The law firm Rosen Law, which specializes in representing investors, has filed a lawsuit in California against the Cyberpunk 2077 developers of CD Projekt – the charge: fraud.
A recent lawsuit filed against CD Projekt Red’s parent company CD Projekt is about the court having to find that the studio has deceived its shareholders and other investors. Despite other findings, the developers suggested to their shareholders that the Cyberpunk 2077 game was in a better state than would actually have been necessary.
CD Projekt Red is said to have deceived shareholders
The developers would have known that Cyberpunk 2077 on the Xbox and Playstation consoles of the previous generation “was practically not playable due to an enormous number of errors”, so Rosen Law in a press release.
This fact ultimately led to a large number of returns at Microsoft and Sony. That in turn had an impact on the sales of CD Projekt and thus indirectly on its share price. In fact, the company’s share price collapsed after the sometimes massive problems in gameplay became known.
The lawyers are particularly directed against studio boss Adam Kicinski. At the end of November 2020 he said to analysts that Cyberpunk 2077 was going “surprisingly well” on Xbox One and PS4. Kicinski was almost certainly informed about the actual condition. Accordingly, in the opinion of Rosen Law, he should have dealt more honestly with the deficiencies of the game in an official conversation.
Other law firms also position themselves
At this point in time, the lawsuit filed is not yet a class action, as is typical in the USA. However, the law firm wants to expand the process in this direction and is collecting further interests that can be bundled under it. The lawsuit filed is not yet a class action, but is set to become one.
Rosen Law isn’t the only law firm looking to take legal action. Only before Firm is it a relatively well-known large law firm that specializes in representing shareholder and investor interests. A few days ago, the Polish lawyer and shareholder Mikolaj Orzechowski had brought the possibility of legal action into play.
In line with this, users on Reddit had compiled statements from CD-Projekt-Red-Managers to investors that could well be viewed as misleading or false, such as pcgameshardware.de had reported. In addition to Rosen Law, the law firm Wolf Haldenstein Adler Freeman & Herz LLP, which is also based in New York, is to investigate the filing of a class action lawsuit.
Despite problems, Cyberpunk 2077 got off to a brilliant start
It is difficult to predict in advance whether such lawsuits will be successful. However, it must be taken into account with some certainty that Cyberpunk 2077 had a brilliant market launch despite all the adversities.
Within the first two weeks of sales, around 13 million copies of Cyberpunk 2077 were sold at an average price of 60 euros, which should correspond to sales of around 800 million euros. Refunds should be included in this invoice already taken into account be. CD Projekt Red had already announced that it had recovered the costs for development and marketing.