Viacom Sues Harmonix Shareholders for $131 Million
Viacom Sues Harmonix Shareholders for $131 Million
Posted 09/19/2011 at 3:32pm
| by Ryan Whitwam
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Feeling a little slighted after selling off Rock Band subsidiary Harrmonix, Viacom is suing the shareholders of the former partner. The suit is seeking damages in the amount of $131 million. As it happens, Viacom paid only $149 million for the company in 2006 when the plastic instrument gaming market was hot.
Earlier this year, Viacom sold Harmonix for a pittance when it became clear that consumers were through with the genre. Shareholders sued first alleging mismanagement, and asked for $13 million. Viacom one-upped them with new case, which is seeking to reclaim earn-out payments made during the 2006 merger.
Earn-outs are a way to keep the management of an acquired company in place after the deal is done. In this case, Viacom alleges that miscalculations mean it is due a hefty refund. The shareholders obviously disagree, and plan to continue with their case.
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h e x e n
September 20, 2011 at 3:57am
Viacom is one of the most twisted, underhanded, conniving, money grubbing, litigious companies currently in existence and I hope they burn in hell.
That's all.
Marthian
September 19, 2011 at 9:14pm
Maybe if DLC and a new version every year coming out didn't cause it to happen... Oh, and better quality instruments, honestly, I'd pay a little more if it meant being able to use the whammy bar without a rubber band solution or my drums longer (much longer.)
Then again, I think the only Guitar Hero game I'm ever going to own now is Guitar Hero Metallica, and I already have it.
blkpanthr
September 19, 2011 at 6:38pm
thats actually catagorically not true.
Being a shareholder of several companies myself, thats just a plain ignorant statement.
What we care about is building value.
I want my stock to rise.
And its absolutley not short term. Growth requires time.
However managemnt controls workers, NOT the shareholders
As a voting stockholder, i certainly have some control of the board members, who in tern control the management.
don2041
September 19, 2011 at 6:04pm
Shareholders dont give a shit about workers or companies only greed and Money, all in the short term
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