Course.
It doesn't help the 'relationship' if one party is
sueing the other for a shitload of cash.
It's all about money - don't romanticise Mr Jackson - he's got plenty on the go as it is.
He's thrown his lot in with M$oft - so he knows where the dosh is coming from.
Whether he pulls it off or not is another matter.
New Line will make the Hobbit - people will go and enjoy the dragon FX, lunchboxes will have rings on them again - and we'll all live happily ever after.
It's movie-making. It's always about money.