Nintendo refused to let them use any of their characters.
Lame. Understandable but lame. Nintendo could fill an entire roster of secret characters and put their stamp on it. It would be epic. Free advertising is always good as well. Plus people go nuts for secret characters anyway. I bet it would sell like crazy.
I was under the impression that Team Meat ruled against First Party characters early on.
That is true, although I don't really see the harm in putting Waluigi into SMB...seeing as though Nintendo hasn't done jack squat w/ him since forever. SMB would be the best game he's ever been in, plus Waluigi is awesome! Although I have no idea what his "special ability" would be.
Olimar could be quite an interesting character to use as well, using pikmin and whatnot to get opposite momentum or stall enemies or barriers. But anyway, I'd def buy a retail Wii version.
Seriously though, who owns the rights to the Battletoads characters now? Zit needs a epic comeback in a game that is epicly difficult.