IP vs. PR: Lessons From The Dungeons And Dragons Open Game License Controversy

Wizards of the Coast, LLC ("WOTC" or "Wizards") and its parent company Hasbro, Inc. ("Hasbro") recently found themselves facing unexpected backlash from their attempt to modify an existing license agreement which they had in place with content creators, the Open Game License (OGL), which allowed those creators to use game mechanics and other elements from the Dungeons and Dragons (D&D) table-top role playing game. The resulting controversy can provide other intellectual property owners strong insight into creating and controlling their own IP licenses while still maintaining their established goodwill.

First, some brief history for those less familiar with the world of role-playing games (RPGs). WOTC is a publisher of popular games such as D&D and Magic: The Gathering, and was acquired by Hasbro in 1999. In 2000, Wizards published the OGL (as Version 1.0(a)) which allowed third-party creators to use portions of the then-current Third Edition of D&D to create new