EA hit with class action lawsuit over Battlefield 4 bugs
by Andrew Yoon, shacknews.com, Dec 18, 2013 2:15PM PST
Battlefield 4 launched riddled with bugs. Since then, EA and DICE have suspended development of DLC as it continues to roll out updates that try to make the game more stable for players. Unsurprisingly, a class action lawsuit has been filed regarding Battlefield's bumpy launch. However, what is surprising is who is filing the suit.
The class action covers investors, anyone who purchased EA common stock between July 24 and December 4. The reason? The complaint alleges that EA over-promised on Battlefield 4, and that the glitchy launch has stunted the game's sales--which, in turn, has lowered the stock value for investors.
"Based on the purported strength of the Battlefield 4 rollout then underway, defendants issued strong fiscal 2014 financial guidance for the Company and actually increased that guidance on October 29, 2013. The price of Electronic Arts' stock steadily climbed on these statements, reaching a Class Period high of $28.13 per share by August 23, 2013 and allowing certain of Electronic Arts' senior executives to sell their Electronic Arts stock at artificially inflated prices," the complaint alleges.
Following the launch of Battlefield 4, the price of EA shares dropped to $21.01, down over 25% over its class period high. According to the complaint, EA "recklessly disregarded" known issues over Battlefield 4.
EA defended itself in a statement to Polygon, saying "we believe these claims are meritless. We intend to aggressively defend ourselves, and we're confident the court will dismiss the complaint in due course."