The story behind the Dwarves of the Chocolate Mine and the LOTR references:
My dad, who read Tolkien back in the 60's, used to tell us stories about Elves and Dwarves and Hobbits when we were growing up. We had not yet read the Hobbit or LOTR ourselves, so we did not realize how much he had 'borrowed'. One of his more original additions was a clan of Dwarves who lived up in the hills behind our cottage. They lived in and operated a chocolate mine! I imagined they were an important supplier of chocolate to the North Pole because I loved getting chocolate at Christmas. To honour this, one of the characters in the story will be a Dwarf from the Chocolate Mines!
When the LOTR movies came out, they were released around the holidays, so it became a bit of a family tradition to watch at least one of them (often all of them) during the holiday season.