Published: Fri, December 14, 2018
Electronics | By Kelly Massey

ZeniMax accepts settlement offer from Facebook in Oculus lawsuit

ZeniMax accepts settlement offer from Facebook in Oculus lawsuit

ZeniMax filed a lawsuit against Facebook in 2014 after John Carmack, co-founder of Id Software, joined Oculus as a technology leader.

ZeniMax Media is the parent company of Bethesda Softworks and id Software, and has been involved in a almost five-year battle where Zenimax accused id co-founder John Carmack of giving trade secrets to Oculus.

Game company ZeniMax Media said it is has agreed to settle litigation against Facebook, Oculus and individual executives alleging misappropriation of its virtual-reality technology.

The original jury had decided in 2017 that Oculus did not, in fact, use trade secrets, as ZeniMax had originally alleged, which all come down to a failure on Palmer Lucky's part to comply with an NDA he signed regarding ZeniMax property. Both parties have commenced appeal proceedings against this decision, which remained in effect until today's announcement of the agreement.

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Zenimax was ultimately awarded $500 million in February 2017, although a U.S. District Judge cut this sum in June 2o18. Zenimax argued that Carmack would not have been able to create the Rift without Zenimax's tech. The appeal was pending when the settlement was reached with Facebook.

"We are pleased that a settlement has been reached and are fully satisfied by the outcome", said Robert Altman, ZeniMax's Chairman and CEO in a prepared statement.

That's according to Law360, which reports that the companies announced they had settled their legal disputes on Monday, December 10th, with the appeals court approving the lawsuit's dismissal the following day. ZeniMax is the parent company of a number of video game developers, including Bethesda Softworks and Arkane Studios, in addition to Id Software.

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