1. The family — represented by Barry Hankerson (her uncle and former manager) — is apparently pissed no one contacted them from Lifetime. Which is understandable. Shit, I get pissed when my fiancee uses my lotion without asking. But, he also says "The family is not opposed to a big, theatrical film, but thinks a TV movie is too small for someone as big as Aaliyah." — which is basically saying "It would be fine if you didn't ask if you were someone big enough not to ask. But, you're Lifetime, so even if you ask, you still can't use my lotion."
2. Aaliyah was awesome. But she was not Martin Luther King. She is not "too big" for a Lifetime biopic. And speaking of Martin Luther King, by my count there have been at least 116 different biopics about him. Some produced by major studios. And some produced by Nickelodeon Teen.