In Plain English: Epic Takes On Counterfeiters


Here’s a quick tip on counterfeiting merchandise from one of the most litigious companies in the gaming industry: Don’t.

Epic Games is back in court, because the company refuses to let its lawyers have an easy week. This time around, the company isn’t going after Fortnite cheat distributors. On April 25, 2019, Epic filed suit in the Northern District of Illinois for the sale of products in connection with the registered trademark of Fortnite. The lawsuit contends that the defendants are going to great lengths to hide the extent of their operations and are selling inferior quality products designed to look like authorized merchandise.

Who are the defendants? Good question. Epic lists them as individuals and businesses residing in China and other foreign jurisdictions.

Epic seeks relief on charges of counterfeiting and trademark infringement, false designation of origin, violation of the Illinois Uniform Deceptive Trade Practices Act, and has demanded an enjoinment from using the Fortnite brand, passing off counterfeit products as genuine, that all profits gained through the counterfeiting operation be handed to Epic or that statutory damages of $2 million USD for each use of the Fortnite trademark be awarded. They also seek reasonable attorney fees and any further damages the court might award.

Epic’s attorneys are meeting with the court today (April 30) to discuss a motion for temporary transfer of defendant’s domain names, temporary asset restraint (freezing assets), expedited discovery, service of process by email, among other motions.

MMO Fallout could not ascertain the identities of the defendants, as those documents have been sealed by the court, possibly to prevent potential defendants from transferring assets in anticipation of a restraint. Similarly, there are no exhibits of such merchandise available at this time for potentially the same reason.

As always, the court dockets have been provided at our expense to you, the reader, at the Google Drive linked below.

Source: Google Drive

IPE Update: Epic Games v. Sperry Ends


Another Epic Games lawsuit has come to a close.

Plaintiff Epic Games and defendant Joseph Sperry, a.k.a “Spoezy” in a lawsuit related to the creation and distribution of cheat software for the video game Fortnite. According to the lawsuit filed by Epic, Sperry promoted, marketed, and sold the cheats to third parties for financial gain, and engaged in acts of contributory copyright infringement as well as contributing substantially to infringement by others through the sale of his software.

Sperry was hit with a DMCA violation, and has been permanently enjoined and restrained from infringement of any Epic product, current or future, as well as having any relation to infringing software of any of Epic’s copyrights, cheating at any Epic’s games, interfering with their contracts or contractual relations, unfairly competing with Epic, or assisting in any way another party in infringing on Epic’s copyrights.

Both parties have accepted the terms of the judgment and neither party may appeal this ruling. If Sperry violates the terms of the ruling, the court holds the right to award Epic liquidated damages of five thousand dollars without regard to proof of actual damages, as well as possibly other relief including attorneys’ fees, costs, as determined by the court.

Epic filed suit in the North Carolina Eastern District Court, Western Division. Epic Games has filed ten lawsuits since October 10, 2017 against cheat creators/distributors for Fortnite with most of the cases ending in simple court-ordered injunctions. All but one of those lawsuits has since been closed.

As always, MMO Fallout has provided the documents on our Google Drive. The file is listed as “Sperry-Judgment”.

Source: Google Drive

Bad Press: The Internet Falls For Another Con Artist [Fortnite Edition]


The internet has a such a vibrant imagination.

For those of you healthy adults who don’t follow Fortnite news, Epic yesterday was accused of stealing artwork and using it as a cosmetic costume in their battle royale shooter. The tweet highlighting the claim showcased a Deviant Art user’s creation submitted September 2018 compared to the Fortnite model released in November of the same year. Taken at face value, the models look very similar, almost too similar to not be a coincidence.

Here at MMO Fallout, I pride myself very highly on my BS detector. It came at a very high price, my eternal soul which upon my death will be stored in a garage in Buffalo. Not all too different from my living soul. This gift has come in very handy as in MMO Fallout’s nine years of existence, I have had to correct perhaps one or two pieces in total while breaking some stories that were later confirmed by third parties as genuine and preliminarily offering my doubts to numerous other stories that turned out to be fake.

So when yesterday’s story started hitting that Epic Games was being accused of plagiarism of a Deviant Art…artist, my detector shattered six coffee mugs and bolted down the street singing Queen. Maybe it’s the difficult task of taking seriously a person whose username comes from a television show for toddlers. Maybe it’s because Deviant Art is a bastion of plagiarism under the guise of “this is my OC character, plz donut steal.” Perhaps I just found it very hard to believe that an Epic Games artist would look at this drawing and think “I need to rush this into production yesterday,” funneling the skin from original post to seeing it to designing a knockoff to modeling to testing to release all within two months. That’s an artist with pull.

That could be it. It could also be that I’m aware of Deviant Art allowing people to change photos without altering the “user submitted” date. Such as with this 2009 creation.

