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Thread by @dsmart: "**BREAKING STAR CITIZEN NEWS INCOMING** Stay tuned... STANDBY....skadden.com/professionals/… One of the best and most expensive law firms in […]"

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**BREAKING STAR CITIZEN NEWS INCOMING** Stay tuned...
One of the best and most expensive law firms in the US. forbes.com/2009/01/23/ska…
While you're waiting, RSI/CIG recently settled the lawsuit filed against them last year by a builder. lacourt.org/search/?search…
They also formed yet another shell company two weeks ago.

corporationwiki.com/p/30sfsh/rober…
This brings the number of companies (most of them shell) involved in the project to 17. dereksmart.org/forums/reply/3…
Star Citizen backers now have a choice to make. 1) Dig deep & continue to fund a failed venture 2) ask questions about the money or 3) pull out and get a refund.

What choice will you make?

It's here. It's bad. And it's only going to get worse.

Stay tuned.
**BREAKING** CryTek has followed through on its threat to sue RSI/CIG for a litany of things, and have hired one of the best law firms in the US.

pacermonitor.com/public/case/23…
The lawsuit is currently up on PACER, but doesn't show as being served yet. They are claiming, among other things, IP infringement, breach of contract, and royalties (on the $170m raised) due to them.
I am currently working through an article about it which will provide more details from the filing. It's as serious as can be, as they are alleging they switched engines to avoid paying them. Developing story. Stay tuned.
This is 1 of 3 lawsuits that I have been aware of for months now.
Make no mistake, this is NOT your run-of-the-mill lawsuit. CryTek have more standing, more power, and more claims than backers who "pledged" to a video game. Without CryTek, Star Citizen would NOT exist. Period.
As most people in my software field know, IP lawsuits are NOT to be trifled with. And this one comes with a nicely wrapped injunction - which is going to be hilarious when CIG/RSI responds to it first.
And if there was ever a lawsuit which would have DIRECT and COMPLETE access to the money, this is the one. That's why CryTek hired a powerhouse law firm. They're not screwing around.
From my reading of it, it boils down to a simple claim: they switched engines to avoid paying CryTek their share of over $170m in revenue. The IP infringement part (they removed the CryEngine logo) is just a smaller part of that.
The first thing Chris and Ortwin are going to do this morning, is Cry (see what I did there?)
And this is going to also drag Amazon into it because the attorneys are going to want to gain access to ANY and ALL records/comms between AMZ & RSI as per the switch to Lumberyard. Trust me, I know about lawsuits. This is BAD.
Meanwhile, over @Polygon "Star Citizen backer's $25,000 refund has taken months, still in dispute" polygon.com/2017/12/13/167…
Remember how I wrote a blog saying they really didn't "switch"?
Yes, sure you remember. You can read that blog right here: dereksmart.com/2016/12/star-c…
Make no mistake, this is on the level of Zenimax v Oculus bad.
15. On November 20, 2012, Crytek and Defendants entered into a Game
License Agreement ("GLA") with Crytek.
The GLA was extensively negotiated, and
negotiations on behalf of the Defendants were led by one of the Defendants' cofounders,
Freyermuth.
In prior years, Freyermuth also represented Crytek in
negotiations of similar license agreements with third parties.
Notwithstanding that
he had confidential information about Crytek's licensing practices that would
unfairly advantage Defendants, Freyermuth never recused himself from those
negotiations and never resolved that conflict of interest with Crytek.
The
negotiations on behalf of Crytek were led by Carl Jones, then an employee of Crytek.
Jones later left Crytek and became an employee of Defendants.
PRAYER FOR RELIEF

