Planet Moon readies for legal action against debtors

CEO of Planet Moon, Aaron Loeb, has told press that an unforeseen financial crisis brought about by non-paying clients precipitated yesterday's announcement that 37 staff would be moving to online publisher Bigpoint.

In a statement to Gamasutra, Loeb said that the company had been working on a project which had suddenly become non-viable during the holiday season after several companies owing funds to Planet Moon had reneged on payments. Planet Moon has now retained the legal services of Valle Makoff in order to litigate against these organisations.

"In December, 2010, Planet Moon was proceeding in earnest on an important project and we were delivering our usual high quality product," Loeb is quoted as saying. "To Planet Moon's surprise, the project went into financial default during the holidays."

The 'talent acquisition' which was announced yesterday means that 37 of Planet Moon's staff will join Bigpoint's San Francisco team, almost doubling its size. The company name and IP remain with the founders of Planet Moon.

Continuing his press statement, Loeb said that he was "pleased that we were able to find employment so quickly for our affected colleagues".