Motorsport Games Inc. Announces Summary Judgment in its Favor in Dispute with Innovate 2 Corp
Motorsport Games Inc. (NASDAQ: MSGM) has secured a favorable summary judgment in its legal dispute with Innovate 2 Corp. The U.S. District Court for the District of Delaware ruled in favor of MSGM and other defendants on February 26, 2025, including former executives and the Manager of Driven Lifestyle Group
The Court's decision supports MSGM on all counts and grants the company summary judgment against Innovate 2 Corp regarding a breach of stock purchase agreement. A joint status report is due March 12, 2025, addressing remaining issues including MSGM's damages on its counterclaim.
CEO Stephen Hood expressed satisfaction with the ruling, noting that the company and former representatives had maintained their good faith actions throughout. The restructured company will now focus on developing racing game experiences, particularly highlighting their Le Mans Ultimate project.
Motorsport Games Inc. (NASDAQ: MSGM) ha ottenuto una sentenza favorevole in sintesi nella sua disputa legale con Innovate 2 Corp. Il Tribunale Distrettuale degli Stati Uniti per il Distretto del Delaware ha emesso una sentenza a favore di MSGM e degli altri imputati il 26 febbraio 2025, inclusi ex dirigenti e il Manager di Driven Lifestyle Group.
La decisione del Tribunale sostiene MSGM su tutti i punti e concede all'azienda un giudizio sommario contro Innovate 2 Corp riguardo a una violazione dell'accordo di acquisto di azioni. Un rapporto congiunto sullo stato è previsto per il 12 marzo 2025, riguardante le questioni rimanenti, inclusi i danni di MSGM sulla sua controdenuncia.
Il CEO Stephen Hood ha espresso soddisfazione per la sentenza, sottolineando che l'azienda e i rappresentanti precedenti hanno mantenuto le loro azioni di buona fede nel corso del tempo. L'azienda ristrutturata si concentrerà ora sullo sviluppo di esperienze di giochi di corse, evidenziando in particolare il loro progetto Le Mans Ultimate.
Motorsport Games Inc. (NASDAQ: MSGM) ha asegurado un fallo sumario favorable en su disputa legal con Innovate 2 Corp. El Tribunal de Distrito de EE. UU. para el Distrito de Delaware falló a favor de MSGM y otros acusados el 26 de febrero de 2025, incluidos exejecutivos y el gerente de Driven Lifestyle Group.
La decisión del Tribunal apoya a MSGM en todos los aspectos y otorga a la empresa un fallo sumario contra Innovate 2 Corp por una violación del acuerdo de compra de acciones. Se espera un informe de estado conjunto para el 12 de marzo de 2025, que abordará los problemas restantes, incluidos los daños de MSGM en su contrademanda.
El CEO Stephen Hood expresó satisfacción con el fallo, señalando que la empresa y los exrepresentantes habían mantenido sus acciones de buena fe durante todo el proceso. La empresa reestructurada se centrará ahora en desarrollar experiencias de juegos de carreras, destacando en particular su proyecto Le Mans Ultimate.
Motorsport Games Inc. (NASDAQ: MSGM)는 Innovate 2 Corp.와의 법적 분쟁에서 유리한 요약 판결을 확보했습니다. 델라웨어 지방법원은 2025년 2월 26일 MSGM과 다른 피고들, 전 임원 및 Driven Lifestyle Group의 매니저에게 유리한 판결을 내렸습니다.
법원의 결정은 모든 사항에서 MSGM을 지지하며, 주식 매매 계약 위반에 대해 Innovate 2 Corp.에 대한 요약 판결을 회사에 부여합니다. 남은 문제를 다루는 공동 상태 보고서는 2025년 3월 12일에 제출될 예정이며, 여기에는 MSGM의 반소에 대한 손해도 포함됩니다.
CEO Stephen Hood는 판결에 만족감을 표명하며, 회사와 전 대표들이 그동안 선의의 행동을 유지해 왔음을 언급했습니다. 재구성된 회사는 이제 레이싱 게임 경험 개발에 집중할 것이며, 특히 Le Mans Ultimate 프로젝트를 강조할 것입니다.
Motorsport Games Inc. (NASDAQ: MSGM) a obtenu un jugement sommaire favorable dans son litige avec Innovate 2 Corp. Le tribunal de district des États-Unis pour le district du Delaware a rendu une décision en faveur de MSGM et d'autres défendeurs le 26 février 2025, y compris d'anciens dirigeants et le responsable de Driven Lifestyle Group.
La décision du tribunal soutient MSGM sur tous les points et accorde à l'entreprise un jugement sommaire contre Innovate 2 Corp concernant une violation de l'accord d'achat d'actions. Un rapport d'état conjoint est prévu pour le 12 mars 2025, abordant les questions restantes, y compris les dommages que MSGM réclame dans sa contre-plainte.
Le PDG Stephen Hood a exprimé sa satisfaction quant à la décision, notant que l'entreprise et ses anciens représentants avaient agi de bonne foi tout au long du processus. L'entreprise restructurée se concentrera désormais sur le développement d'expériences de jeux de course, mettant particulièrement en avant leur projet Le Mans Ultimate.
Motorsport Games Inc. (NASDAQ: MSGM) hat ein günstiges Urteil im summarischen Verfahren in seinem Rechtsstreit mit Innovate 2 Corp. erlangt. Das US-Bezirksgericht für den Bezirk Delaware entschied am 26. Februar 2025 zugunsten von MSGM und anderen Beklagten, einschließlich ehemaliger Führungskräfte und des Managers der Driven Lifestyle Group.
