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  3D Realms: We're Not Dead, Take-Two's Lawsuit Baseless
by Staff [PC, Console/PC]
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May 19, 2009
 
3D Realms: We're Not Dead, Take-Two's Lawsuit Baseless

Responding to a just-filed Take-Two lawsuit over Duke Nukem Forever, creator 3D Realms is claiming that it will continue as "a much smaller studio", and rebutting several of T2's lawsuit claims.

In an official press release sent to the game media, un-named 3D Realms company representatives have debuted the following update on the company's plight.

As previously documented, development on the long in-development Duke Nukem Forever recently ceased, with the vast majority of the team being laid off.

As recently noted, the official 3D Realms website currently has a 'Goodbye' post with a picture of the full Duke Nukem Forever team inside the company's Texas offices.

However, 3DR representatives have made the following statement regarding the developer and the lawsuit circumstances, claiming the developer will continue to exist as a much smaller entity:

"In light of recent press articles and statements by Take-Two (to the media and in a lawsuit), we want to set the record straight on some issues.

Despite rumors and statements to the contrary, 3D Realms (3DR) has not closed and is not closing. 3DR retains ownership of the Duke Nukem franchise. Due to lack of funding, however, we are saddened to confirm that we let the Duke Nukem Forever (DNF) development team go on May 6th, while we regroup as a company. While 3DR is a much smaller studio now, we will continue to operate as a company and continue to license and co-create games based upon the Duke Nukem franchise.

As some of you may know, Take-Two filed a lawsuit last week containing various accusations and claims against 3DR and the uncompleted DNF game. Take-Two never paid 3DR advances or any signing bonus or any other funds related to DNF, up until July 2008, at which time they paid $2.5m in connection with another agreement for an unannounced game.

This is the sum total Take-Two has paid 3DR in connection with DNF. Take-Two claims that they paid $12m to GT Interactive/Infogrames to acquire the publishing rights for the DNF game. To be clear, 3DR was not a party to that transaction and did not receive any money from it. When the DNF game was originally signed with GT Interactive in 1998, GT paid 3DR a $400,000 signing bonus. Up until July 2008, this was the only publisher money we received for the DNF game. Meanwhile, 3DR put over $20m into the production of DNF.

Take-Two retains publishing rights for the DNF game, although 3DR retains certain rights to sell the game directly to the public. Late last year, 3DR began negotiations with Take-Two to provide funding to complete the DNF game. In the meantime, 3DR was hitting mutually-agreed milestones, despite not having a new agreement finalized.

Take-Two was well aware that 3DR needed the funding to continue the DNF game development. Suddenly, after months of negotiations, Take-Two materially changed the parameters of the proposed funding agreement. 3DR informed Take-Two that it could not financially afford the changes Take-Two was suggesting and would be forced to release the team if an agreement was not reached.

Take-Two made a last minute proposal to acquire the Duke Nukem franchise and the 3DR development team. Take-Two's proposal was unacceptable to 3DR for many reasons, including no upfront money, no guarantee minimum payment, and no guarantee to complete the DNF game. From 3DR's perspective, we viewed Take-Two as trying to acquire the Duke Nukem franchise in a "fire sale." Those negotiations fell through on May 4th, a deal never materialized, and the DNF team was sadly released a few days later.

Less than a week after the DNF team was released, Take-Two filed its lawsuit in New York, seeking immediate temporary injunctive relief. The court denied Take-Two's request for a temporary restraining order. While we cannot comment on the details of the ongoing lawsuit, we believe Take-Two's lawsuit is without merit and merely a bully tactic to obtain ownership of the Duke Nukem franchise. We will vigorously defend ourselves against this publisher."


Gamasutra will have more details on the lawsuit and Take-Two's position regarding Duke Nukem Forever as public statements are made.
 
   
 
Comments

Peter
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At least we know that Duke isn't dead and neither is 3DR

Peter Dwyer
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Sadly I think Duke Nukem would be in better hands if T2 did get the rights. It's been with 3D Realsm for 14 years with zero to show except tech demos and vapourware.

Berk Atabek
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forever Duke...!

Brighton gardiner
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@Peter
I cannot agree with your statement.
Based on the Leak footage and all the internal production images that were on the net from last week, I would say Duke Nukem Forever was looking fantastic and amazing.

I am curious as to the prospect of an internal Development Timeline.
It seems like its been started from scratch several times in the past few years.

