Wonder why this was not included in the SON OF SHOCK package?

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Not good or original enough is my best guess, as with you, rights issues. Universal had a corner on werewolves, it seems, and while their Famous Monsters were all copyrighted werewolves were fair game (as it were), so while Columbia couldn't have a Chaney style wolfman they could experiment with other kinds, made a fair job of it.

It was not good enough in my opinion