Home / Games / Randy Pitchford in bitter legal dispute with former lawyer over alleged $12m bonus

Randy Pitchford in bitter legal dispute with former lawyer over alleged $12m bonus

In November, Gearbox filed a swimsuit towards its former common suggest Wade Callender, alleging that the lawyer misused corporate price range and failed to completely pay again private loans from the studio. A month later, Callender filed a separate swimsuit towards CEO Randy Pitchford and Gearbox which makes some excessive allegations. Those come with the declare that Pitchford pocketed a secret $12 million bonus as an advance towards Borderlands royalties, and much more severe forms of misconduct.

Details at the legal disputes come by means of Kotaku, which additionally reprinted the fits in complete. Gearbox tells the website that the allegations from the “former employee are absurd, with no basis in reality or law. We look forward to addressing this meritless lawsuit in court and have no further comment at this time.”

Gearbox’s swimsuit says that the corporate gave Callender a $300,000 money mortgage in 2014 in order to buy a house when he “fell on hard times.” Gearbox says the home is thought to be valued in way over $900,000. The corporate claims that this mortgage was once the topic of a written settlement that Callender destroyed, and that he has since did not pay again that mortgage in complete, opposite to the settlement.

The corporate additionally claims that Callender misused an organization bank card for unapproved private purchases, together with – amongst different issues – “trying to get six-pack abs.” Gearbox additional claims that it paid Callender’s legal charges in a non-public dispute happening all over 2017 and 2018, and made every other mortgage to him for tuition in order to pursue an govt MBA programme.

Callender’s swimsuit, which objectives no longer simply Gearbox but additionally Pitchford, claims that Pitchford won a secret $12 million royalty fee from Take-Two, supposed as an advance on Borderlands royalties. The swimsuit alleges that the cash wasn’t used to fund construction of the sport, however as an alternative directed to Pitchford’s private accounts.

The maximum destructive allegation comes round an incident which allegedly came about in 2014, in which Callender says Pitchford left a USB pressure containing delicate details about Gearbox and its companions.

Shortly after Kotaku’s e-newsletter of this text, David Eddings – former VP of industrial construction at Gearbox thru 2017 – tweeted “Yes, it’s true.” Eddings makes no particular connection with both swimsuit or any specific allegations inside of them, however this was once his first job on Twitter in over per week.

We’ve reached out to Gearbox for additional remark in the wake of Eddings’ tweet, and can replace in due direction.


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