Peter Jackson not wanted for 'The Hobbit'

The production studio behind the Lord Of The Rings films has told director Peter Jackson that he is not wanted for their forthcoming movie version of The Hobbit.

The news follows a dispute between Jackson's Wingnut Films and New Line studios over the accounting on the popular trilogy, leading to an ongoing legal battle between the two parties that has yet to be resolved.

In a letter to Lord Of The Rings website TheOneRing.net, Jackson said that studio New Line had contacted an associate and stated that it "would no longer be requiring our services on The Hobbit and the LOTR 'prequel'. This was a courtesy call to let us know that the studio was now actively looking to hire another filmmaker for both projects."

The director expressed his disappointment over the situation: "We've always assumed that we would be asked to make The Hobbit and possibly this second film, back to back, as we did the original movies. We assumed that our lawsuit with the studio would come to a natural conclusion and we would then be free to discuss our ideas with the studio, get excited and jump on board.

The aforementioned prequel reportedly bridges the gap between The Hobbit and The Fellowship of the Ring.