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CD Projekt Pays Out $1.85M In Cyberpunk Lawsuit

According to a December 16th statement, the video game developer CD Projekt announced that negotiations recently concluded in a lawsuit filed against the organization following the disastrous launch of Cyberpunk 2077. This settlement will see the company pay out $1.85 million to the plaintiffs.

After the unsuccessful launch of Cyberpunk 2077, a number of CD Projekt shareholders filed a class-action lawsuit against the business. This lawsuit alleged that CD Projekt violated federal laws because the organization misled investors regarding the quality of the game. As a result, investors incurred major financial damages.

CD Projekt reportedly agreed to settlement terms with this group of investors. The four class-action lawsuits that had been consolidated into one against the company have been suspended following the result of this settlement.

“According to the Term Sheet, members of the class (including the plaintiffs) shall relinquish any and all claims against the Company and members of its Management Board,” a court statement reads. “In return, a settlement in the amount of $1,850,000 USD shall be paid out to the class by the Company and its insurer. As expressly stated in the Term Sheet, execution of the Term Sheet does not imply admission of any responsibility on the part of the Company or any of the other defendants named in the case.”

Cyberpunk 2077 is an action role-playing game developed by CD Projekt. The title was first released in December of 2020.

The Profit‘s Take:

They’re paying out only $1.85 million, but the game made over $563 million in sales. They also spent $2.2 million on their refund campaign. This feels like a slap on the wrist and not a big one at that. I don’t know if the launch could have gone any worse for Cyberpunk 2077. Yet, they only ended up paying out $1.85 million in damages. The fundamental problem is that this number feels small. It’s also an issue that they were able to get away with this, especially considering how much shareholder value was destroyed by the game’s botched release. If Ford released a car with brakes that didn’t work or lights that were faulty, there would be a huge outcry against them. But, there isn’t one here. This could set a dangerous precedent: it doesn’t matter how bad the product is, there’s no liability on the game developer.

(All information was provided by Video Games Chronicle and Wikipedia)

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