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Richard Garriott wins $28 million in NCsoft suit

http://www.gamespot.com/news/6271808.html?tag=latestheadlines%3Btitle%3B1

 








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Garriott wins $28 million in NCsoft suit




  • By Laura Parker, GameSpot

  • Posted Jul 29, 2010 11:37 pm PT

Ultima creator wins out against former employer for breach of contract and fraud.

Just a few months after returning to Earth following a 12-day, US$30 million trip to the International Space Station, famed video game entrepreneur Richard Garriott, a.k.a Lord British, announced he'd be leaving Korean publisher NCsoft after seven years with the company in order to pursue other interests.

 

Six months later, Garriott revealed he was actually fired from NCsoft, and subsequently filed a lawsuit in the United States District Court of Texas against the company for breach of contract and fraud amounting to US$24 million in damages.

Garriott's complaint was that he lost millions of dollars when NCsoft forced him to prematurely sell a number of stock options the company had given him in just 90 days, rather than the 10-year period he was promised under his contract if he were ever to be fired.

The suit also claimed that Garriott received this information while still in post-flight quarantine after having returned from the International Space Station, and that the announcement he made regarding his departure from NCsoft was actually written by the publisher.

Now, Austin daily newspaper the Statesman is reporting that a federal court jury has awarded Garriott US$28 million in the lawsuit after a three-day trial in the US District Court in Austin.

"I am extremely pleased with the jury's decision," Garriott said in a statement. "The facts were clear that my departure from NCsoft was not voluntary. I am very pleased with the final award."

A lawyer representing NCsoft, Laura Merritt, said the Korean publisher will be "considering all options for next steps in the legal process."

Although the initial lawsuit was for US$24 million, the Statesman is reporting that Garriott had asked for US$47 million in order to cover the profit lost by selling his stock options so quickly.

Garriott began working for NCsoft after the publisher bought his Austin-based company, Destination Games. While there, he headed up the six-year development effort for the sci-fi massively multiplayer online role-playing game Tabula Rasa, which launched in late 2007 to lukewarm reviews and technical problems.

Two weeks after Garriott's departure from NCsoft, the publisher shut down Tabula Rasa servers.




-Letting Derek Smart work on your game is like letting Osama bin Laden work in the White House. Something will burn.-
-And on the 8th day, man created God.-

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Comments

  • ReizlaReizla Member RarePosts: 4,092

    Nice to hear that Garriott won from NC$uck... Now lets hope he can exchange that $28Mo for the rights of Tabula Rasa, including the databases, so he can make the game he once wanted to make ;)

  • sadeyxsadeyx Member UncommonPosts: 1,555

    I've increasingly become aggitated at NCSoft recently, so Grats to Garriot on his case.

     

    I really hope that they didnt close Tabula just because of this dispute, it held a lot more promise than most of the recent MMO launches.

  • ZouharianZouharian Member UncommonPosts: 16

    That's the best piece of news I've seen for a long time in this space.

    He must have had a legitimate case, and he also deserves that money so much more than NCSoft does.

  • eyeswideopeneyeswideopen Member Posts: 2,414

    Originally posted by sadeyx

    I've increasingly become aggitated at NCSoft recently, so Grats to Garriot on his case.

     

    I really hope that they didnt close Tabula just because of this dispute, it held a lot more promise than most of the recent MMO launches.

    I have a feeling that's EXACTLY why they shut down TR. By forging his "departure statement" AND forcing him to short sell his stocks, they knew they were going to get sued and lose. If the game were still running, he could have also sued for a stake of it, and that wouldn't have made it as easy  as simply losing 28mil in this limited lawsuit.

     

    Edit: By the way, who wants to bet NCsoft pulls all operations out of the U.S. and moves them  to Korea, now that they realize what they could have gotten away with at home won't fly here?

