TimeGate Studios lost its court appeal to SouthPeak Interactive earlier this month. The appeal leads all the way back to 2009, when TimeGate sued SouthPeak over alleged withheld royalties and failure to localize the original Section 8, a retail title. SouthPeak filed a countersuit which claimed that TimeGate did not invest enough of its own capital into the game’s development along with additional complaints. The case went to an arbitration committee, who ruled in favor of SouthPeak.
TimeGate is now ordered to pay $7.35 million in damages, which does not bode well for the developer’s future. The company experienced layoffs earlier this year, possibly due to court costs and the forthcoming ruling. If we were you, we’d pick up Section 8: Prejudice now while we’re sure it’s still available.