The legal battle between Krafton and the founders of Unknown Worlds over Subnautica 2 is becoming increasingly complex.
According to reports from PC Gamer and GamesIndustry.biz, new court filings indicate Krafton may be attempting to revise its central grounds for dismissing the founders of Unknown Worlds.
One of Krafton’s original justifications for the terminations was that the founders had pushed for an Early Access launch before the game was ready. However, the latest documents suggest Krafton is shifting its focus toward claims that the founders attempted to avoid responsibility.
During the discovery phase of the case, Fortis Advisors, representing the founders, requested evidence from Krafton to support its original claim. Krafton responded that the game’s readiness for launch did not fall within the scope of discovery, effectively denying the relevance of that issue. Foreign media outlets noted this appeared to be a strategic attempt by Krafton to narrow the scope of discovery, despite having cited game readiness as a reason for termination.
Fortis Advisors called this a “seismic shift” in the case. Judge Laurie W. Will also reportedly remarked that, since game readiness was listed in Krafton’s termination letter, it should be subject to closer examination.
Krafton has since emphasized the founders’ alleged neglect of duties, raising additional claims that they downloaded company documents after their dismissal. Unknown Worlds co-founders Ted Gill and Charlie Cleveland were said to have transferred company files into personal shared folders following their termination. Krafton sought protective orders and forensic review related to this issue.
Fortis Advisors countered that these events occurred after the termination and were unrelated to the validity of Krafton’s original decision. They further argued that Krafton’s shifting rationale undermined its consistency, urging the court to reject the protective and forensic orders. The court agreed, ruling that conduct discovered post-termination did not constitute grounds for dismissal, and denied Krafton’s requests.
Disputes also arose over the scope of document production. Krafton reportedly sought to limit submissions to materials from certain executives and to documents containing both the terms “earn-out” and “termination.” Krafton argued that Fortis Advisors’ requests were overly broad and would take excessive time to fulfill. The court sided with Krafton in part, instructing both parties to negotiate and share only relevant materials. Both sides later confirmed that Subnautica 2’s development status was not a direct reason for the founders’ dismissal.
A Krafton spokesperson commented, “We believe the discovery requests made by former Unknown Worlds management are excessively broad and stray from the core issues. Krafton has complied and will continue to comply with all court rulings on discovery, while remaining focused on working with Unknown Worlds to deliver the best possible Subnautica 2 experience to players.”
The lawsuit highlights the differing interests and positions between Krafton and the Unknown Worlds founders. With complex issues surrounding contract interpretation and evidence disclosure, the case could have lasting implications for the development of Subnautica 2 and the broader industry.
Meanwhile, Krafton recently released a new developer vlog to reassure players that development on Subnautica 2 is ongoing.
This article was translated from the original that appeared on INVEN.
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