Game developer suit against Beyonce moving forward

By Steve Watts, May 11, 2012 1:30pm PDT

A New York judge has determined that a $100 million lawsuit from a game developer against Beyonce can go forward. According to the suit, the pop singer backed out of $20 million deal with the studio Gate Five, that was to develop a game called "Starpower: Beyonce."

The New York Post reports that Beyonce's legal team doesn't deny that she left the deal, but claims it was because Gate Five didn't have financing in place for the game. Gate Five counters that it was scheduled to sign a financing deal on December 6, 2010, and that Beyonce knew that when she abandoned the project only three days prior.

As a result of the deal falling through, Gate Five closed the project and laid off 70 employees. Justice Charles Ramos commented that Beyonce should have given the company notice that she would leave. "You continue to negotiate right up until the time you pull the plug," Ramos told Beyonce's lawyers. "That is not going to work with me."

A Gate Five lawyer reportedly said he's "pleased" with this ruling.

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