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THQ Sues EA Over UFC Game License
Filed under: THQ, UFC, EA

THQ has filed suit against both EA and Zuffa over the UFC game license. THQ claims that EA used information obtained when the company was discussing sale of THQ in order to undermine THQ's position with Zuffa. When EA bought the rights to the UFC game license, Zuffa then paid THQ $10 million to cut its contract with the publisher early.

"Throughout 2011, THQ's financial fortunes continued to decline," THQ claims in their filing. "By the end of November 2011, THQ projected that it would run out of capital within several months and thereafter be unable to support its major pipeline projects, including the next games in the UFC franchise."

At that point, THQ looked into selling its assets, including to EA since EA had indicated they were interested before. When THQ appraoched EA, they say that they disclosed their dire financial situation regarding the UFC series to them, and EA used it against them.

"In early December 2011, EA and THQ discussed a potential sale of THQ as a whole to EA. THQ provided EA internal financial information, including detailed sales and revenue figures for the UFC franchise, and projected marketing expenditures on the next UFC franchise game.

"After a December 12, high level meeting, several discussions, and a review of management projections, EA broke off negotiations, professing disinterest."

After this deal fell through, THQ alleges that Zuffa said it would break its contract because EA told them of THQ's financial woes.

THQ wants the franchise rights to the UFC license or its financial value as compensation. They also claim that they are owed the interest on the UFC game from September 2013.

[Source]


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2 post(s)
Reader Comments
film11 Oct 10 2013, 11:00 am EDT
THQ is still alive?
IcedEarth Oct 10 2013, 01:47 pm EDT
Ummm... So they gave the information to EA willingly and then are surprised when it's used against them? Why does this deserve compensation? I hate EA as much as the next guy, but this seems dumb.
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