(Replace) Wild lawsuit in opposition to Gearbox CEO Randy Pitchford alleges wrongful $12M bonus and ‘underage’ pornography

(Replace) Wild lawsuit in opposition to Gearbox CEO Randy Pitchford alleges wrongful $12M bonus and ‘underage’ pornography

There’s going to be some messy litigation in Texas. Gearbox CEO Randy Pitchford and former Gearbox in-house lawyer Wade Callender are suing one another in two separate actions, each alleging that the opposite has breached their authorized obligations to the corporate.

As found by Kotaku, Gearbox initially filed a lawsuit in opposition to Callender in November 2018 for misusing firm funds. It is mentioned that Callender borrowed cash from the corporate for a house mortgage and tuition that wasn’t absolutely paid again. Additional, Callender is accused of abusing a Gearbox firm bank card for private bills reminiscent of “household holidays, gun membership memberships and firearms equipment, and attempting to get six-pack abs.”

The case in opposition to Callender, which was filed in Texas’ Collin County District Court docket, will be accessed right here however there isn’t any choice to view the person pleadings. Nevertheless, Callendar answered the Grievance earlier this week and likewise filed a movement to alter venue.

Callender then sued each Pitchford and Gearbox in December 2018, probably in retaliation to Gearbox’s lawsuit. The whole Grievance will be learn right here. The crux of the lawsuit is that Callender says Pitchford took a secretive $12 million bonus from Take-Two Interactive in 2016 that was funneled into Pitchford Leisure Media Magic, LLC. In line with Callender, that cash ought to have rightfully been paid out to Gearbox workers and to assist fund the event of the following Borderlands sport.

Nevertheless, issues take a darkish twist. Callender additionally states that Pitchford by accident forgot a USB drive at a Dallas-area Medieval Instances restaurant in 2014. Callender alleges that the USB drive contained each highly-sensitive enterprise paperwork and “underage pornography.” Pitchford was supposedly in San Francisco on the time the drive was recovered, and Callender — with out but figuring out the contents of the drive — directed Gearbox employees to duplicate the recordsdata so that they may very well be despatched to Pitchford. Pitchford allegedly intervened and ordered the duplicate recordsdata to be instantly destroyed. Callender goes on to additionally accuse Pitchford of utilizing Gearbox firm funds to throw private events at his home the place older males would expose themselves to minors.

Callender remains to be an lively licensed lawyer in Texas in response to the Texas Bar Affiliation. Attorneys, who’re de facto officers of the courtroom, have an elevated moral obligation to inform the reality and to keep away from submitting frivolous actions. That being mentioned, Callender’s claims of underage pornography might see him as the topic of a libel go well with and disciplinary motion if unfaithful; nonetheless, it is necessary to notice that reality is an absolute protection to defamation claims. (Aspect notice: I am undecided what place the underage pornography allegation even has in a civil go well with when Callendar is not the injured social gathering by the existence of that USB drive.)

It is all rather a lot to course of and we’re simply on the very starting. In a press release to Kotaku, Gearbox mentioned “The allegations made by a disgruntled former worker are absurd, with no foundation in actuality or legislation. We stay up for addressing this meritless lawsuit in courtroom and haven’t any additional remark at the moment.”

Pitchford and Callender have been lifelong mates since childhood earlier than their relationship soured lately. That is going to be a bumpy experience.

[Replace: Gearbox subsequently despatched a follow-up assertion to Kotaku regarding Callender’s claims: “Gearbox will likely be submitting a grievance with the State Bar of Texas in opposition to our former normal counsel Wade for disciplinary proceedings for submitting a lawsuit that features accusations that he is aware of to be unfaithful. The lawyer’s guidelines {of professional} conduct expressly prohibit the submitting of paperwork which are knowingly false. The inform is inside Wade’s declare itself — his use of hedged lawyer language and intelligent utility of citation marks betray that he is aware of that the impression he’s attempting to create is predicated in lies. We think about that he used the citation marks and lawyer language in hopes that may give him some angles of protection after we inevitably take motion in opposition to him for false statements. Wade is engaged in a shakedown and he is clearly utilizing deceit and lies to attempt to trigger injury by selling a story that he is aware of is fake.”]

Former Gearbox Lawyer Accuses CEO Randy Pitchford Of Taking Secret $12 Million Bonus In Lawsuit Gearbox Calls ‘Absurd’ [Kotaku]

(Update) Wild lawsuit against Gearbox CEO Randy Pitchford alleges wrongful $12M bonus and 'underage' pornography screenshot