Die Entscheidung des Gerichts unterstützt MSGM in allen Punkten und gewährt dem Unternehmen ein summarisches Urteil gegen Innovate 2 Corp. wegen eines Verstoßes gegen den Aktienkaufvertrag. Ein gemeinsamer Statusbericht ist für den 12. März 2025 fällig, in dem verbleibende Fragen, einschließlich der Schäden von MSGM aus seiner Widerklage, behandelt werden.
CEO Stephen Hood äußerte Zufriedenheit mit dem Urteil und stellte fest, dass das Unternehmen und die ehemaligen Vertreter während des gesamten Verfahrens in gutem Glauben gehandelt haben. Das umstrukturierte Unternehmen wird sich nun auf die Entwicklung von Rennspiel-Erlebnissen konzentrieren, insbesondere auf ihr Projekt Le Mans Ultimate.
- Favorable court ruling eliminates legal uncertainty
- Company wins counterclaim for breach of stock purchase agreement
- Potential for damage compensation from counterparty
- Ongoing legal proceedings until final damage assessment
MIAMI, March 07, 2025 (GLOBE NEWSWIRE) -- Motorsport Games Inc. (NASDAQ: MSGM), a racing game developer and publisher, announces that on February 26, 2025, the U.S. District Court for the District of Delaware (the “Court”) granted the summary judgment motion in favor of Motorsport Games Inc. (the “Company”) and the other defendants, the Company’s former Chief Executive Officer and Executive Chairman, the Company’s former Chief Financial Officer, and the Manager of Driven Lifestyle Group LLC., in the case titled Innovate 2 Corp., Motorsport Games Inc., et al., No. 1:21-cv-165-SB.
The judgment entered by the Court held in favor of the Company and the other defendants on all counts and granted the Company summary judgment against Innovate 2 Corp. on the Company’s claim for breach of the stock purchase agreement entered into between the parties. The Court ordered the parties to submit a joint status report on March 12, 2025 regarding the remaining issues in the case, including Motorsport’s damages on its counterclaim.
Stephen Hood, President and Chief Executive Officer of Motorsport Games Inc. commented, “It is pleasing to receive this judgement from the Court in this matter. The Company and its former representatives have always maintained they acted in good faith and the Judge’s ruling supports this.”
“Our restructured Company is pleased to put this matter behind us and continue to focus on making great racing game experiences, such as Le Mans Ultimate, as we continue to build on its promising foundation.”
About Motorsport Games:
Motorsport Games is a racing game developer, publisher and esports ecosystem provider of official motorsport racing series. Combining innovative and engaging video games with exciting esports competitions and content for racing fans and gamers, Motorsport Games strives to make racing games that are authentically close to reality. The Company is the officially licensed video game developer and publisher for iconic motorsport racing series including the 24 Hours of Le Mans and the FIA World Endurance Championship, recently releasing Le Mans Ultimate in Early Access. Motorsport Games also owns the industry leading rFactor 2 and KartKraft simulation platforms. rFactor 2 also serves as the official sim racing platform of Formula E, while also powering F1 Arcade through a partnership with Kindred Concepts. Motorsport Games is also an award-winning esports partner of choice for the 24 Hours of Le Mans, creating the renowned Le Mans Virtual Series. Motorsport Games is building a virtual racing ecosystem where each product drives excitement, every esports event is an adventure, and every race inspires.
For more information about Motorsport Games visit: www.motorsportgames.com.
Forward-Looking Statements
Certain statements in this press release which are not historical facts are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and are provided pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Any statements in this press release that are not statements of historical fact may be deemed forward-looking statements. Words such as “continue,” “will,” “may,” “could,” “should,” “expect,” “expected,” “plans,” “intend,” “anticipate,” “believe,” “estimate,” “predict,” “potential,” and similar expressions are intended to identify such forward-looking statements. These forward-looking statements include, but are not limited to, the statements concerning making great racing game experiences, continuing to build on Le Mans Ultimate’s promising foundation and making racing games that are authentically close to reality. All forward-looking statements involve significant risks and uncertainties that could cause actual results to differ materially from those expressed or implied in the forward-looking statements, many of which are generally outside the control of Motorsport Games and are difficult to predict. Examples of such risks and uncertainties include, without limitation, the ability to make racing games that are authentically close to reality. Additional factors that could cause actual results to differ materially from those expressed or implied in the forward-looking statements can be found in Motorsport Games’ filings with the Securities and Exchange Commission (the “SEC”), including its Annual Report on Form 10-K for the fiscal year ended December 312023, as well as in its subsequent filings with the SEC. Motorsport Games anticipates that subsequent events and developments may cause its plans, intentions and expectations to change. Motorsport Games assumes no obligation, and it specifically disclaims any intention or obligation, to update any forward-looking statements, whether as a result of new information, future events or otherwise, except as expressly required by law. Forward-looking statements speak only as of the date they are made and should not be relied upon as representing Motorsport Games’ plans and expectations as of any subsequent date. Additionally, the business and financial materials and any other statement or disclosure on, or made available through, Motorsport Games’ website or other websites referenced or linked to this press release shall not be incorporated by reference into this press release.
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FAQ
What was the outcome of Motorsport Games' legal dispute with Innovate 2 Corp in February 2025?
When will MSGM and Innovate 2 Corp submit their joint status report to the Court?
What are Motorsport Games' (MSGM) plans following the favorable court ruling?
Which defendants were cleared in the Innovate 2 Corp vs MSGM lawsuit?
