Six founders of Neon Machine studio have filed a lawsuit against investor Cort Javarone and others for an alleged attempted coup within the company.
The founders of Neon accuse Javarone of trying to take over the studio and harm its business operations, jeopardizing investments and the future development of Shrapnel.
Despite internal conflicts, the Shrapnel team assures that game development continues, with an anticipated release for an early access version.
Legal dispute and allegations of internal takeover at Neon Machine
Neon Machine, the video game studio behind Shrapnel, a blockchain-based first-person shooter game, is at the center of a legal battle following an alleged attempt to take over the company. Six founders of the studio, which separated from HBO in 2020, have filed a complaint in the Delaware Chancery Court against Cort Javarone, CEO of investment firm 4D Factory, as well as other involved parties.
The founders, including CTO Don Norbury, creative director Colin Foran, and CEO Mark Long, allege that Javarone attempted to appoint himself as the CEO of Neon and ousted Long from the board of directors. These actions have raised concerns about the future management of Neon and its flagship project, Shrapnel.
Furthermore, the dispute echoes concerns regarding Neon’s recent investments, including a $20 million funding round led by Polychain and Griffin. The founders are concerned that these funds are now compromised and that the company is exposed to millions of dollars in liability.
Impact on the development of Shrapnel
Despite these internal turbulences, the Shrapnel team remains determined to continue developing their game. They have reaffirmed their commitment to the community and the project, emphasizing that nothing will distract them from their mission to create a world-class game and a cutting-edge platform.
As the lawsuit unfolds, the future of Shrapnel and Neon Machine remains uncertain, but the team remains steadfastly focused on moving forward, ready to overcome obstacles to fulfill their vision.