The story didn’t fool many people outside of the reactionary Youtube news vlogger circuit, but it did manage to snag the attention and coverage of none other than Forbes Magazine. And why not? Their coverage of the faux-controversy has gathered nearly 140,000 views as of this publishing, far more than discussion of The Walking Dead, Fear The Walking Dead, and the Epic Chinese Avengers poster. Web hosting doesn’t come cheap, folks, and clickbait doesn’t have time for verifying your facts. If you think about it, the fact that the accusation happened is news in and of itself. Basic investigative skills are for nerds like Twitter user Ding Dong who decided to check the website’s cached version and found that the art was swapped. Maybe Forbes should hire Ding Dong instead.

Perhaps the other side of this coin is the general habit of the public to immediately believe anything bad about an individual/entity that they don’t personally like. This claim was instantly believed by large swaths of the internet because Epic did a thing and made a game they wanted exclusive, so why wouldn’t this no-good scumbag literally-Hitler company steal artwork from an innocent 13 year old? It boggles the mind to think that a company you don’t personally care for wouldn’t be guilty of every half-baked accusation that gets laid out over Twitter.

But of course that’s just my opinion, I could be wrong.

Deep Silver Latest To Snub Valve For the Epic Store


Another day, another publisher picked up by the lure of more money. Deep Silver is the latest publisher to become ensnared in the growing Epic Games Store, with Steam players being notified that Metro Exodus, which has been up for pre-order on Steam, will no longer be on sale as of today. Metro does not release until February 15, and Deep Silver has assured Valve that those who pre-ordered will still be able to access the game and future updates.

Notice: Later today, sales of Metro Exodus will be discontinued on Steam due to a publisher decision to make the game exclusive to another PC store.

The developer and publisher have assured us that all prior sales of the game on Steam will be fulfilled on Steam, and Steam owners will be able to access the game and any future updates or DLC through Steam.

We think the decision to remove the game is unfair to Steam customers, especially after a long pre-sale period. We apologize to Steam customers that were expecting it to be available for sale through the February 15th release date, but we were only recently informed of the decision and given limited time to let everyone know.

The initial reaction by the Metro community has not been positive, with the announcement being very quickly deleted following a wave of negative feedback. Negative reactions have already begun flooding the Steam forums with players assuring developer 4A Games and publisher Deep Silver that the store shift has convinced them to not purchase the game period. We will most likely know in a few months time whether the exclusivity deal was as lucrative as 4A Games hopes.

Source: Steam

Epic Games Offers 88% Revenue Cut To Developers


Epic Games this week has announced the unveiling of the Epic Games store, a new digital distribution platform that aims to court third party developers and publishers with lucrative rates. The digital platform will launch with a library of hand-curated titles on PC and Mac and will eventually expand to Android and other open platforms throughout 2019.

What Epic is offering is a platform where developers take a cool 88% cut of revenue. This puts the platform in stark contrast to Steam where the developer takes home 70% (65% if using the Unreal engine). For developers using the Unreal engine, Epic is willing to eat the usual 5% royalty fee. Epic also promises that developers will have control of their news feed with no store-placed ads or cross-marketing of competing games visible.

More information on Epic’s store will be available on December 6 at the Game Awards.

(Source: Epic Games)

IPE Update: Brandon Lucas Files Motion to Dismiss Epic Lawsuit


Brandon Lucas has filed a motion to dismiss in North Carolina court this week. Lucas is currently being sued by Epic Games over causes of copyright infringement, breach of contract, interference with contractual relations, and unfair/deceptive trade & unfair competition in relation to alleged cheating and promotion of cheats in Fortnite.

The Defendant Brandon Lucas hereby files a motion to dismiss the complaint. The motion date will be scheduled by the Court after proper notice to the Plaintiff, Epic Games, Inc. The Defendant, Brandon Lucas, will rely on the affidavit submitted.

In his motion to dismiss, Lucas claims that he does not own the Youtube channel in question, that the videos posted are not his, that he does not own or advertise any cheats, and that generally Epic has the wrong guy.

Epic filed the lawsuit back in October against Lucas and another defendant. Epic is alleging that Lucas owns, operates, and profits from a website selling cheats and buying accounts for Fortnite. MMO Fallout will update once the court reaches a decision.

The adventurous among you can check out the link below for both the original filing and motion to dismiss. Be aware that the original filing contains all evidence and runs over 160 pages.

(Source: Google Drive)

Epic Games Wins Default Judgement As Defendant Fails to Respond


It’s been a while since MMO Fallout followed up on Epic Games v. C.R., the lawsuit where Epic brought complaint against a defendant who turned out to be a minor. C.R. was being accused of continuing to cheat in Fortnite, and promote said cheats through Youtube videos/streaming, in spite of over a dozen account bans by Epic. Epic filed a copyright claim against his video, defendant counterclaimed, and Epic filed suit as required by copyright law.

Most of the updates on this case have revolved around sealing and redacting documents to remove C.R.’s name from the record, so I’ve taken the liberty of skipping their coverage as to not bore all of you. The last couple of months have brought some small updates, ultimately leading to a decision within the past couple of days. Those of you who have followed the case know that C.R.’s mother wrote a letter to the court asking for them to dismiss the case, and I pointed out at the time that this may be damaging as it could be construed by the court as an official response and a motion to dismiss. I wasn’t wrong, and the court accepted the letter and interpreted it as an official motion to dismiss.

