Author Dan Proctor clearly envisioned LL as way for people to legally write and sell OD&D materials. LL operates under its own OGL, and allow people to do so. I think he felt this was a way to generate more interest and material for an old, beloved game, a way to keep it alive. No, no one is going to make any real money by doing this, but they might earn some minor compensation for their efforts, and for some even just making a few cents per download might make the difference between posting their old scenarios or keeping them in the shoe box under the bed. At its heart, this—more than anything else—is what LL is all about. Its an effort to get people to write new material for OD&D.
It's short and sweet and over at RPG.net.