Prominent game publisher, Electronic Arts, has edged out a slight victory in shareholders, Ryan Kelly and Louis Mastro’s, lawsuit over Battlefield 4‘s undoubtedly rocky launch problems.
Read more about EA and the associated Battlefield 4 lawsuit after the break.
Battlefield 4 Lawsuit Update
Earlier this week, on Monday, a federal judge ruled against EA shareholders – Ryan Kelly and Louis Mastro – who both filed a class-action lawsuit against the company, claiming that Electronic Arts (and associated executives) made false claims about Battlefield 4‘s quality before the game’s official release.
According to Courthouse News, United States District Judge Susan Illston ruled that EA chief executive officer Andrew Wilson and chief financial officer Blake Jorgenson’s pre-release comments about Battlefield 4 amounted to nothing more than “corporate optimism” or “puffery.”
Furthermore, US District Judge Illston dismissed shareholders Kelly and Mastro’s claim that EA acted recklessly (intentional or otherqise) regarding Battlefield 4‘s pre-launch state, stating the following:
“…the complaint fails to adequately allege falsity and scienter for reasons articulated by defendants.”
The shareholders say that they relied on Wilson and Jorgenson’s comments when deciding whether or not they should buy EA shares. In response, EA showed that 5 of the 8 statements Kelly and Mastro presented were made after they purchased stock in the company.
Ultimately, US District Judge Illston ruled that shareholders Kelly and Mastro cannot further pursue securities fraud claims against EA.
The Battlefield 4 case is not over just yet, as the judge has stated that she will allow new lead plaintiffs to come forward. Yet, Kelly and Mastro must amend their case by November 3.
Earlier this year, EA CFO Blake Jorgenson said that Battlefield 4‘s catastrophic problems at launch “did not hurt the game’s commercial appeal.” However, EA has since stated that the game’s troubles at release resulted in a loss of player trust.
What are your thoughts on EA’s Battlefield 4 lawsuit? Are you in favor of the company or the shareholders? How come?
Let us know in the comments section below! As always, stay tuned to GamerHeadlines.com for the latest in video game and technology news.
Source: CourthouseNews.com
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