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Star Citizen Dev Being Sued By Crytek Over Breach Of Contract And Copyright Infringement

Cloud Imperium says the lawsuit is "meritless."

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German game developer and publisher Crytek is suing the developer of the ambitious PC space game Star Citizen over breach of contract and copyright infringement claims. Specifically, Crytek is suing Cloud Imperium Games on the claim that the the Star Citizen studio did not live up to the promises it made for using Crytek's CryEngine.

According to the complaint filed December 12 (via PC Gamer), Crytek agreed to a below-market rate for Cloud Imperium to use CryEngine with the agreement being that Cloud Imperium would prominently display the CryEngine logo in the game. The lawsuit says Crytek knew that displaying the CryEngine's logo was a "critical component" of the agreement between the two companies. The lawsuit goes on to say that Cloud Imperium founder Chris Roberts "publicly sought to minimize Crytek's contribution to Star Citizen."

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All of this reportedly happened before Cloud Imperium Games switched game engines, from CryEngine to Amazon's Lumberyard. Also in the lawsuit is a claim by Crytek that its terms with Cloud Imperium specified that the Star Citizen studio would be required to send to Crytek a list of bug fixes and optimizations that it made to the CryEngine source code. In November 2015, Crytek said it reached out to Cloud Imperium for a "long overdue" list of these things, but Cloud Imperium did not make a good faith effort to provide it.

Also at issue in the lawsuit is Cloud Imperium's use of the CryEngine for Squadron 42, the single-player part of Star Citizen. Crytek says its agreement with Cloud Imperium for the CryEngine only covered Star Citizen, not Squadron 42, which it reportedly considers a separate game. Regarding the copyright infringement claims, Crytek claims that Cloud Imperium's infringement was "willful, reckless, and/or in blatant disregard for Crytek's rights as a copyright holder."

In the lawsuit, Crytek is looking to reclaim direct damages of around $75,000, along with "indirect damages, consequential damages (including lost profits), special damages, costs, fees, and expenses incurred by reason of Defendants' breach of contract and copyright infringement." Crytek also wants a "permanent injunction" against Cloud Imperium that would prevent the company from using any of Crytek's copyrighted work. Further still, Crytek is looking to claim an amount of Cloud Imperium's profits at trial based on its reported breach of contract and copyright infringement. Additionally, Crytek is seeking punitive damages in the amount to be determined during a trial.

In a statement to PC Gamer, Cloud Imperium said it is aware of the lawsuit, which it called "meritless." The studio said it is prepared to fight "vigorously" in court over this matter.

Another element of this lawsuit is that Crytek, facing financial difficulties in 2015, reached a CryEngine 3 licensing deal with Amazon worth as much as $70 million. This move reportedly helped Crytek out of its financial challenges.

Star Citizen is the most successful crowdfunded project in history, raising $173.5 million by Cloud Imperium's latest count. Development on Star Citizen is ongoing, though a release date for the project has yet to be announced.

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wowbagger

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Edited By wowbagger

"In the lawsuit, Crytek is looking to reclaim direct damages of around $75,000"

I keep seeing articles quoting this and it's always incorrect. They aren't making a claim for how much they think they're owed, the number in question is in "the amount in controversy substantially exceeds $75,000" and is for the purpose of establishing why this was filed in the court it was filed at and not somewhere else.

https://en.wikipedia.org/wiki/Amount_in_controversy

"In United States federal courts, the term currently applies only to cases brought under diversity jurisdiction, meaning that the court is able to hear the case only because it is between citizens of different states.

The use of the word "exceeds" in Section 1332 implies that the amount in controversy must be more than $75,000; a case removed from state court to federal court must be remanded back to state court if the amount in controversy is exactly $75,000.00."

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gamingdevil800

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@wowbagger: Regardless the firm Crytek hired for this case sound like some real hot shots who don't take cases unless they know they are almost guaranteed to win.

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ccgod

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@gamingdevil800: Crytek is almost belly up i doubt they could afford good lawyers

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gamingdevil800

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Edited By gamingdevil800

@ccgod: SKADDEN, ARPS, SLATE, MEAGHER & FLOM LLP, 2.41 billion in revenue made in 2015 with 1,700 attorneys. It is one of the highest grossing law firms in the world...

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ccgod

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@gamingdevil800: And they can prob afford a mail clerk lol they couldn't even afford to pay their employee's which i doubt they even paid them lost checks.

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gamingdevil800

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Edited By gamingdevil800

@ccgod: Now you're just spouting BS... lmao you sound like a developer at CI or someone who threw down a lot of cash on SC who is now pissing himself over this situation.

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ccgod

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@gamingdevil800: what bs? It's fact that crytek was on the verge of bankruptcy and couldn't afford to pay their devs and CIG hired them.

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inebriantia

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You gotta honor your deals.. that's why games force you to sit through those initial logo screens. Companies want that recognition.

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ccgod

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@inebriantia: Which they do they show amazon lumberyard during the initial load screen

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dostunuz

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The Falling has begun. This scam will go down with style.

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sakaiXx

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Star citizen is dead

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