b. entering a permanent injunction enjoining and restraining Defendants from continuing to possess or use the Copyrighted Work and a preliminary
and permanent injunction requiring Defendants, and all those acting in concert or participation with Defendants, from infringing or encouraging, aiding or abetting others to infringe the Copyrighted Work;
Remember when I kept saying the funding tracker was mostly fiction? Stay tuned. This is the state as of today.
Now they get to explain to CryTek attorneys how they arrived at this number, as it ties directly into what CryTek claims they are owed.
Take a long hard look at this guy. Then follow his case history, and that of his firm. He's going to completely destroy CIG/RSI.
You can now read the entire lawsuit online. scribd.com/document/36710…
Remember, a firm like Skadeen will never - ever - take a case without merits, nor one that wasn't worthy of said merits. They have no time for frivolous lawsuits or small potatoes.
Does anyone know the implications of a RICO case by any chance? Read up on it. And remember I said this was 1 of 3 lawsuits. Stay tuned.
Hey remember when I wrote in my blog that CryTek was the one that did the Star Citizen trailer and demo? Sure you do.
Let me just put this as mildly as I can: Star Citizen is FINISHED. They can't afford to pay CryTek what they claim. Most of these claims are open and shut with zero defense.
Don't focus on the $75K, as it's immaterial and procedural. This has been going on for months now, and if CIG could afford to pay CryTek to make it go away, they would have done so rather than risk losing the farm in court.
Since CryTek has offices in the EU, as does RSI/CIG, they are going to sue them there as well, since the engine is being used globally.
As per the lawsuit, they have scammed everybody in the Star Citizen chain. Backers. Contractors. Partners etc. It's a pattern of conduct that the CryTek lawsuit doesn't even touch the tip of the iceberg.
Hey remember when I wrote a blog saying that CIG dev Ben Parry was lying? I expect to see this image from that blog, in discovery. dereksmart.com/2016/12/star-c…
Also note that, as per this lawsuit, RSI pledged Squadron 42 and all it's UK assets in exchange for a loan from @CouttsandCo this past Summer. That IP collaterial is now the target of an infringement lawsuit.
Yup. That's CryEngine, not Lumberyard. Just as I have been saying since 2016.
The hilarious part is that even AMZ didn't rename some of the CryEngine modules from their base/default names. But they have a totally different license from what CIG had with CryTek.
It's going to be amazingly hilarious how CIG responds to this lawsuit when they clearly removed the CryEngine logo in 2.6.0 released in Dec 2016 in violation of the GLA.
Not to mention that according to the GLA, they were supposed to be providing CryTek with code drop changes since 2011. LOL! CryTek is entitled to the 64-Bit positioning hack. God this is so funny, I'm in stitches.
Can you imagine what would happen if CIG was using Lumberyard, but didn't include the logo as required - thus violating the Amazon agreement? It's the same thing here.
It's the same with most engines because that logo is promotion of the engine, when you get in exchange for free. That promo is the VALUE in the engine they gave to you FREE.
Except, when you sign a GLA and you get a price cut and other concessions, but it still says you have to display the logo, that's part of the discount and concessions for using the engine. It's pretty standard.
Though the GLA with CryTek and CIG is different, you can download the public one right now and read if for yourself. Just like you can with UE4 and Lumberyard. It's serious business.
The other open and shut part of this, as per the filing, is that in their Bugsmashers videos they were disclosing CryTek code, in violation of the GLA. There are public videos going back BEFORE the Lumberyard switch.
To add insult to injury, they are linking to Lumberyard on the CryTek logo. Scroll down, click on CryTek logo. robertsspaceindustries.com/contest/the-ne…
Hilariously, there are backers right now parked on Reddit wondering if they're funding a lawsuit. As if there was any doubt that the money that was supposed to fund a game, is now going to fund a lawsuit over said game.
Funny how before now, they never bothered to find out what happened to over $170+ million, six years later.
This is what Erin Roberts wrote back in 2014. It's public record. forums.robertsspaceindustries.com/discussion/com…
When it rains it pours. Let's not wait for discovery. So here it is: CIG/RSI is insolvent. Wait for the next penny to drop. It completely overshadows the CryTek lawsuit. Stay tuned.
Remember back when some backers were spreading false rumors that Amazon gave CIG cash to use Lumberyard, and I said it was false? Well, guess what, that's what discovery is for. Hint: It's false.
CIG official statement: "We are aware of the Crytek complaint having been filed in the US District Court. CIG hasn’t used the CryEngine for quite some time since we switched to Amazon’s Lumberyard."
"This is a meritless lawsuit that we will defend vigorously against, including recovering from Crytek any costs incurred in this matter."
The usual "dindo nuffin" response to a lawsuit.
