NCsoft files lawsuit to thwart TERA launch

**Ambrosia** · 2012-01-26 00:41

This just recently showed up on the radar from MMO Culture.

http://www.mmoculture.com/2012/01/nc...wart-tera.html

"Just recently, it was announced that TERA will finally be launching this May in North America after several apparent delays. However, according to a lawsuit filed on 13th January 2012 by rival online games developer NCsoft, the launch date and plans might potentially be in jeopardy.

NCsoft Corp. filed a trade secrets and unfair competition lawsuit against rival Bluehole Studio Inc., claiming the company was created by former NCsoft employees (working on the fabled Lineage 3) who stole software and artwork to launch their own product. The full document is below."

In a complaint filed in New York federal court on Jan. 9, South Korea-based NCsoft, which specializes in massively multiplayer online role-playing games, or MMORPGs, says it has brought similar claims against Bluehole and its ex-employees in Korea, but that Bluehole is now planning to release an English-language version of its game in the U.S.

NCsoft maintains that Bluehole and its U.S. subsidiary En Masse Entertainment Inc. were founded by a group of NCsoft employees who quit to go into business for themselves in the midst of creating a new game called Lineage 3.

“These individuals did not leave NCsoft empty-handed or with benign intent,” the complaint alleges. “To the contrary, they made off with copious amounts of confidential and proprietary NCsoft information, computer software, hardware and artwork relating to Lineage 3.”

“Their business plan was simple and audacious: create a competing product using the very work they had done while at NCsoft, launch it themselves to great fanfare and acclaim, and, in the process, deal a crippling blow to their former employer,” the complaint said.

The former employees were convicted in Korea of stealing trade secrets from NCsoft in 2009, and the convictions were mostly upheld by an appellate court, according to the complaint.

NCsoft also lodged a civil complaint against the individuals and Bluehole in Korea in 2010. The company won damages and an injunction barring the individuals from using NCsoft's proprietary information going forward. However, the damages award was overturned by an appellate court.

Appeals of both the criminal and civil cases are currently pending before Korea's highest court.

Despite the litigation, Bluehole launched its game, Tera, in Korea last year, and has announced plans to release an English version in the U.S., the complaint alleges.

The current lawsuit claims that the U.S. version of Tera makes use of NCsoft's trade secrets, including documents, source code, artwork and know-how related to the development on Lineage 3, and copyrighted works, including concept art created for Lineage 3.

It also asserts claims of breach of confidence, unfair competition and unjust enrichment.

The suit seeks temporary and permanent injunctions blocking the release of Tera in the U.S., as well as enhanced damages for Bluehole's alleged misconduct.

Bluehole was not available for comment on Friday.

NCsoft is represented by Gene W. Lee, Jeanne C. Curtis and Peter J. Brody of Ropes & Gray LLP.

Counsel information for the defendants was not immediately available.

The case is NCsoft Corp. et al. v. Bluehole Studio Inc. et al., case number 1:12-cv-00172, in the U.S. District Court for the District of New York.

**Ambrosia** · 2012-01-26 00:46

According to Scapes he said:

"Evening, folks. We're aware of this. It's our policy not to comment on legal matters."

Me:

/throws mouse out the window
/throws keyboard out the window
/throws desk out the window
/throws house out the window
/throws planet out the window
/throws galaxy out the window

**FriskUni** · 2012-01-26 00:51

it's amusing because I hate EME, on the other hand I love TERA :3

hope they don't pussy out and delay launch though

**Rulke** · 2012-01-26 01:05

Originally Posted by Ambrosia

Me:

/throws mouse out the window
/throws keyboard out the window
/throws desk out the window
/throws house out the window
/throws planet out the window
/throws galaxy out the window

^This
Guess we'll have to wait and see. Honestly, sometimes I think I picked the wrong game to fall in love with. Any more delays and I will sadly consider focusing my attention elsewhere because need stuff to do with my friends. No foolin'

Edit: I am curious as to why this sort of lawsuit didn't get pushed forward for Japan release?

**FriskUni** · 2012-01-26 01:23

only NA/KR jumped ship from their company right? no japanese? probably a bitter thing

infact is this strictly NA as well and not against frogster also?

**Grey Jorildyn** · 2012-01-26 02:15

This game seems more fucked now than it was 6 months ago. Meh.

