Sections

38 Studios court arguments begin

Dismissal cases presented for Schilling and fellow defendants, state promises "avalanche" of evidence against them

Arguments have begun in the court case over the 38 Studios collapse. According to a Providence Journal report, a Rhode Island Superior Court judge heard arguments yesterday over a motion from defendants to have the case dismissed.

Last November, the Rhode Island Economic Development Corporation sued 14 people and entities, including 38 Studios founder Curt Schilling, accusing them of fraud, negligence, conspiracy, larceny, and more in connection with $75 million in loan guarantees the state gave to the developer for relocating from Massachusetts. The RIEDC claims all of the accused, from Schilling to former RIEDC employees to the banks and lawfirms involved, knew or should have known that 38 Studios was not financially viable, even with the loan money.

In court, an attorney for the defendants called the accusations specious. The RIEDC's lawyer countered that the firm has an "avalanche" of evidence pointing to wrongdoing.

38 Studios shut down in May of 2012, months after shipping its first project, Kingdoms of Amalur: Reckoning. Earlier this week, it was reported that the state had found parties interested in purchasing 38 Studios' intellectual property.

Related stories

Ex-38 Studios execs to settle suit for $2.5 million

Curt Schilling, three others admit no wrongdoing in proposed end to Rhode Island lawsuit; money would come from insurance

By Brendan Sinclair

No criminal charges in 38 Studios collapse

Rhode Island says "no provable criminal violations" in Kingdoms of Amalur company's downfall, but civil litigation still outstanding

By Brendan Sinclair

Latest comments (1)

Rick Lopez Illustrator, Graphic Designer 3 years ago
This sucks, cause kingdoms of Amalur was a pretty good game. Would have loved to see a sequel.
0Sign inorRegisterto rate and reply

Sign in to contribute

Need an account? Register now.