Acclaim Files for Bankruptcy
- September 02, 2004 10:31 AM PST
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Lawsuits from the Olsen twins, Dave Mirra as well as lackluster software performance leads to liquidation.
Acclaim Entertainment has filed for bankruptcy liquidation today after failing to get new financing. One of the older names in gaming, the company has been hit hard by a lack of hot-selling titles in recent years--Turok: Evolution and BMX XXX being infamous examples. Acclaim will liquidate its assets and try to sell several of its upcoming, largely completed games to other publishers. Games still in development however may be axed."Games that are in the middle of development are more problematic because it is not clear that there will be money to finish those games," Acclaim attorney Jeff Friedman told Reuters.
While the fate of upcoming titles The Red Star and 100 Bullets is not yet known, racing game Juiced is purportedly owned by development funding firm Fund 4 Games, and will eventually find another publisher.
Acclaim has made it known since early July of its financial troubles, saying that it will face bankruptcy unless the company could negotiate for new funding. A lawsuit from Mary-Kate and Ashley Olsen for the poor performance of their game further added to their uphill financial battles.
