TimeGate Sues SouthPeak for alleged breaches in publishing agreement

Section 8 developer TimeGate Studios is suing SouthPeak for alleged breach of contract, accusing the publisher of withholding royalty payments and of violating their deal via a PlayStation 3 porting deal with Russian company 1C.

A number of issues then arose, among them TimeGate's claim that "Southpeak entered into a licensing agreement with a Russian company, 1C, for Section 8 on the Sony PlayStation 3 gaming platform and received a minimum of $250,000 as a result", but that Southpeak did not own the rights for such sublicensing.