    -Letting Derek Smart work on your game is like letting Osama bin Laden work in the White House. Something will burn.-
    -And on the 8th day, man created God.-

  • TalgenTalgen Member UncommonPosts: 400

    The only thing I find unbelievable in this is that NCSoft stock will be worth millions in 10 years :)

  • HardcoreHeroHardcoreHero Member Posts: 72

    The man is a genius if you ask me.  He created Ultima Online which, in my opinion, was the greatest game of all time.  Its current state is a mess but that is because he is no longer involved with that project.  I liked Tabula Rasa and saw great potential there but NC Soft apparently isn't interested in good games so it is dead.  I am very happy to hear that all went well for Mr. Garriott and I wish him the best of luck with whatever he chooses to work on next - and do I ever hope he works on another game! 

    I still have played nothing that has even come close to a small fraction of what Ultima Online was. 

    -------------------------------------------------------------

    "I have no idea what''s going on." - Tasos Flambouras

  • eyeswideopeneyeswideopen Member Posts: 2,414

    Originally posted by Talgen

    The only thing I find unbelievable in this is that NCSoft stock will be worth millions in 10 years :)

    Thing is, prior to TR and other NCsoft management/game failures, they would have been a sure bet. Nowadays, not so much. They'll be lucky to be in business in 10 years.

    -Letting Derek Smart work on your game is like letting Osama bin Laden work in the White House. Something will burn.-
    -And on the 8th day, man created God.-

  • KyleranKyleran Member LegendaryPosts: 44,071

    Well, it does sound like they screwed him on a legal contract, but it boggles the mind that they ever gave him such a contract in the first place.

    Completely over-rated Developer who grew famous more on the labor of others than his own accord.  TR pretty much proved it.

    "True friends stab you in the front." | Oscar Wilde 

    "I need to finish" - Christian Wolff: The Accountant

    Just trying to live long enough to play a new, released MMORPG, playing New Worlds atm

    Fools find no pleasure in understanding but delight in airing their own opinions. Pvbs 18:2, NIV

    Don't just play games, inhabit virtual worlds™

    "This is the most intelligent, well qualified and articulate response to a post I have ever seen on these forums. It's a shame most people here won't have the attention span to read past the second line." - Anon






  • sadeyxsadeyx Member UncommonPosts: 1,555

    NCSoft represents something like 60% of Korea's income,  they are hideously huge.

    But since they have permenantly disabled my 5 year account containing nearly every NCSoft game ive ever bought (and all the blood and sweat put into them)  I doubt I'll ever be botherd to open another account with them.

     

    so here's my mid-digit to them  o/'

  • KyleranKyleran Member LegendaryPosts: 44,071

    Originally posted by eyeswideopen

    Originally posted by Talgen

    The only thing I find unbelievable in this is that NCSoft stock will be worth millions in 10 years :)

    Thing is, prior to TR and other NCsoft management/game failures, they would have been a sure bet. Nowadays, not so much. They'll be lucky to be in business in 10 years.

    ER...you should take a look at recent NCSoft financials, they are riding pretty high these days on the success of Aion and their upcoming games should continue to carry them just fine.

    "True friends stab you in the front." | Oscar Wilde 

    "I need to finish" - Christian Wolff: The Accountant

    Just trying to live long enough to play a new, released MMORPG, playing New Worlds atm

    Fools find no pleasure in understanding but delight in airing their own opinions. Pvbs 18:2, NIV

    Don't just play games, inhabit virtual worlds™

    "This is the most intelligent, well qualified and articulate response to a post I have ever seen on these forums. It's a shame most people here won't have the attention span to read past the second line." - Anon






  • eyeswideopeneyeswideopen Member Posts: 2,414

    Originally posted by Kyleran

    Originally posted by eyeswideopen


    Originally posted by Talgen

    The only thing I find unbelievable in this is that NCSoft stock will be worth millions in 10 years :)

    Thing is, prior to TR and other NCsoft management/game failures, they would have been a sure bet. Nowadays, not so much. They'll be lucky to be in business in 10 years.

    ER...you should take a look at recent NCSoft financials, they are riding pretty high these days on the success of Aion and there upcoming games should continue to carry them just fine.

