Marvel Rivals developing studio is being sued for $900M, NetEase replies to the lawsuit

Marvel Rivals developer NetEase Games is facing a $900 million lawsuit filed by Jeff and Annie Strain, owners of Prytania Media, for allegation of defamation, unfair trade practices, and interference with business relations. The lawsuit, which is public for everyone to read, claims that NetEase Games' actions led to the collapse of Prytania Media and all its subsidiaries. This is one of the biggest lawsuits in the game industry till date.

On that note, here's everything you need to know about the lawsuit.

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Marvel Rivals game developers face a $900 million lawsuit from Prytania Media

Firstly, it is to be clarified that Prytania Media is not associated with Marvel Rivals, and the lawsuit does not involve the game either. For those who don't know, Prytania Media was a game development company that operated multiple studios. The company was founded by industry veteran Jeff Strain, known for his work on Guild Wars and State of Decay.

Despite the success, the company was abruptly shut down in early 2024. In the lawsuit, Prytania Media claims that NetEase’s actions ultimately led to its shutdown.

The lawsuit, originally filed in Louisiana state court before being moved to federal court, revolves around several key accusations. The first point is regarding alleged defamation and false statements given by NetEase Games about Prytania Media. These claims allegedly scared away investors and damaged the company’s credibility.

The lawsuit also claims that NetEase engaged in unfair business tactics, which negatively impacted Prytania Media's operations. Moreover, they mentioned that NetEase actively discouraged potential investors and partners from working with Prytania, which accelerated the company's decline and resulted in them shutting down in April 2024. NetEase Games used to own 25% stake in Crop Circle Games, which was a subsidiary of Prytania Games.

NetEase Games denied all allegations and issued an official statement to Polygon in a recent interview, stating that they are committed to conducting business with integrity and that all the claims are wrong. They also mentioned that the lawsuit would reveal the real reasons behind Prytania's demise.

If you are interested in knowing more, you can read the full lawsuit document here.

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