Epic Games’ motion to dismiss Silicon Knight’s Unreal Engine 3 lawsuit has been denied, confirmed both parties to GameDaily Biz. This means the case, involving Silicon Knights’ claims that Epic did not provide a reasonably workable game engine for Too Human and failed to offer acceptable technical support, will now continue to the discovery phase and trial.
In their motion to dismiss the case, Epic claimed Silicon Knight’s was in breech of contract and further asserted they wanted “to take Epic’s Licensed Technology, pay nothing for it, and use it any way it pleases.” The court has, however, ruled in Silicon Knights’ favor to allow the case to proceed. Speaking to Game Daily, Epic VP Mark Rein commented on the decision.
“[The Judge] put the discovery process in motion, which will allow the lawsuits to move forward. Epic had asked for the entire case to be dismissed,” he said. “Judge Dever denied this request, which is not unusual. Often these requests are denied. It is important to note that this was not a decision on the merits of Silicon Knights’ claims. We are confident that the evidence will show Silicon Knights breached its license with Epic Games and violated our copyrights and trade secrets.”
Christopher T. Holland, Silicon Knight’s attorney on the case, also confirmed all of his client’s initial claims would not be thrown out. “We’re a long way from a verdict in this case, but certainly as a plaintiff we’re pleased that the court has recognized the merit in our claims and we’re happy that we can now proceed as planned with all the claims we brought for discovery and trial,” he said.
And is if the case wasn’t complicated enough, Epic released two separate declarations (via Next Gen) coinciding with the denial. In them, Rein and Epic CEO and founder Tim Sweeney continued to argue Silicon Knights has infringed on their copyrights in using parts of the UE3 code in their modified Silicon Knights Engine, now used to power Too Human and a second, unannounced Sega title. “I understand that Silicon Knights has admitted to using part or all of Unreal Engine 3 to create the Silicon Knights Engine from which it is creating its ’second game,’” wrote Sweeny. Rein, meanwhile, had this to say in his declaration:
“While I was aware that Silicon Knights was pursuing a publishing deal with Sega, I never encouraged or expected Silicon Knights to sign a publishing agreement for a second game without also paying Epic’s license fee…the video gaming industry is relatively small and close-knit such that companies live and die by their reputations. Silicon Knights’ disparagement of the Unreal Engine 3 while it develops an allegedly independent and competing game engine imminently threatens Epic’s licensing business.”
A date for the trial hasn’t been set yet, but you bet we’ll continue to follow this unprecedented case — which could have far-reaching industry repercussions — very closely.