In case you weren't paying attention, CIG just basically, without legal counsel, just went on the PUBLIC RECORD and ADMITTED to violating one of the items of contention in the lawsuit. See where it mentions 2.1.2 in the complaint. wow
For those of you just getting to speed, here is the filing again. scribd.com/document/36710…
As I posted before, Erin in 2014 said they had done an outright buyout of the engine. Now they issue a statement not even mentioning that.
You know why? Because it's not true. If you did a buyout of an engine, this lawsuit would either exist, nor survive a motion to dismiss. Let alone attract a firm like Skadden to take the case.
At least now CIG doesn't have to hide the mass layoffs they've been trying to keep quiet. They can blame it on having to fund a lawsuit. Pledge moah!
As per this lawsuit, I am expecting to see a bar complaint against Orwin at some point in the near future.
For those who haven't done the homework on Skadden law firm. "Mr. Sammi, as lead trial counsel, recently obtained a $500 million jury verdict for leading video game studio clients ZeniMax Media and id Software against Facebook subsidiary Oculus VR and its executives"
PSA: Hey CIG/RSI, don't even bother taking down those infringing videos. We have them. ALL OF THEM.
The guys over at @PCGamesN have the best write-up so far. You can tell they didn't write it up in a hurry to get a click-bait scoop. Read it. pcgamesn.com/star-citizen/s…
Selfishly, my only Christmas wish, is for Ortwin to be the one to respond to this lawsuit. As incompetent as he is, Skadden would just take one look and send him a fruit basket
I have no doubt in my mind that once the Feds get their act together, people are going to jail over this project. Mark my words. It's coming.
An interview I did with @BigfryTV last week is now public
Just gonna leave this here for future reference. Don't shoot, stab, or bludgeon the messenger. I didn't write it, but I've written about some it at length.
If you are just joining this Crytek v CIG/RSI thread, in July 2015, I wrote about why them developing two titles with CryEngine was a legal minefield. Here we are. dereksmart.com/2015/07/inters…
What I said back then in that blog.
is live in +5 mins taking on the CryTek v CIG lawsuit. As usual, the Citizens Defense Force are in chat. It's amazing.
I remember when Zenimax v Oculus was a thing. People were attacking Zenimax, calling it a cash grab etc. Then they won a $500M settlement and a lot of things. This is worse.
All that matters is that CryTek, let ALL companies has the right to protect its IP and enforce contracts. It's that simple.
CIG instead of doing the right thing, for the past year has been stonewalling CryTek. Then they somehow thought switching to Lumberyard was going to absolve them of their contractual obligations.
Yet, Citizen Defense Force are attacking CryTek. And these are the same guys who CIG bans from their community, files DMCA video takedowns over leaks of a game THEY already paid for. The irony is hilarious.
This is the SAME company that thought it wise to issue a press release with FALSE information because a game dev wrote this blistering indictment of their project. Because that's normal. dereksmart.org/2015/08/star-c…
I have been in this biz for over 30 yrs. So many companies and games have come and gone since I started in the eighties. I am still here. I know a train wreck when I see one cuz I have been in one myself
Now, the money that they promised would go into the game, is going to either fund a lawsuit or a settlement. Which is hilarious considering that backers still don't even what happened to millions of Dollars and NO PRODUCT after 6yrs
I wrote back in 2015 that CryTek built those demos and trailers. It was just hearsay then. Now it's in the filing and is fact. WIthout CryTek's excellent work there would be NO Star Citizen. That's FACT.
That's how a partnership works. They built the tech, Chris used his name and lies to get the money. Then he turned around and not only screwed them, but also crippled them by poaching their staff.
Which, if you pay attention to the lawsuit, is precisely why they named Ortwin in the suit because of the legal double dealing that also went on.
I remember when EA and Activision got into a massive lawsuit over Vince & Zampella leaving. It's precisely like that. If you roll over and play dead, people think it's OK to steamroll you.
I am hoping that CIG is dumb enough to drag this out, rather than just settling and moving on. Discovery would be amazing, and we'd get the FACTS on that funding chart which CryTek is already going after.
I can't wait to read the incoming amended complaint from CryTek, which I expect will follow CIG's answer which is due within 20 days.
When Ortwin wrote that response to the media, he inadvertently gave CryTek what I believe to be their 1st win. For free. And they didn't even have to fight for it in court.
has updated his @Polygon story which now includes another $16K backer whale taking legal action over their refund polygon.com/2017/12/13/167…
Thanks to all the crazy Citizen Defense Force guys who showed up on Leonard's YT video earlier this morning. Without you guys, we'd run out of lols. Keep the faith, and keep showing & spreading the crazy. It's all good
ICYMI
**BREAKING NEWS**

