Scratch DJ Game LLC, a joint venture between Genius Products, and Numark Industries, announced today that the Los Angeles County Superior Court has granted it a preliminary injunction in its lawsuit against Activision Publishing, Inc., California 7 Studios (“7 Studios”) and former owner and president, Lewis Peterson.
The judge, following his issuance of a Temporary Restraining Order in favor of Scratch, on May 7, 2009 further granted a preliminary injunction against Activision’s subsidiary, 7 Studios, and ordered the turnover of all Work Product associated with Scratch – The Ultimate DJ game (“Scratch”), including all source code, work-in-progress and all Developer’s Pre-Existing Tool and Technology, including the source code to 7 Studio’s game engine. The Judge further confirmed in his injunction order that both 7 Studios and its new parent company Activision continue to be “walled off” from disclosing any aspect of the Scratch game or technology with each other or with any third party. The Court’s actions on May 7, 2009 dealt with the final materials relating to the game’s development that the defendant was still withholding, including the source code to 7 Studios’ game engine and other Developer’s Pre-Existing Tools and Technology.
Activision bought financially distressed 7 Studios, which was a contract “work for hire” developer for Scratch – The Ultimate DJ game, after Scratch refused to sell Scratch - The Ultimate DJ to Activision in March. Thereafter, 7 Studios, under Activision’s control, refused to turn over the Scratch game code and attempted to prevent Scratch from obtaining the source code for the game engine. The Court found that Scratch has established a material breach of its Developer Agreement by 7 Studios and ordered that 7 Studios must turnover to Scratch all source code to the game engine and all other Developer’s Pre-Existing Tools and Technology.
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