Thursday, August 14, 2008

Ubisoft Sued for Breaching License Agreement to the Tune of $26 Million

ResponDesign, makers of Yourself!Fitness (thats the name...really?), is suing Ubisoft claiming a breach of their licensing agreement for failure to diligently pursue development of a game utilizing the license. ResponDesign believed that Ubisoft would create a game under their My Coach label that used the technology and software underlying RD's previous Yourself!Fitness (is this just a bad translation?). Instead Ubisoft created a competing product under the My Coach label, told them the licensed game would be called Yourself!Fitness, (which must have really stung!) and didn't even say sorry. Now RD has filed suit in Los Angeles seeking $26 million in damages, mostly from unrealized royalties.

My Suing Coach!

Hate to burst RD's bubble, but if they think they are getting anywhere near this amount they are crazy. Absolute figures aside, this case will be interesting to follow to see if courts will find/infer a right to have a game made when the main inducement for disclosing and sharing IP are proffered royalties. Without seeing the agreement, it is hard to know, but it is likely bad faith for Ubisoft to make a competing product.

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