The Coutts are here.

I repeat, the Coutts are here.

That is all.
I am hearing CIG was already under clear threat of IP infringement lawsuit before they pledged SQ42 & other materials to @CouttsandCo for the UK loan. This presents another problem as they would have had to disclose this to the bank.
I wrote about the Coutts loan details earlier this Summer when I broke the news, forcing Ortwin to address (he lied of course) it dereksmart.com/forums/reply/5…
The single most hilarious part of Leonard's broadcast from this morning. i.imgur.com/VyNdOtp.png
The CryTek v CIG/RSI lawsuit image is almost 50K viewers now scribd.com/document/36710…
LOL!!! Who remembers that graphic from my blog about the Lumberyard switch?
CIG right now, after finding out that SQ42 (which btw according to sources doesn't even exist as a game) was a bad idea.
$25 Star Citizen book - from China - with $35 shipping costs. Yeah, this never stops being funny. reddit.com/r/starcitizen/…
1) Backer funds project for CIG

2) Then CIG makes cheap crap in China using backer money

3) CIG sells cheap crap back to backer at a profit.

Pledge moah!
OK today's update. Let's go. It's been a busy week for Star Citizen backers. But let's start with the lawsuit. Sources are telling me that everyone is freaking out. Shocking, yeah, I know.
The problem that CIG/RSI has now is that when you run a dictatorship, not a leadership, and the people who work for you do NOT trust you, lawsuits become the melting pot for internal dissent.
If they thought their studios were leaking before, just wait and see what's going to happen now that people are becoming even more brazen in their dissent and desire to tell their story.
ALL the studio heads are culpable for what has happened to this project and how management basically got rich off crowd-funded money without ever staying focused on shipping a game.
key issue with this CryTek lawsuit is that, being arguably the bona fide CO-CREATORS of Star Citizen (regardless of who owns the IP), they have the most standing in ANY lawsuit against CIG/RSI. Worldwide.
It is documented, there are ACTUAL code and run-time builds PROVING that CryTek built the original demo and trailer, while Chris Roberts, the visionary, went out to get the money by trading in his name, scruples, and decency.
The best example that I can give in this regard, is two parties getting together to do a gig. Both bring something to the table. In this case, CryTek brought engine + expertise. Chris brought money and fame.
While there is NO partnership between CryTek and CIG/RSI, as is standard with these things, when one party trades something in exchange for another, that's their VALUE exchange.
CryTek got an engine license + publicity FOR THEIR ENGINE. CIG/RSI got CryTek expertise + cheap engine license in exchange
It's not unlike you getting Spotify for free, if you are willing to put up with ads. With the Star Citizen publicity which CryTek envisioned having VALUE, they gave a license on the cheap, and took the rest of their VALUE in publicity.
Imagine if CryTek figured that they would get 10 licenses from the behemoth that Star Citizen became; and that license translated to money. That's their gain. If they got 0, that's their loss. They gambled. And won because Star Citizen became HUGE
But instead of reaping the benefits of that gamble, they are alleging that CIG/RSI stripped them of that via a material BREACH OF CONTRACT when they STOPPED holding their end of the bargain: the PUBLICITY FOR CRYENGINE
And to add insult to injury, they are alleging that CIG/RSI then went off and split a single engine license, to make two products. That's their IP INFRINGEMENT allegation.
Most of us devs over the years have had to license engines. In some cases, you had to pay for the engine AND pay support costs. e.g. for Line Of Defense, we at 3000AD licensed several Havok engines which we had to pay for AND pay yearly support costs.
We cannot then use those single licenses on more than one product, without getting another license. Even cheap middleware that we use like Triton (water) or Silverlining (clouds etc) are SINGLE PRODUCT licenses. Most software are SINGLE use.
Though the industry has moved on to cheap (Unity) and/or free (in some regard) licenses like UE4 or CryEngine, it does NOT negate prior license obligations.
So unlike what Star Citizen supporters like @montoya_test said in his latest video, just because CryEngine is free now, does NOT free CIG/RSI from their prior GAME LICENSE AGREEMENT. That's NOT how that works. At all.
Key to all of this is that if the GLA says CIG/RSI can only use CryEngine for Star Citizen as part of their offering up their VALUE, CIG/RSI simply CANNOT unilaterally change the deal without a MUTUAL CONTRACT AMENDMENT.
To be clear, under normal circumstances, you can change engines any time you want. But if you make a deal and get an engine cheap, in exchange for PROMOTION, that's the deal. If you break it, that's a MATERIAL BREACH OF CONTRACT. There is NO defending that.
Imagine if the PUBG guys had an engine license with Epic for UE4, which requires them to prominently display and promote the UE4 logo. The game is a MASSIVE hit. Do you think that Epic Games would just sit back and ignore it?
Epic Games would NOT ignore it because THAT'S the DEAL. To Epic "Made with Unreal Engine" is their PROMOTIONAL VALUE. Why do you think the VAST MAJORITY of games are powered by Unreal? Most of them DO NOT PAY FOR A LICENSE.
If you're egotistical enough to think that you can't have the Unreal Engine logo displayed everywhere, that's great. You then get to cut Epic a HUGE CHECK for the privilege of pretending it's your engine, and not displaying the UE logo.
