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Press Release In Video Game Litigation Not Libelous

The U.S. District Court for the Central District of California ruled that a plaintiffs' counsel in a video game litigation didn't libel a defendant in a statement the attorney posted on his law firm's website. Dreamstone Entertainment Ltd. v. Maysalward Inc., 2:14-cv-02063.

Dreamstone entered into an agreement for Maysalward and its principal Nour Khrais to develop the mobile-device video game GHUL: 1001 Arabian Nights. But Dreamstone later sued, claiming Maysalward breached the contract and withheld financial information. The defendants filed counterclaims including a libel-per-se allegation against plaintiffs' Dallas-TX-based counsel Jack Siegel and his firm. Siegel had posted a press release about the suit and a link to the complaint on his firm's website. Khrais objected to the press release claim that he and Maysalward 'have maliciously absconded with my clients' valuable intellectual property and hard earned money.' The press release ended with: 'We will fight tooth and nail to ensure the game is restored on gaming platforms and Defendants pay every dime needed to rectify the damage done to my clients' reputations and the GHUL franchise.'

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