Adidas Sues Publisher THQ for Breach of Contract
Posted on Jan 01, 2016
The sports equipment giant Adidas has recently filed a breach of contract lawsuit against the game publishing company THQ for $10 million. Adidas hired the publisher to create a coaching game for the miCoach system that was supposed to launch in January of 2012. Adidas was told in December of last year that the game would not meet its date for completion and would not be ready to roll out as scheduled.
Adidas wanted the game to work with their miCoach device, which uses motion-tracking technology to help with performance improvement. The game was to be titled MiCoach 24/7 and work with the platform already developed.
THQ has been facing strong financial woes recently as its share price dropped to fifty cents and had to conduct major layoffs. Fewer people results in less productivity, and the company was unable to create as promised.
The lawsuit also claims that THQ has refused to hand over materials related to the MiCoach they have already developed to another production company so that Adidas can have it on shelves as soon as possible. Adidas also demands that THQ not sell or transfer the rights to the game it paid them to create.
Adidas is seeking $10 million for failure to deliver the game by the agreed-on date, and to cover the damages they’ve sustained from not being able to roll out the technology as early as they wanted to.
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