Report: Adidas suing THQ for $10.6M over unfinished game

Sports apparel company Adidas has filed a lawsuit against THQ for breach of contract, alleging that the ailing publisher failed to complete and release a game for its exercise products. Adidas is seeking a jury trial and monetary damages for at least $10.6 million from THQ -- which would add to a number of major setbacks the company has faced in recent months, including increased losses, doubts for the release of it Dark Millennium MMO, and threats of a Nasdaq delisting. It also laid off some 240 employees last month, which included developers working on the game for Adidas' "MiCoach" digital exercise-measurement products, according to Oregon Live (the lawsuit was filed in Portland/Multnomah County, home of Adidas' U.S. headquarters). Adidas claims THQ agreed in December 2010 to produce MiCoach 24/7, and support the company's move into the digital exercise-measurement space against competitors like Nike+. The game was originally scheduled to ship in January, but THQ said last December that it couldn't finish the title. Along with seeking no less than $10.6 million for the alleged breach of contract, Adidas is also seeking an injunction requiring that THQ not sell or transfer the rights for MiCoach 24/7 (tentative title).