Gamlain wrote:

And given Naoko-sama's opinion of fanfiction (I beleive a quote is "Oh I
love all those stories!" or something of the sort)
litagation in this area is unlikely.

I'm afraid you're overlooking an important detail. While it is common in
Japan to do fan-mangas, some of which are even published (such as "Moon
Fight!"), and while really a fanfic is comparable to a fan-manga, the
whole equation changes when the rights for another country get sold.
Mixx might have bought _any_ range of rights, and they might have the
right to produce original literary material. (I'm praying they don't.)

I know of two genre television shows that have spawned a line of
original novels depsite massive fanfic levels and which have actually
hired popular fanfic authors to write some of those novels (Kate Orman,
for Virgin and BBC books, Dr. Who) and Susan Garrett (for Gaumont TV's
show Forever Knight). However ... Mixx has demonstrated a truly
arrogant, non-customer-oriented mentality. It has publicly insulted the
fanbase on the net; brushed off pointed, logically reasoned, incisive
criticism of its less-than-customer-satisfying behavior; and handled
Naoko Takeuchi's public appearance this summer in a way that basically
alienated hundreds of fans who made pilgrimages to see her.

Would they say, "Fanfics make our potential customers happy and make
them interested in buying the high-quality original literary material
we're producing!" or would they say, "All Sailor Moon fanfic is an
infringement and forbidden! We must make $$ on our book and any amateur
work is competition!"

I mean REALLY, which do you think they'd do? Hopefully, I'm being an
alarmist. 

Nightman
*seriously rattled*