Wow. That is dysfunctional.

I would be curious how the financial wires got crossed.

I would have assumed residuals were proportional to views, and views valued proportionally as contributing to subscription demand. And it would be a rare viewer to watch one show like that, over & over. I.e. only upside. Something went sideways.

If they don't make their content available legally, then it should go into the public domain.

Don't want this to happen to your content? Then don't release it to the public.

We need to bring back explicit copyright registration and renewals.