[Update] Second Investor Lawsuit Against EA Over Battlefield 4 In Process
Update: EA has responded to our request for comment on this most recent lawsuit. "We believe these claims are meritless," an EA representative told us via email. "We intend to aggressively defend ourselves, and we’re confident the court will dismiss the complaint in due course."
Last week, we reported that a firm was investigating a class action lawsuit against EA over statements made by officers regarding the anticipated performance of Battlefield 4. Now, a second firm is pursuing action against the publisher for the same reason.
Robbins Geller Rudman & Dowd LLP have cited a precipitous drop in share value and charges that EA and some officers have violated the Securities Exchange Act. The complaint focuses on statements that assert the strength of Battlefield 4.
Furthermore, the firm cites the problems facing PlayStation 4 owners playing EA titles and EA’s disclosure of “bugs, connectivity issues, server limitations, and various other problems” leading to the halting of DICE’s other projects pending repair to Battlefield 4.
The class period ranges from July 24, 2013 through December 4, 2013. During that period, EA stock fell 28 percent. The firm claims that EA’s knowledge of problems with Battlefield 4 misaligned with the statements that the publisher made regarding its anticipated financial performance.
The class would include all purchasers of EA common stock during the period. No lead plaintiff has yet been named.
[Source: Business Wire, Robbins Geller Rudman & Dowd LLP]
Regardless of whether this case makes it trial, the sharks are now circling EA. Both of these potential cases are focused on investors, and I wouldn’t be surprised to see a firm attempt to secure a suit on behalf of consumers (for many of the reasons cited above).
I attempted to play Battlefield 4 on Xbox One last night, “crashed to desktop” more than 10 times upon starting, had to hard reset my system, crashed entering Battlelog more than once, and ultimately had a sub-optimal experience. In short, the game does not work as it should. It’s a shame though, because when it does manage to allow players in, it can be pretty enjoyable.