Alan Rimkeit
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@Brighton gardiner - I agree. The art asset side of things was shaping up very nicely. I liked the style they are using. Now if they could only get the engine running to import all those assets. I think most of their issue in in trying to make their won game engine.

Personally I think that they should just bow down and use either the Unreal 3 engine or the Cry2 engine. The game IS a FPS after all. Just pump out the art assets, modify the engine code as needed, import assets, test for bugs, get to Gold, and sell the damn game.

Teri Thom
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Haha, like it's that cheap and easy.. lol ..

Alan Rimkeit
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@Teri Thom - OF course it is not, but after 12 years of making a Duke game I would assume that using a middle ware engine would make life a lot easier for them. What is to argue? What would be cheaper? Using a FPS middle ware engine for a FPS game or making/completing their own FPS engine?

Mark Venturelli
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Imagine if T2 would get the rights! They would do abominable things, like releasing the game and ending the longest running industry joke of all time. You go, 3D Realms =).

Serious now, I always feel bad when I see stuff like that translate in company lay-offs. Hope those guys get a new job asap.

Teri Thom
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It so would make it easier for them. No argument there. Wouldn't surprise me if they have enough done that moving it to a good engine would quadruple production and a fantastic release is but weeks away. :D

Dave Smith
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Brighton - making pretty art assets is nice, but useless if they dont work in game.


but seriously this story has just become sad. The only thing more sad is the continued support for a studio that is completely incompetent and has no idea how to make one game in over a decade. If only the production staff could lay itself off instead of the dev team.

Maurício Gomes
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Huh... So, saying that 3DR was closing do not quite worked well :P

Technically, it is impossible to 3DR close without Apogee itself closing, 3DR is a brand, not a studio or a company (Apogee, that people think that is a "ressurected company" is the actual company, that only use that name for 2D games, something that they did not made for a loooong time...)

Most likely everyone tought: "Ohhh my god! 3DR is closing! Apogee died!!!!" And people ignroed the part: "Apogee still exists and still is making the NDS Duke games..." the only part that they were clear and now they are being unclear is if they cancelled DNF or not ("closing" 3DR mean no 3D game, DNF is 3D, thus no DNF... but dunno, maybe they want to break their own traditions and make a Apogee branded DNF... Or a shareware DNF? I love sharewares!!!)


Yes, DNF == Did Not Finish O.O

Dan Kantola
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Man DNF might come alive then? :)
Whats T2 being so mean about? T2 should have been nicer and helped 3dr with the cash and then made bucket loads of money when DNF would have released instead of this stuff going on.

Alan Rimkeit
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@Dan Kantola - Not that T2 has any reason to be super pissed over 12 years of dev time.....

Rob Lazenby
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They put 20M into DNR? Holy cow, have you seen the development materials they released?
Wow, that's 20M for a lot of booze and drugs.
I love DN - but seriously, finish the game or move on. This is embarrassing to see.

jr mart
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Rob, you hit the nail in the head ("Wow, that's 20M for a lot of booze and drugs") and don't forget all the strippers as well but all jokes aside, i would love to see this get done and i think that a lot people have that same sentiment as well.

David Rodriguez
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To that Booze, drug and hooker statement. Apparently Midway executives did that trend on a regular bases according to some ex-employees(a pattern might be visible). 3DR has the audacity to say they plan to do multiple iterations of the franchise when one can't even leave it's doors. I really hate kicking a company when it's down, but the management there is making some reckless ass moves. That or there is definetly something shaddy going on at 3DR behind closed doors..

Peter Dwyer
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@Brighton

3DR have been leaking footage of DNF for the last 10 years. They have changed engines at least 3 times that I know of and somehow still had nothing to show for it. The game is vapourware pure and simply. It's the reason T2 refused to fund 3DR after they took stock of where the project was at after 14 years. It's rumoured that 3DR only started seriously working on the project when T2 first threatened to pull the plug a few months ago.

Chris Jolly
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This is almost cruel. "Despite rumours to the contrary, we are not closing down." The implication, picked up by the internet as a whole, being "Duke Nukem Forvever may still be released!"
I say almost cruel, because anyone entertaining this hope likely has the inevitable dissapointment (or, worse, the eternal limbo) coming to them. Even if the game were to be released (unlikey) the odds of it being good are equal to the odds of any game being good (small, as most are entirely disposable) multiplied by a decades worth of problems.


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