“Interplay recently received notice that Bethesda Softworks, LLC ("Bethesda") intends to terminate the trademark licence agreement between Bethesda and Interplay which was entered into April 4, 2007 for the development of FALLOUT MMOG,” says the Interplay filing.
Bethesda Softworks acquired all of the rights to the Fallout series from Interplay for $5.75 million two years ago. At the time Bethesda granted IP rights for a Fallout MMO to Interplay but with a number of stipulations.
The terms of the deal required Interplay to begin “full-scale” development of the Fallout MMO within 24 months and for Interplay to secure $30 million minimum financing by the time development commenced.
Seemingly Bethesda believes these requirements have not been met and is now looking to cancel the original deal and reclaim the rights to a Fallout MMO.
“Despite the fact that no formal action is currently pending, Bethesda claims that Interplay is in breach of the trademark licence agreement for failure to commence full scale development of same by April 4, 2009 and to secure certain funding for the MMOG,” Interplay’s SEC filing continues.
“Interplay adamantly disputes these claims. Although the potential damages are currently unknown, if Bethesda ultimately prevails and cancels the trademark licence agreement, Interplay would lose its licence back of the "Fallout" MMOG and any damages resulting therefrom are unknown at this time.”
Edge has contacted Bethesda for comment.