Just three days after the release of the Activision-published Ghostbusters video game, which launched along side the movie of the same name, developer Fireforge Games has filed for Chapter 7 bankruptcy and faces legal battles with shareholders.
According to Kotaku, Fireforge Games filed for bankruptcy on July 15 and has since been liquidating assets throughout the remainder of the month in an attempt to pay off a dept of around $12 million.
Although you may only know Fireforge from the latest Ghostbusters game, which was received terribly when it launched on July 12, the company was also responsible for two failed MOBA-like projects. The first was a title codenamed Zeus, which was set to be published by Razer, another was a game codenamed Atlas, which was funded by Chinese publisher Tencent.
It’s these two titles which have since been causing headache for Fireforge, according to the report, as Singapore-based private company, Min Productions, owned by Razer CEO Min-Liang Tan, has now filed a lawsuit against the company.
Tan alleges that Fireforge failed to deliver on their contract while developing codename Zeus, and used said funding to work on Tencent’s title, Atlas. However, in response, Fireforge has claimed that they only started work on Atlas when Razer had stopped paying them.
The lawsuit in this case is currently on hold as Fireforge sort out their bankruptcy.