TimeGate sues SouthPeak in publishing agreement tussle

Not everyone’s feeling the holiday cheer. Section 8 developer, TimeGate, has filed suite against SouthPeak for allegedly withholding royalty payments and entering into a PS3 licensing deal with another company when it shouldn’t have.

 

 

 

Not everyone’s feeling the holiday cheer. Section 8 developer, TimeGate, has filed suite against SouthPeak for allegedly withholding royalty payments and entering into a PS3 licensing deal with another company when it shouldn’t have.

 

According to the documents filed:

 

“[SouthPeak] failed to provide a sufficient sales report, withheld royalty payments and did not adhere to the obligation to act in good faith and fair dealing when they established the sham transaction in order to deprive TimeGate of royalties despite the special relationship between the parties and being in a position of trust.”

 

TimeGate prays for “compensatory damages in an amount to be determined” once Section 8‘s independent audit of sales is concluded.

 

 

Via [Joystiq]