Comic Book Resources says that the Fox lawsuit against Warner Bros. over the Watchmen movie is really just about getting rights to the 1960's Batman TV series...
The reporter, Rich Johnston, found out that 20th Century Fox owns the footage of all the episodes of the original 'Batman' TV series, starring Adam West and Burt Ward. Having the authority to release the corny series on DVD would be a chunck of change for Fox. The only problem is, Warner Bros. holds all the copyrights and trademarks, ? They can't do it because Warner Bros. holds the trademarks on all DC characters.
So, Johnston makes the point that Fox is using the lawsuit and threat of injunction on 'Watchmen' to pressure Warner Bros into a settlement that includes rights to release 'Batman' to the home video market.