Outsiders and even most within the gaming industry never hear the details of game development contracts between studios and publishers. Through a series of unfortunate events, perhaps even some misrepresentations and a lawsuit, everyone is given insight into these contracts and negotiations.

Spark Unlimited, the independent studio behind Call of Duty: Finest Hour, has filed a $10 million lawsuit against Activision accusing the publisher of breach of contract, fraud, theft of ideas and stealing of employees. Gamespot has obtained a copy of the lawsuit and is currently running a great article detailing the case.

For those programmers, artists, QA staff and designers in the industry or for anyone that is looking to enter the industry, this case provides light into an area of the industry where few see specifics. Sessions at GDC and E3 provide a good overview of the general areas of contract discussions but often provide little in the way of specifics, which are generally covered by NDA’s for each relationship/contract.

No matter who wins this case, it should provide a meaningful look into the business side of the industry. We will try to post updates on this story as we hear them and encourage you to let us know when you find new information likewise.

As this case proceeds, everyone should remember a few things:

• The “suits” on either side of the table have to work extremely hard and have their own difficulties to deal with. Remember, many of these “suits” started out as programmers and designers themselves.
• In General, neither publishers or developers are out to “get” the other one, but there clearly a difference in power in most relationships because of funding. Each side is always looking for two things 1) to make a fun game that will sell well in the market 2) to make a respectable profit from a successful game or minimize losses from a failed title.
• Many, many developers and publishers have great relationships from which all benefit.