CD Projekt Undertaking Vigorous Action to Defend Against Lawsuits

CD Project is set to undertake “vigorous action” to defend itself against lawsuits and claims due to the disastrous launch of the highly-anticipated Cyberpunk 2077, which saw a number of issues across current-gen consoles that left the game unplayable at times.

The New York-based Rosen Law Firm has filed a class-action lawsuit against the game developer, back on December 24th, on behalf of investors who purchased stock in the company between January 16th and December 17th 2020 in an effort to recover damages under the federal securities law.

The suit claims that CD Projekt “failed to disclose that Cyberpunk 2077 was virtually unplayable on the current-generation Xbox or Playstation systems due to an enormous number of bugs, and pointed out Sony’s decision to pull the game off the Playstation Store and Microsoft’s full refund policy for those who purchased Cyberpunk 2077 for Xbox.

“CD Projekt would suffer reputational and pecuniary harm; and as a result, defendants’ statements about its business, operations, and prospects, were materially false and misleading and/or lacked a reasonable basis at all relevant times”, the suit states (h/t VG247).

Now, CD Projekt Red is digging in for what should be a substantial legal battle, and issued the following statement.

“The Management Board of CD PROJEKT S.A. with a registered office in Warsaw (hereinafter referred to as “the Company”) hereby announces that earlier today it received confirmation from a law firm cooperating with the Company that a civil class action lawsuit had been filed in the United States District Court for the Central District of California by a law firm acting on behalf of a group of holders of securities traded in the USA under the ticker symbols “OTGLY” and “OTGLF” and based on Company shares. The plaintiffs call for the court to adjudicate whether the actions undertaken by the Company and members of its Management Board in connection with the release of Cyberpunk 2077 constituted a violation of federal laws, i.a. by misleading investors and, consequently, causing them to incur damages.

The complaint does not specify the quantity of damages sought.

The Company will undertake vigorous action to defend itself against any such claims.”