AfterDawn: Tech news

Activision sued over underpaid royalties

Written by Andre Yoskowitz (Google+) @ 01 May 2009 0:09 User comments (2)

Activision sued over underpaid royalties The developer Valve has sued Activision Blizzard over unpaid royalties this month, claiming the company underpaid them by over $400,000 USD.
The dispute started in 2002 with a copyright infringement claim by Valve against Sierra Entertainment, who was purchased by Activision in 2004. In 2005, Sierra agreed to "stop generating cyber cafe licenses to players of Valve games, including Counter-Strike." At the same point, both companies agreed that an outside auditor would determine the amount of royalties owed to Valve.

As explained by Gamasutra, "that judgment was not made until this month. On April 6, the arbitrator declared Activision (formerly Sierra) to owe Valve a total sum, including interest, of $2,391,932.

On April 7, referring back to a claim first made March 3, Activision declared Valve to have been previously overpaid $424,136 in royalties, and said it would subtract that amount from its ordered payment. Thus, Activision cut a check for $1,967,796 -- the court-ordered amount minus the alleged overpayment.

But Valve says Activision never raised its overpayment allegation with the arbitrator, and the two companies already had a longstanding agreement to recognize the arbitrator's judgment. Furthermore, Activision has already threatened to sue Valve to recover that $424,136 if Valve seeks to confirm the $2,391,932 order."

Previous Next  

2 user comments

11.5.2009 3:57

If they were not such a big company, this would be called piracy.

22.5.2009 6:17

if they had used common sense and their brains they couldve put this money to better use say making games such as SCII as one unit instead of breaking those units into seperate games doesnt make sense to me. - BLUEBOY

Comments have been disabled for this article.

Latest news

Intel announces: First commercial 5G modem in development Intel announces: First commercial 5G modem in development (20 Nov 2017 16:46)
The world's second largest semiconductor manufacturer, Intel, has announced a major project in mobile chips. The company has introduced a future portfolio for commercial 5G modems. According ....
1 user comment
CCleaner becomes adware, here's how to avoid Avast ads CCleaner becomes adware, here's how to avoid Avast ads (20 Nov 2017 13:00)
One of the more popular Windows cleanup tools, CCleaner, has added Avast ads on to their software. After being acquired by Avast, CCleaner wants you to install the virus protection suite along ....
3 user comments
Tesla's power pack charges your phone like a Supercharger Tesla's power pack charges your phone like a Supercharger (18 Nov 2017 13:25)
Tesla announced yesterday two incredible products that are due in two or three years. However, you might not have the money, nor the interest, to buy either Tesla Semi or Roadster, but there ....
Apple's newest product misses the entire holiday season, hits the stores in early 2018 Apple's newest product misses the entire holiday season, hits the stores in early 2018 (18 Nov 2017 12:20)
Apple has decided to push back one of the products originally revealed nearly 6 months ago in WWDC. The smart speaker, dubbed HomePod, has been delayed further and won't be seen in stores this ....
1 user comment
Tesla unveils two new vehicles, electric semi and super-fast new Roadster Tesla unveils two new vehicles, electric semi and super-fast new Roadster (17 Nov 2017 10:53)
Tesla has today announced two new vehicle prototypes that will bring the total number of Tesla cars, and now trucks, to six. As expected Tesla unveiled their "beastly" semi-truck the first time ....
1 user comment

News archive