The motion was denied because it didn’t properly address the plaintiff’s claims, a premise that shouldn’t be surprising when you consider that it wasn’t written by a lawyer, or intended to be an actual legal filing. Following the court’s denial of the motion to dismiss in July, Epic Games once again filed a motion for entry of default, as outside of the initial letter from C.R.’s mother, they have not actually responded to Epic’s complaint.

After continuing to miss deadlines for response, the court this week granted Epic’s motion for default judgement, meaning Epic will likely get what it wants. And what does Epic want? Let’s go back to the prayer for relief in Epic’s initial complaint.

Epic wants the court to enter judgement in their favor and adjudge the defendant to have infringed on Epic’s copyright, to have contributory infringement, to have breached the terms of service, to have interfered in contracts between Epic and its other players through their cheating, and for the court to declare that the infringements were willing in nature. As punishment, Epic has demanded that the defendant be permanently barred from infringing or contributing to infringement, ie; cheating in their games and distributing/promoting said cheats, as well as deleting any videos showing said cheats and copies of said software off of his computer.

Now let’s talk money. Epic has demanded the maximum statutory damages under 17 U.S.C. § 504, which allows up to $30,000 (as the court considers just) with an exception for cases where the copyright owner sustains the burden of proving willful infringement, in which case the maximum damage shoots up to $150,000 (again, as the court considers just). Alternately, Epic may ask for the “actual damages,” which were not specified. In addition, Epic has asked for attorneys’ fees, costs, and expenditures, as well as any further relief the court may deem proper.

Will Epic get paid? In my humble opinion, we’re more likely to see this end in a bankruptcy filing by the family.

PUBG Corp Drops Lawsuit Against Epic Games


PUBG Corp believes that Epic Games illegally plagiarized the Battle Royale mode, and has even gone as far as to comment its concerns that Epic Games might steal internal modifications to the Unreal engine and use it in their own game Fortnite. In any case, PUBG Corp found the concept actionable enough that just a couple of months ago they took Epic Games to court, filing an injunction in South Korean court against Fortnite and alleging that Epic Games stole their idea.

Except the lawsuit is over before it truly began, with PUBG Corp pulling out and sending a notice of withdrawal to Epic Games attorneys, according to GI Biz. As of now, neither company is willing to comment on the matter.

(Source: Games Industry)

It’s Official, PUBG Corp Is Suing Epic Games


It’s official, PUBG Corp has filed a copyright lawsuit against Epic Games according to Korea Times. After previously mulling further action for a genre that it did not create and does not own, at least not in the legal view of the United States or Europe, PUBG has officially filed a complaint against Epic Games. In Korea. The firm has filed an injunction and alleging copyright infringement in the Seoul Central District Courts.

PUBG Corp already has an active lawsuit going against NetEase, one that includes claims of ownership over concepts like frying pans as a weapon. While very concerned with the idea of others stealing concepts that they claim ownership of, PUBG has had run ins itself with theft, including plagiarizing a community ad for its game as well as several employees from Bluehole Studios being sentenced to prison for stealing from NCSoft.

(Source: Korea Times)

Epic Games Ends Another Lawsuit With Permanent Injunction


Back in January, MMO Fallout reported on the latest lawsuit filed by Epic Games in the district of Northern California court. The lawsuit followed the similar pattern set forth by its predecessors, seeking permanent injunctions and utilizing the natural legal progression of a DMCA takedown notice against the defendant’s Youtube videos. This lawsuit, however, charged defendant Yash Gosai, a New Zealand resident, with creating/finding an exploit that would allow him to obtain V-Bucks, Fortnite’s real money currency, without paying for them. Gosai posted the exploit on his Youtube channel and, when the video was taken down on Epic’s DMCA notice, filed a counter-claim.

Epic alleges that Gosai created, developed and/or found an exploit for Fortnite’s Battle Royale game mode; Gosai then created and publicly displayed a video on YouTube to advertise, demonstrate, and distribute the exploit; Gosai’s video contained gameplay from Epic’s Fortnite Battle Royale game; and that using the exploit, Gosai obtained Fortnite V-bucks without paying for them.

Less than a month later, the lawsuit is over with Epic Games claiming the victory. The court found in favor of Epic Games on the charges of copyright infringement, breach of contract, and conversion. The court’s decision, which cannot be appealed by either party, permanently restrains Gosai from finding, creating, promoting, sharing, or otherwise interacting with any program/cheat that interacts with any of Epic Games’ titles. As with its other lawsuits, Epic Games is not seeking monetary damages and as per the court’s ruling both sides will be responsible for their own attorney’s fees.

Since October 10, 2017, Epic Games has filed seven lawsuits against people creating/promoting cheats for Fortnite, of which four have been successfully settled. For two of the three remaining lawsuits, Epic appears to be having trouble serving the summons. In the third, filed against a Russian citizen, is allegedly being ignored.

(Source: PACER Court Documents)