    From what I've seen, AION ( in the NA ) has done nothing but decline. Profitable maybe, but hardly successful now. City of Heroes is on it's last legs pretty much.  This is after they had to shut down how many mmos now, 3-4? The only games left are the Lineages.

    So perhaps I'll rephrase: they'll be lucky to be in business outside of the asian market in ten years.

    -Letting Derek Smart work on your game is like letting Osama bin Laden work in the White House. Something will burn.-
    -And on the 8th day, man created God.-

  • ThillianThillian Member UncommonPosts: 3,156

    Originally posted by eyeswideopen

    Originally posted by sadeyx

    I've increasingly become aggitated at NCSoft recently, so Grats to Garriot on his case.

     

    I really hope that they didnt close Tabula just because of this dispute, it held a lot more promise than most of the recent MMO launches.

    I have a feeling that's EXACTLY why they shut down TR. By forging his "departure statement" AND forcing him to short sell his stocks, they knew they were going to get sued and lose. If the game were still running, he could have also sued for a stake of it, and that wouldn't have made it as easy  as simply losing 28mil in this limited lawsuit.

     

    Edit: By the way, who wants to bet NCsoft pulls all operations out of the U.S. and moves them  to Korea, now that they realize what they could have gotten away with at home won't fly here?

     YES YES YES!! I dreamed of this day. Hallelujah

    It was obvious they shut down TR, to forge his departure and get his stock options for minimal price right before Aion came out.

    I'm pretty sure, part of the lawsuit was also getting TR license along with the 26$ mil. Eventually, we might see NCSoft shutting down its US centres and TR being reopened.

    REALITY CHECK

  • ReizlaReizla Member RarePosts: 4,092

    Originally posted by Thillian

     

    I'm pretty sure, part of the lawsuit was also getting TR license along with the 26$ mil. Eventually, we might see NCSoft shutting down its US centres and TR being reopened.

    Lets all keep hoping for this day to come true :D

  • DubhlaithDubhlaith Member Posts: 1,012

    This is very interesting. I do not like him, but I did like that TR was something different and quirky, if not completely fleshed out and not extremely well done or polished. It was fun and interesting. NCSoft has made some confusing and poor business decisions in the West. Of course, Arenanet and Aion are both seeming work out very well here. I know I will be pouring lots of money into them via Guild Wars 2 if it is anywhere near as good as the first, regardless of the publisher. This does make me more wary of them, though.

    "Gamers will no longer buy the argument that every MMO requires a subscription fee to offset server and bandwidth costs. It's not true — you know it, and they know it." —Jeff Strain, co-founder of ArenaNet, 2007

    WTF? No subscription fee?

  • severiusseverius Member UncommonPosts: 1,516

    Originally posted by Kyleran

    Well, it does sound like they screwed him on a legal contract, but it boggles the mind that they ever gave him such a contract in the first place.

    Completely over-rated Developer who grew famous more on the labor of others than his own accord.  TR pretty much proved it.

    Seeing as how he and his brother pretty much made Ultima 1-4 I think you are talking out of your backside.  Most full development teams with millions of dollars and huge publishers cannot begin to come close to the excellence that were those games.  Labor of others?  Seriously?  I think you should stop smoking whatever the hell that is because it has seriously degraded your ability to think.

  • biogermbiogerm Member UncommonPosts: 168

    Originally posted by eyeswideopen

    Originally posted by Kyleran


    Originally posted by eyeswideopen


    Originally posted by Talgen

    The only thing I find unbelievable in this is that NCSoft stock will be worth millions in 10 years :)

    Thing is, prior to TR and other NCsoft management/game failures, they would have been a sure bet. Nowadays, not so much. They'll be lucky to be in business in 10 years.

    ER...you should take a look at recent NCSoft financials, they are riding pretty high these days on the success of Aion and there upcoming games should continue to carry them just fine.

    From what I've seen, AION ( in the NA ) has done nothing but decline. Profitable maybe, but hardly successful now. City of Heroes is on it's last legs pretty much.  This is after they had to shut down how many mmos now, 3-4? The only games left are the Lineages.