CIG/RSI didn't have to cut CryTek a huge check. They got a cheap license, and traded the money for promotion of a single title.
Now for the fun part. With Star Citizen such a massive PR hit, imagine what a contract for Squadron 42 would have looked like if CIG/RSI had gone back to engage CryTek for a license for THAT game. See where I'm going with this?
Unlike Epic Games, Unity etc, getting a second license isn't a big deal. Go download it free or for a small fee, pay us based on the terms. Done. But CryEngine is the license underdog and they have to plan their business differently.
Who is insane enough to think that CIG/RSI would have gone to CryTek and asked for a second license for SQ42, then assume that CryTek would have said "yeah, go ahead mate". Just like that?
CIG/RSI were already heavily invested in CryEngine, and if they didn't agree on terms for a second game license, it would have cost them more to switch to another engine, let alone build their own from scratch.
It gets worse. Over the years, after some shitty (trust me, discovery is going to be a hoot) things by CIG/RSI to CryTek, the relationship completely deteriorated. And that's not conducive to additional licensing talks.
CryTek have been having their own share of troubles over the years, but that's patently immaterial to this lawsuit. Nobody cares about any of that. CryTek bad, doesn't make CIG/RSI good.
The fact that Amazon bought a perpetual license WITH sub-licensing rights from CryTek for over $70M is going to be a BIG part of this lawsuit. Guess why that is. VALUE.
Sources tell me those negotiations started back in 2015 but of course weren't public until 2016. If you're thinking, hey, that was during the height of the Star Citizen craze where CryEngine was focus: BOOM! There you have it.
Amazon could NOT have bought a similar engine license from Unity or UE at that price. And with their money, it was CHEAPER to buy CryEngine and build it. $70M+ cheaper.
Case in point. We licensed Trinity Vision Engine for a crazy amount of money for an indie studio. Then Havok bought that company and renamed the engine to Havok Vision Engine. Why? Havok needed a graphics engine because they didn't have one.
For us, the switch between the two was trivial because Havok wasn't looking to change anything. And their other engines, Physics, AI which we also use, were already integrated by Trinigy.
Unfortunately for Havok, it didn't pan out, so they scuttled Havok Vision Engine (it's no longer on their website btw). Shortly after that, Intel sold them to Microsoft. Since then NO further changes to the engine. It was dead.
I mention this in order to give context for the CryEngine to Lumberyard switch. Now let me explain that.
Havok made a bet on buying a graphics engine they didn't want to build. They didn't market it. They didn't have any big names using it. Up against the likes of the Unity + UE4 + CryEngine trifecta is was basically dead.
So now you see why publicity for CryEngine was such a huge value for CryTek, and for them betting on it riding on the wave that was Star Citizen + Chris Roberts?
CryTek, like most companies needs to make money off their IP and games. With Star Citizen not having yielded the financial windfall they bet on, they too struggled with cash flow issues. It happens. More often than is public knowledge.
They sold Warfare to My.com, and did other industry deals. Well guess what happens if you discover that your engine licensee which didn't yield expected financial results, then turns around & changes the deal, while building ANOTHER game
Did I even mention the part where CIG/RSI had an on-going habit of grabbing CryTek contractors and employees, thus making it difficult for them to continue as a going concern? Nobody thinks about this. But it happened.
No, it's not a legal issue, it's an ethical one. Imagine having a business partner in a venture, then you guys have a falling out, and you go back and make things difficult by poaching his staff with impunity.
Do you know how many lawsuits like that are wage, fought, won or settled in the US? Even though it's not even illegal - unless there is a legal non-compete? A LOT.
Now for the best part. When AMZ licensed CryEngine, they did the same thing that UE4 does. Use it free. Basic conditions are retain the logo, don't use a competing cloud service. Done.
What do you think would happen if CIG/RSI used Lumberyard and not only failed to display the logo, but also continued to use Google Compute? Do you think AMZ would just laugh it off?
CryTek is alleging that switching to Lumberyard constitutes an engine switch & contractual breach. This is also going to be a key part of this lawsuit. Any inference that CryEngine & Lumberyard are the same, will FAIL on merits alone.
Some of us have access to both engines. While Lumberyard is a derivative of CryEngine, it could very well be CryEngine6 if AMZ didn't rebrand (as per their license) it for themselves.
Basically, ignoring the technological improvements in both engines, the licensing alone makes them LEGALLY different. There is no arguing this. Getting a CryEngine license from CryTek is NOT the game as getting a Lumberyard license from AMZ.
When CIG/RSI licensed CryEngine3, they created their own custom engine from it. They called it StarEngine. This is normal & common. They can call it what they like. We don't even have a name for our custom engine built from Havok suite. We don't care.
Now, to understand why this is important..

