So YOU made Magus Unmasked? My god.... But back to the whol JoaMomma thing. If he were to recreate CE, and release it as an IPS patch and claim that Z/JP/you, had nothing to do with it {by that I mean, you did not help him code anything after he got his hands on the Alpha} You all would be home-free, and more likely, so would he.
Also, on a basis in legal info, Crimson Echoes would fall under Fair Use. If the source of all ideas,characters,text,music, etc. is cited, then there is some protection against copyright infringement, but citing alone is not enough to save your ass.
The right of Fair Use is placed upon any fan work. Anyways, the basics for Fair Use are:
1. the purpose and character of the use, including whether such use is of a commercial nature or is for nonprofit educational purposes;
2. the nature of the copyrighted work;
3. the amount and substantiality of the portion used in relation to the copyrighted work as a whole; and
4. the effect of the use upon the potential market for or value of the copyrighted work.
Those are the 4 points in which decide if the work is being used under the Fair use subject.
So, long story short, JoeMamma could release his full completed copy of CE and claim Fair Use, mainly because the game is not going to be sold for profit, it is cited as to where the story,characters, etc came from and the effect towards the sales of the original person(s) works would more likely be boosted from the release of the game, rather than to be shot down from it being a parody, or from the game being sold and claimed under copyright (which would be a stupid decision on his part to claim Copyrights)
