JRR Tolkien's estate is suing the makers of The Lord of the Rings and Hobbit movies for allegedly overstepping their merchandising rights by making gambling games based on the books' characters.

Tolkien's family and publisher HarperCollins are suing Warner Brothers, its subsidiary New Line Cinema and Saul Zaentz for $80 million.

In papers filed in a Los Angeles court, they accuse the defendants of copyright infringement and breach of contract.

They say the companies are entitled to develop and sell only tangible merchandise such as clothes, figurines and stationery, not downloadable video and gambling games.

The Tolkien estate has asked for an injunction on such products, which it claims have caused irreparable damage to the author's legacy and reputation.

"Not only does the production of gambling games patently exceed the scope of defendants' rights, but this infringing conduct has outraged Tolkien's devoted fan base, causing irreparable harm to Tolkien's legacy and reputation and the valuable goodwill generated by his works," the lawsuit stated.

The suit claimed Warner Brothers has earned millions of dollars from legal merchandise licensing revenue related to The Lord of the Rings trilogy of films, which have grossed nearly $3 billion at the global box office.

Representatives for Warner Brothers, Tolkien's estate and HarperCollins were not immediately available for comment.

The lawsuit comes a week ahead of the New Zealand premiere of The Hobbit: An Unexpected Journey, the first of a new trilogy of films returning to Tolkien's world of elves, goblins and wizards of Middle Earth, based on the Lord of the Rings prequel novel, The Hobbit.

ABC/Reuters