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THQ Might Get Hit With Another Lawsuit

Posted on Wednesday, June 13 @ 16:02:44 Eastern by Nicholas Tan

THQ already skirted a lawsuit with Adidas in March this year, and already it might be in the midst of another lawsuit. Holzer Holzer & Fistel, LLC is investigating whether THQ misled investors on the uDraw GameTablet:

Specifically, the investigation seeks to determine, among other things, whether the Company knew but failed to timely disclose that demands for its uDraw GameTablet was below internal expectations in part due to differences between gamers who pla yvideo games on the Nintendo Wii and those who play games on Xbox360 and PlayStation.

It feels quite late for a lawsuit of this nature given that THQ announced that they would discontinue the uDraw GameTablet in February. I can understand the frustration of THQ saying that the tablet would succeed and then having it flop, but this lawsuit feels like a stretch. It may be difficult to determine whether they lied, and deliberately so, on the figures for demand.

More on this story as it develops.

Tags: THQ, Lawsuit