UK Law Firm: Battlefield 4 lawsuit 'Doesn't Look Good' for EA

Sheridans says US class action lawsuit is a 'problematic case' for EA.

by on 20th Dec, 2013

Speaking to The Guardian, UK law firm Sheridans' Alex Tutty has described as "problematic" a US class action lawsuit brought against EA saying it "doesn't look good."

US agency Robbins Geller initiated legal proceedings earlier this week on the basis that its clients believe the publisher misled investors about the quality of Battlefield 4 which has been affected by severe issues on most platforms since release.

"This is a problematic case, and it doesn't look good for EA, simply from a PR point of view. Looking at the fact as presented by Robbins, Geller, Rudman and Dowd, there does seem to be a case to answer.

"However, we've only seen one side of the argument. Companies do give this sort of guidance, and it is important to be accurate, but it is just guidance based on what they know at the time. You'd have to prove that they knowingly gave false information, and it would be difficult to know about all the bugs that would crop up on the PlayStation 4 version. EA can probably produce a lot of evidence to suggest they didn't perceive the extent of the problem, or didn't have sight of it until after launch."

As Tutty notes, Robbins Geller handled the Enron class action cases in the early 2000s. 

"They are a securities law firm, this is what they do. The firm obviously believes there is a case to answer, and in order to take it forward they need to find a plaintiff – someone who has suffered financial harm in this period due to purchasing shares on the basis of the statements made."

EA executives are also accused of selling shares for "significantly inflated prices" but the company has defended its actions saying allegations made against it are “false and misleading”.

Additional problems could be headed EA's way following financial analyst David Trainer accusing the publisher of performing "financial tricks" to convince investors of better-than-actual performance earlier this month. 

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