With “Terminator Salvation” hitting theaters soon, the future of the franchise has become something of a controversy.

Variety reports that “With the Memorial Day weekend opening of “Terminator Salvation” looming, the future of the franchise has become intriguing.

“Terminator” is the only franchise in which the distributors aren’t locked in for future films.

MGM has a 30-day right of first refusal to finance and distribute the fifth “Terminator” film, a right earned through the settlement of a lawsuit between the studio and Halcyon partners Victor Kubicek and Derek Anderson. According to sources, MGM has every intention of making a serious play for the franchise, potentially trumping Warner Bros., which is distributing “Terminator Salvation” in domestic territories, and Sony, which is releasing the film overseas.

The distribution drama promises to be a real cliffhanger that will begin once Halcyon delivers its demands to MGM along with a first draft of the screenplay for the fifth “Terminator.”

The studio’s position was acquired in the bankruptcy of Orion, which distributed the first “Terminator” film, and the settlement of a lawsuit waged against MGM by Halcyon principals Kubicek and Anderson, who charged the studio with trying to block its “Terminator Salvation” deal with WB and Sony. MGM ultimately had a shot at “Terminator Salvation” but passed.

“Salvation” was a much riskier prospect then than the fifth “Terminator” is now. At the time, MGM made its decision knowing only that franchise linchpin Arnold Schwarzenegger wasn’t returning, and the studio had only an early script by “Terminator 3″ scribes John Brancato and Michael Ferris they developed with “T3″ helmer Jonathan Mostow. That script has changed significantly, with uncredited work done by Jonah Nolan, Paul Haggis, Shawn Ryan and Anthony Zuiker. Though Halcyon hasn’t yet set a writer for the fifth film, the prospects are strong because McG is returning as director, and Christian Bale will reprise as John Connor [...]

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