CryEngine3 + custom code = Star Engine

CryEngine3 + custom code = Lumberyard

See where I'm going with this? OK, brb. Pee break.
During 2016, after CIG/RSI had SEVERAL meetings (remember when I said discovery is going to be a blast?) about how to deal with the engine issue, they started looking at Lumberyard. And this was during a time when even AMZ was advising AGAINST using it for production code
With all the newsletters, memos, show broadcasts, interviews etc. not ONCE was it made public, let alone to backers, that they had made the "switch". Now ask yourself why that was.
I knew about it since it started, but of course there were very few people involved and leaking it would have compromised sources. So I sat on it, waiting for the GO NO GO point.
Then the GO NO-GO came, amid the horrifying emails and discussions among the team that were 100% against doing it - and for obvious reasons.
In the end, the minute they pushed the 2.6 build in Dec 2016, which was confirmation they DID use the Lumberyard branch, I Tweeted it. You can read my blog on that. dereksmart.com/2016/12/star-c…
It wasn't long after the release and my Tweet, that the newsletter went out. This was the statement from CIG/RSI forums.robertsspaceindustries.com/discussion/364…

imgur.com/fGZmPAL.jpg
Did I mention that they spent a WHOLE YEAR on an engine switch WITHOUT mentioning it ONCE to backers? Sure I did.
And do you know how the public (besides my Tweeting it) knew about it before they even saw the newsletter? Yup, the Lumberyard logo was prominently displayed. It's a condition of the license.
As you saw in my blog, I got into a public spat with Ben Parry, a mid-level CIG dev who was trying to convince me - someone with 30 yr dev experience, 16 shipped games, and a plethora of degrees & qualifications, that the "switch" was a simple thing
If nothing else, this lawsuit, if it gets to discovery, is going to lay bare ALL the reasons WHY it was important for CIG/RSI to down play this CryEngine to Lumberyard switch. No, it's not a Red Herring either.
When we get to the AMZ involvement, it is 100% non-existent. They have NOTHING to do with this spat. They gave CIG/RSI the same standard license everyone else has. I know for a FACT that they do NOT give money for using that engine as promotion. At all.
Any person suggesting that because Star Citizen is important to Lumberyard as its most prominent title, so it's important for AMZ to see this resolved, is huffing glue.
The only way AMZ gets involved, is if they get made a party to discovery by Skadden in order to determine if there were ANY discussions between CIG/RSI and them about the implications of switching from CryEngine
According to sources, I can tell you that they claim those discussions did in fact take place. If that's true, then it's going to get into the realms of "intent".
As a dev, I have to point out that such discussions are NOT uncommon. If you are switching from Unity to UE4, it's common to ask the devs or the community certain questions about pitfalls, procedures etc.
But if ANY of those discussions even got into the mere suggestion that they KNEW going from CryEngine to Lumberyard would be a problem. someone is going to be writing a f*cking large check.
The knowledge that a breach was possible in such a switch, goes directly toward CryTek's claim of breach, and that the GLA prohibits them from switching to any engine, of any kind.
I have seen people down playing the importance of the GLA. These people are forgetting that a firm like Skadden would NEVER cite a material FACT in a filing if it were NOT true. Sure there could be a dispute regarding interpretation.
e.g. these two are materially different, regardless of context:

