in state court.

Staff writer Paul Woolverton can be reached at woolvertonp@fayobserver.com and 910-486-3512.