Multi-exposure image fusion consolidates multiple low dynamic range images of the same scene into a singular high dynamic range image. Retinex theory, which separates image illumination from scene reflectance, is naturally adopted to ensure consistent scene representation and effective information fusion across varied exposure levels. However, the conventional pixel-wise multiplication of illumination and reflectance inadequately models the glare effect induced by overexposure. To better adapt this theory for multi-exposure image fusion, we introduce an unsupervised and controllable method termed Retinex-MEF. Specifically, our method decomposes multi-exposure images into separate illumination components and a shared reflectance component, and effectively modeling the glare induced by overexposure. Employing a bidirectional loss constraint to learn the common reflectance component, our approach effectively mitigates the glare effect. Furthermore, we establish a controllable exposure fusion criterion, enabling global exposure adjustments while preserving contrast, thus overcoming the constraints of fixed-level fusion. A series of experiments across multiple datasets, including underexposure-overexposure fusion, exposure control fusion, and homogeneous extreme exposure fusion, demonstrate the effective decomposition and flexible fusion capability of our model. The code will be released.