1) I saw a man crossing the road

-|-

2) I saw a bald man crossing the road

You see "man", the opposition sees "bald man". Now you're off to the races.
So while CryTek is contending the GLA prohibits CIG/RSI from switching engines, it could very well be that the opposing argument is going to be "Yeah well Lumberyard is still CryEngine. So we didn't switch".

God I hope they put that in their response. I would die of laughter.
Notwithstanding the fact that they removed CryTek/CryEngine branding from the game, and replaced it with Amazon/Lumberyard.

This is CIG. There's always more, and it's always worse.
My opinion is that CIG/RSI has to settle this somehow. There is absolutely NO way they let this get to discovery. No way. The issue is that with dwindling funds and a game that's YEARS away from a viable product, where is the money coming from?
The fact that Skadden has offices in EVERY country where RSI/CIG has an office, presents an even bigger problem in terms of the intrusion that discovery brings.
The nature of this lawsuit means that emails and depositions into people's qualifications (Hey Sandi, better go dig up those three degrees), history, experience etc is ALL fair game.
Though they aren't even material to the claims, the minute I get wind of their emails regarding what they did to me back in 2015, and their on-going efforts to support their fans harassing me, my attorneys are standing by to march straight into court.
Things we are going to know via discovery including the money, the funding chart, who knew what, when, what they said etc. EVERYTHING between streamers and CIG/RSI etc. This is a BIG deal. No mistake.
I already envision key deposition targets being Chris & Erin Roberts, Sandi Gardiner, Ortwin Freyermuth (more on him later), Tony Zurovek, Sean Tracy, Brian Chambers and EVERY ex-CryTek person working for CIG/RSI
The lol fodder in deposition and discovery are going to be Ben Lesnick, Jared Huckabee, and some other low level key players who ended up on camera saying a treasure trove of stupid shit that the company is now on the hook for.
Not to mention the deposition and/or witness list comprising of early people who would have FIRST HAND knowledge of the spat between the two companies in the early days.
Short list. Eric Petersen, James Pugh, Travis Day, Alex Mayberry, Sean Tracey's brother who left the project etc. Yes, ALL the people who have NO incentive to lie under oath for a co headed by LOATHSOME people.
As for Ortwin, if anyone thought it was just a fluke that he was named in a cause of action in the suit, you don't know how this works. Basically, by "conflicting him out" he basically CANNOT claim attorney-client privilege in ANY part of this.
Just like Popehat wrote in his article in 2015 about the letter Ortwin wrote to The Escapist, he basically made himself a material witness to all of this. Notwithstanding him being a co-founder of this train-wreck.
Between Ortwin and Chris, they have a LONG list of failed ventures in their wake. The most prominent US one being Kevin Costner suing and killing Ascendant Pictures for ----> BREACH OF CONTRACT.
I know I posted this before, but this is Erin Roberts, on the public record misrepresenting the engine license. June 2014

