Silicon Knights suit over the "inadequacies" of the Unreal Engine 3. In a statement sent out today he says they have "done nothing wrong" and that they are committed to fight against Silicon Knights' "unfounded allegations." Epic has now gone and filed a counterclaim in U.S. District Court saying that Silicon Knights "decided to misappropriate Epic's licensed technology" and that SK's lawsuit has no merit.
There have been some developers who spoke out regarding development issues with Epic's Unreal Engine 3. Sony even admitted their concerns by sending in their own engineers to get the UE3 working on their "timed exclusive" title Unreal Tournament 3 for PS3. Whatever the issue with the engine, the latest bit in this saga revolves around Silicon Knights allegedly co-opting the UE3 tech as their own. Epic says in their suit, "Indeed, the plain language of the Silicon Knights' Complaint makes clear that Silicon Knights wants to take Epic's Licensed Technology, pay nothing for it, and use it any way it pleases." Epic wants "compensatory and punitive damages, the destruction of infringing goods, including infringing computer code, and attorney's fees and costs." This is only going to get bigger before it gets better.