Report: Bethesda nukes lawsuit against Interplay over Fallout MMO [Update: Bethesda disagrees, calls it 'ongoing']

[Update: A Bethesda spokesperson told Joystiq, "It's an ongoing legal matter. I don't know where whoever reported that got their information, but it is ongoing and we are going to see how it plays out in court." So there you have it – Interplay and Bethesda haven't made nice just yet. Original post follows.]

For those of you just joining us, former Fallout owner Interplay has been working on Project V13 -- a Fallout MMO in all but name -- going back a couple of years now. Bethesda – current owner of the Fallout franchise and developer and publisher of Fallout 3 was understandably nonplussed by this fact, and the two companies have been going back and forth in court over the rights to use the Fallout name ever since. Well, according to Fallout fan site Duck and Cover, the two have made nice, with Bethesda dropping its attempts to block Interplay from having anything to do with the franchise.

The site reports that it spoke with "Frymuchan," an investor in Interplay who has provided updates on the proceedings since they began. According to legal documents furnished by him, both companies came to an unspecified agreement whereby Bethesda would allow Interplay to continue on its merry way with the franchise. He called this "awesome news for Interplay stock," opining that he believes "part of the deal was that Interplay drop their countersuit against Bethesda."

Bear in mind that neither company has issued a formal statement on the outcome, and while the investor believes "this will likely mean that V13 will be moving full steam ahead," we'll await word from Interplay before getting too excited. Heck, the beta isn't even supposed to start until 2012.

[Via VG247]

This article was originally published on Joystiq.