Developer Gate Five Suing Pop Star Beyonce For $100 Million Over Botched Game Deal

Video game developer Gate Five is suing pop star Beyonce Knowles for over $100 million in profits it says it lost when the singer and actress dropped out of an agreement to develop a game based around her persona. According to a court summons obtained by New York magazine [PDF], the little-known Gate Five formed a joint venture with Knowles' Beyonce Inc. last June to develop a game titled Starpower: Beyonce. But the developer alleges Knowles demanded more favorable compensation terms "at a crucial moment in the project's development," driving away the game's financing before pulling out of the project in breach of the original agreement. As a result, Gate Five says more than 70 employees were put out of a job in the week before Christmas. The company is seeking to recover $6.7 million in direct investment in the project, as well as over $100 million in potential profits from the title. The summons to appear before a New York City court in the next 20 days promises a more detailed complaint to be filed after a confidentiality issue with Knowles can be worked out.