**Hitoshura** · 2012-01-26 02:22

NCsoft is a fucking horrid company itself. Bar none the WORST customer service I have ever seen, period.

**Ambrosia** · 2012-01-26 02:41

Note that the suit seeks temporary and permanent injunctions blocking the release of TERA in the U.S., as well as enhanced damages for Bluehole's alleged misconduct. Even if they don't win the permanent injunction initially (due to many factors that may come into play) they may still win a temporary injunction in the meantime, which may translate into months or even years of delaying the game's launch. Some things to take into consideration is that appeals of both the criminal and civil cases are currently pending before Korea's highest court. And obviously how Korean courts and American courts operate are quite different in how cases are handled.

It seems NCSoft must of done their research bringing in some big guns if they are using Ropes & Gray to represent them.

http://en.wikipedia.org/wiki/Ropes_%26_Gray

This is just a snippet from them. The firm is cited as among the country’s best in 38 categories with 16 practice areas ranked in the top band, including antitrust, banking & finance, bankruptcy/restructuring, corporate/M&A, employee benefits & executive compensation, health care, hedge & mutual funds, intellectual property, intellectual property: patent, investment funds: registered funds, labor & employment, life sciences, litigation: general commercial, private equity: buyouts, private equity: fund formation and tax.

**Ambrosia** · 2012-01-26 02:48

Complaint can be found here:

http://www.tsi.brooklaw.edu/sites/ts...lcomplaint.pdf

**Ambrosia** · 2012-01-26 02:55

Loli can be found here:

http://img215.imageshack.us/img215/555/elins.png

**FriskUni** · 2012-01-26 03:02

worst comes to worst, we'll be playing with frogster :3

any delay gonna hurt EME though, people already tired of waiting due to the push backs, more push backs would probably hurt it a lot, as BGT said, sick of waiting etc

**mallister** · 2012-01-26 03:33

/RAGE

**Maaglin** · 2012-01-26 04:30

Well back to waiting for D3 now I guess.

**samalis** · 2012-01-26 04:34

Wow that sucks. Guess I'm stuck with TOR until GW2.

**Scythiroth** · 2012-01-26 04:34

All the delays and other problems leading up to this game's release are really hurting my interest in TERA. x.x I just want to play it, but there just seem to be so many things getting in the way.

**Ambrosia** · 2012-01-26 05:06

Lights up the *BG Signal*

I know that the BG community is large (and no I don't mean heavyset). I was wondering if folks out there including Mods know of any lawyer (or are one) or are currently law students that can give their opinion on what may be:

A. The most likely positive outcome(s) out of this lawsuit.

B. The most likely negative outcome(s) out of this lawsuit.

as far as awarding damages and imposing a temporary or permanent injunction etc. Personally I can see how the game's launch can be delayed (as one of the likely outcomes) but don't know much of anything else that may or may not happen. (Of course everyone's opinion is welcomed). I'm not an expert!

**ⒻⓊⒸⓀⓎⒺⒶⒽ** · 2012-01-26 07:58

Originally Posted by Hitoshura

NCsoft is a fucking horrid company itself. Bar none the WORST customer service I have ever seen, period.

This, I have never hated NCsoft more than I do now.
Terrible company that makes even worse games, none of their titles are even good enough to be deemed an MMO.

Still bitter about what they did to Aion.

**avelle** · 2012-01-26 08:25

This is really disheartening. I've been bitter since Aion, but if they fuck up Tera's release I'll be even more bitter. I understand their complaints and their concerns, but this shit should have been fully resolved years ago.

**FriskUni** · 2012-01-26 08:35

Originally Posted by avelle

This is really disheartening. I've been bitter since Aion, but if they fuck up Tera's release I'll be even more bitter. I understand their complaints and their concerns, but this shit should have been fully resolved years ago.

It's already been resolved in Korea? now they're just being faggots and doing this shit for US release because members of EME jumped ship on their company, this has nothing to do with the game itself or 'potential' players they might lose to TERA because if that were the case this would have emerged with the JP release of TERA, for the same potential lost player base, same goes for EU

**Elcura** · 2012-01-26 08:36

It's unbelievable how many things have gone wrong for US TERA. It's like a long joke and the punchline is TERA's launch.

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