Looks like Electronic Arts can’t seem to catch a break. Rushing a broken game out of the gates in order to compete with Call of Duty seems to have backfired spectacularly on them as they might be staring at another lawsuit being filed against them.
Check out the original story of how investors have hired a law firm to investigate them and Battlefield 4 if you haven’t caught up yet. Aside from that pressure, Robbins Geller & Dowd LLP has filed for legal action against EA charging that they have violated the Securities Exchange Act.
The complaint seems to be that “Materially false and misleading statements highlighting the purported strength of the Company’s rollout of version 4 of its all-important Battlefield video game series. [have allowed] certain of Electronic Arts’ senior executives to sell their Electronic Arts stock at artificially inflated prices.”
That quote isn’t exactly word for word, but you can check out the source and you’ll find that it’s the basic lawsuit in a nutshell. Meanwhile, on the side of EA, a spokesman has stated that “We believe these claims are merit less. We intend to aggressively defend ourselves, and we’re confident the court will dismiss the complaint in due course.”
Keep in mind however, that this is still a complaint and the class action itself hasn’t been filed; the firm is currently looking for a leading plaintiff who bought common stock in EA between July and December to come forward by the motion deadline in 60 days on February 15, 2014.