forums.robertsspaceindustries.com/discussion/com…

pbs.twimg.com/media/DQ9QfZ9X…
And this is not some low level employee or contractor. This is the brother of Chris Roberts who got a $100M+ studio built for him by his brother. With backer money. And NO PRODUCT
Right now, EVERYONE is talking. CIG/RSI can downplay this all they want. They simply have NO room to move. I am NOT saying the project is going to die rigth now, I've been saying that forever. This lawsuit will just serve to give backers ANSWERS...
...and those answers have the potential to completely KILL whatever chance this project had of ever seeing the light of day due to the NEED for on-going backer funding. They neither have the money nor the time. This lawsuit makes it worse.
But feel free to ignore me and keep giving them money. After all, these are just my opinions. What you do with them, is up to you, as it makes no difference to me either way.
My sole goal remains the same: vindication. I don't care about anything else. And how I got involved is well documented already. dereksmart.org/2015/08/star-c…
This company took a personal stance because I wrote a blog. Then used their toxic backers to engage in on-going harassment, attacks, doxing, review bombing of my games etc. All because they felt I was the single most dangerous dissenter
The same Star Citizen streamers who get free ships from CIG to promote the game, regularly attack me, to the extent that Twerk17 is on video (we have it) advocating for someone to stab me to death.
My one regret is that there are a very large number of backers out there who will NEVER ever get the game that they paid for. And there isn't a SINGLE thing they can do about it.
That is all for today. To catch up on my 2 yr history of this farce, check out my blogs at dereksmart.com. They are free. No ads. No promotions. Nothing.
You can catch up on Chris Roberts's LEGACY OF FAILURE here.

dereksmart.com/forum/index.ph…
Until then, I will let those crazy Goons do the sign off of today's session.

"Crobby! We gotta go back! Back to before the "engine switch!" Something's gotta be done about your lawsuits!"
For the record & to stop the emails, rumors, & DMs. NO! 1) I do NOT have ANY financial interests in CryTek 2) I have been aware of this lawsuit for months now, but it has NOTHING to do with me 3) at some point in the suit, I AM going to be involved as per my history with CIG/RSI
My legal history with CIG/RSI is well documented. My sole purpose in funding that was to get them to give backers like me, the 3 things they promised in their own TOS which we ALL agreed to.
As I wrote in this blog, they told me to buzz off, then went ahead and did 2/3 of the things I was asking for anyway. dereksmart.com/2017/07/july-b…
So right now, my selfish reason for wanting to see CryTek stay the course is because, unless CIG sues me, CryTek are the ONLY entity (besides the Feds) now capable of getting answers for backers about THE MONEY
I have already promised Ortwin that if they sue me, I will not file for a motion to dismiss, and I will not activate SLAAP laws. I will take it all the way to the end because backers who gave $174M deserve ANSWERS for their money.
I believe that CIG/RSI have actively engaged in a scam, and a protracted effort to unjustly enrich themselves, under the guise of building a game. For as long as I am alive, I WILL PROVE IT.
CryTek issued a press statement. “Crytek is a technology company and intellectual property is its greatest asset,” they said. “It is unfortunate that this lawsuit had to be brought, but Crytek has been left with no option but to protect its intellectual property in court.”
You can read it in the original Polygon article.

polygon.com/2017/12/13/167…
I have some breaking news, but will hold off until next week for additional info. Meantime, note that RSI created yet another shell company on 11/30. Bearing the same name as the parent being sued.
A corporation knowing it's going to get sued into oblivion, tends to start moving assets around. Meet RSI LLC corporationwiki.com/p/30sfsh/rober…
That brings the list of shell companies involved in this $174M+ CROWD-FUNDED project to a whopping 17. Yes, I have a list. As if you had to ask.

dereksmart.org/forums/reply/3…
Also, make no mistake, regardless of what you read next week about Ortwin, as co-creator, he's a material witness to all of this, and therefore probably wont' get away with attorney-client privilege nonsense
Oh, btw, as I firmly believe we're going to end up in discovery, where every damn thing is likely to leak, the funding chart, as I've said before, is mostly FAKE. That's going to be the first target since it supposedly shows their public income flow
As for the backers who are now running around frantically fooling themselves that all is OK, them giving money to a sinking ship whose captains had claimed they already had enough money to make the games, is like a self-inflicted gunshot wound.
And to those who kept engaging in "spite pledging" in a feeble and failed attempt to keep them afloat in order to prove me wrong: guys, here's the thing; you backed the wrong horse. Wait for what comes next. This is NOTHING.
To the rest of you trying to get refunds, unless it's a small amount, you're too late.
For more help on how to put in for a refund, go to talk to a very helpful bunch of gamers just like you reddit.com/r/starcitizen_…
For the record, I am a bona fide Star Citizen backer. And there is NOTHING they can do about that. I bought a product, and they have NO control over that.
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