    So perhaps I'll rephrase: they'll be lucky to be in business outside of the asian market in ten years.

    gw2 say hello.

    I 3930k -- Rampage IV Extreme -- G.skill RipjawsZ 32 GB -- Corsair Force Series 3 120gb -- G.skill Phoenix Pro 60gb -- WD 1 TB Black -- Corsair H 100 -- Thermaltake Level 10 Gt Snow Edition -- Corsair AX1200 -- Asus 560 Ti Sli -- Microsoft Sidewinder X4 -- Logitech G5 -- DELL UltraSharp 2007FP -- Samsung Syncmaster Sa700 -- Logitech Z2300 -- Logitech G35 -- Logitech G600 White -- coming soon : Dell U2711.

  • eyeswideopeneyeswideopen Member Posts: 2,414

    Originally posted by biogerm

    Originally posted by eyeswideopen


    Originally posted by Kyleran


    Originally posted by eyeswideopen


    Originally posted by Talgen

    The only thing I find unbelievable in this is that NCSoft stock will be worth millions in 10 years :)

    Thing is, prior to TR and other NCsoft management/game failures, they would have been a sure bet. Nowadays, not so much. They'll be lucky to be in business in 10 years.

    ER...you should take a look at recent NCSoft financials, they are riding pretty high these days on the success of Aion and there upcoming games should continue to carry them just fine.

    From what I've seen, AION ( in the NA ) has done nothing but decline. Profitable maybe, but hardly successful now. City of Heroes is on it's last legs pretty much.  This is after they had to shut down how many mmos now, 3-4? The only games left are the Lineages.

    So perhaps I'll rephrase: they'll be lucky to be in business outside of the asian market in ten years.

    gw2 say hello.

    Yeah, when it releases and NCsoft doesn't fuck something up down the line, we'll talk. And I doubt GW2 is going to keep them afloat in the NA for 10 years. The original Guild Wars was released during NCsoft's heyday. That time is over.

    -Letting Derek Smart work on your game is like letting Osama bin Laden work in the White House. Something will burn.-
    -And on the 8th day, man created God.-

  • BloodaxesBloodaxes Member EpicPosts: 4,662

    Even if what he said was true about making him rush TR he did screw up before releasing changing what he wanted to do every time to come out as a mess.

    Just because he made ultima doesn't mean he can't screw up in games.


  • eyeswideopeneyeswideopen Member Posts: 2,414

    Originally posted by bloodaxes

    Even if what he said was true about making him rush TR he did screw up before releasing changing what he wanted to do every time to come out as a mess.

    Just because he made ultima doesn't mean he can't screw up in games.

    But who demanded the changes? Him, or NCsoft? Hmmm..........

    -Letting Derek Smart work on your game is like letting Osama bin Laden work in the White House. Something will burn.-
    -And on the 8th day, man created God.-

  • smilingbobsmilingbob Member Posts: 90

    Hehe. Good. NCSoft can crash and burn for all I care.

    :D

  • QSatuQSatu Member UncommonPosts: 1,796

    Originally posted by eyeswideopen

    Originally posted by Kyleran


    Originally posted by eyeswideopen


    Originally posted by Talgen

    The only thing I find unbelievable in this is that NCSoft stock will be worth millions in 10 years :)

    Thing is, prior to TR and other NCsoft management/game failures, they would have been a sure bet. Nowadays, not so much. They'll be lucky to be in business in 10 years.

    ER...you should take a look at recent NCSoft financials, they are riding pretty high these days on the success of Aion and there upcoming games should continue to carry them just fine.

    From what I've seen, AION ( in the NA ) has done nothing but decline. Profitable maybe, but hardly successful now. City of Heroes is on it's last legs pretty much.  This is after they had to shut down how many mmos now, 3-4? The only games left are the Lineages.

    So perhaps I'll rephrase: they'll be lucky to be in business outside of the asian market in ten years.

