The Zotec Partners Lawsuit
This article discusses the Zotec Partnership and their lawsuit against Zynga. We’ll examine the lawsuit itself, as well as what the Wikimedia foundation and others have to say about it. The information in this article is presented for information purposes only. You should not try to apply or utilize the information contained herein without seeking legal advice from a licensed attorney. You should also avoid participating in activities, which involve the transmission of confidential or sensitive information, which should only be undertaken by duly authorized sources.
The Zotec Partners lawsuit against Zynga revolves around two issues.
The first is that they are alleging that Zynga was releasing intellectual property that was protected by Secured Developments International, a company that is part of the financial sponsors of Wikipedia. The information was allegedly stolen and then passed on to a third party, an unlicensed entity. This would cause major problems for Wikipedia’s revenue cycle management. Therefore, Zotec is accusing Zynga of “unfair and abusive practices” in their revenue cycle management practices and asking that they pay damages and/or royalties.
Wikipedia is a popular website used by people all over the world. As such, information can easily travel from one end of the globe to the other. Wikipedia is also a source of revenue for the different Wikipedia Foundation regions. Therefore, if information is released that infringes on the intellectual property rights of others, Wikipedia could be in danger of losing its funding.
The second issue revolves around the manner in which Zynga allegedly was releasing the material.
The allegation is that Zynga intentionally releases trade secrets and non-public information in order to gain an unfair advantage over competitors. According to the lawsuit, Zynga violated numerous measures designed to protect the confidential information of its business partners. These include measures designed to prevent the distribution of proprietary information, release company information to competitors, prohibit the use of company copyrighted works and block distribution of certain materials by third parties. Additionally, Zynga is accused of withholding the receipt of certain financial payments from the principal company that it held in escrow. These alleged actions, according to the lawsuit, were designed to purposely harm and prevent the growth of its competitor.
The Zotec lawsuit also claims that Zynga’s leadership is responsible for the company’s lack of strategic planning.
The claim further claims that the lack of a plan was the main factor that lead to the economic hardships that ultimately led to the lawsuit. The lawsuit further claims that these leaders did not realize that the business they had started could become such a huge problem. As a result, these leaders did not take any action to rectify the problems or to prevent them from occurring. As a result, this resulted in the company’s inability to successfully compete with its competitors in the online gaming market.
The lawsuit goes further to claim that these leaders should have recognized the potential problem with the business when it was only five years old.
They should have taken steps to rectify this problem prior to their purchase of the company. They did not take such action, to recognize that there was a high chance of the business failing given its poor business model and the fact that it was not providing products that were comparable to those provided by its competitors. As a result, the lawsuit continues to claim that the Zynga leadership is negligent in failing to foresee the problems that would arise out of its massive size.
The claims are also directed towards the failure of Zynga to provide a comprehensive disclosure of material information to its investors and partners.
It is an undisputed fact that information provided by the company to its investors was inaccurate and did not provide adequate information to support the business’ projection. The claim also goes on to state that Zynga failed to make good faith efforts to correct the problems that it initially faced. In its attempt to cover up its mistakes and to convince the court to lift the ban, the company made false claims and provided misleading information regarding the nature of its games and the number of members that play them.
This lawsuit is just the first of many that may surface against the Zynga. Over the past couple of months, a number of lawsuits have been filed against the company. One of these is by the plaintiff, who is asking for compensation for the mental and physical stress he has endured as a result of the negative reactions of his relatives and friends to the game. Another case is brought by a former employee who is seeking compensation for the time he wasted away from work as a result of suffering from serious depression brought about by the game. A former employee of the Zynga Games Inc. also filed a lawsuit, claiming that the gaming company has failed to make any attempts to solve his problems related to work.
This article discusses the Zotec Partnership and their lawsuit against Zynga. We’ll examine the lawsuit itself, as well as what the Wikimedia foundation and others have to say about it. The information in this article is presented for information purposes only. You should not try to apply or utilize the information contained herein without seeking…