    Aion is still in the top ten on Xfire so it can't be that bad. In asia it's stil huge. L1 and 2 are huge in asia. CoX is profitable. Guild wars 2 is beeing made and Blade & Soul is in the production. yea NCSoft is so in trouble.. they only have 3 big games, 1 smaller and 2 new AAA games in production..

  • MMO.MaverickMMO.Maverick Member CommonPosts: 7,619

    Nobody can tell how companies will be 10 years after now, whether divisions will have been sold, or another merger taken place. But 5 years is easier to oversee, and I'm pretty certain GW2 will still be around then, GW is still strong after 5 years and lots of people playing it. ANet devs also stated that they plan GW2 there to be for the long haul, so NCSoft will be there too outside the Asian market as ANet's publisher.

    The ACTUAL size of MMORPG worlds: a comparison list between MMO's

    The ease with which predictions are made on these forums:
    Fratman: "I'm saying Spring 2012 at the earliest [for TOR release]. Anyone still clinging to 2011 is deluding themself at this point."

  • ArthineasArthineas Member Posts: 231

    Originally posted by severius

    Originally posted by Kyleran

    Well, it does sound like they screwed him on a legal contract, but it boggles the mind that they ever gave him such a contract in the first place.

    Completely over-rated Developer who grew famous more on the labor of others than his own accord.  TR pretty much proved it.

    Seeing as how he and his brother pretty much made Ultima 1-4 I think you are talking out of your backside.  Most full development teams with millions of dollars and huge publishers cannot begin to come close to the excellence that were those games.  Labor of others?  Seriously?  I think you should stop smoking whatever the hell that is because it has seriously degraded your ability to think.

    Yeah I was thinking the same thing.  Richard Garriott is a gaming legend.  I look forward to his next project.

  • eyeswideopeneyeswideopen Member Posts: 2,414

    Originally posted by TwilightEdge

    Originally posted by eyeswideopen


    Originally posted by Kyleran


    Originally posted by eyeswideopen


    Originally posted by Talgen

    The only thing I find unbelievable in this is that NCSoft stock will be worth millions in 10 years :)

    Thing is, prior to TR and other NCsoft management/game failures, they would have been a sure bet. Nowadays, not so much. They'll be lucky to be in business in 10 years.

    ER...you should take a look at recent NCSoft financials, they are riding pretty high these days on the success of Aion and there upcoming games should continue to carry them just fine.

    From what I've seen, AION ( in the NA ) has done nothing but decline. Profitable maybe, but hardly successful now. City of Heroes is on it's last legs pretty much.  This is after they had to shut down how many mmos now, 3-4? The only games left are the Lineages.

    So perhaps I'll rephrase: they'll be lucky to be in business outside of the asian market in ten years.

    Aion is still in the top ten on Xfire so it can't be that bad. In asia it's stil huge. L1 and 2 are huge in asia. CoX is profitable. Guild wars 2 is beeing made and Blade & Soul is in the production. yea NCSoft is so in trouble.. they only have 3 big games, 1 smaller and 2 new AAA games in production..

    Players in asian countries also use X-Fire, so how does X-Fire prove how good it's doing in the NA? Hope there's no more server mergers in 6 months or so.

    -Letting Derek Smart work on your game is like letting Osama bin Laden work in the White House. Something will burn.-
    -And on the 8th day, man created God.-

  • sadeyxsadeyx Member UncommonPosts: 1,555

    Originally posted by eyeswideopen

    Originally posted by sadeyx

    I've increasingly become aggitated at NCSoft recently, so Grats to Garriot on his case.

     

    I really hope that they didnt close Tabula just because of this dispute, it held a lot more promise than most of the recent MMO launches.

    I have a feeling that's EXACTLY why they shut down TR. By forging his "departure statement" AND forcing him to short sell his stocks, they knew they were going to get sued and lose. If the game were still running, he could have also sued for a stake of it, and that wouldn't have made it as easy  as simply losing 28mil in this limited lawsuit.

    ugh, you make a good point

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