Los Angeles city attorney's office has sued the makers of Grand Theft Auto: San Andreas for allegedly hiding pornographic material inside the video game, officials said. Rocky Delgadillo said his office sued Rockstar Games and its parent company Take-Two for making misleading statements in marketing the game and engaging in unfair competition.

Marvel Entertainment, NCsoft, NC Interactive, and Cryptic Studios are pleased to announce today that they have amicably settled all claims brought by Marvel and all claims brought by NCsoft, NC Interactive, Inc. and Cryptic Studios, Inc.

Robert Byers, a Chicago resident who bought a new Xbox 360 has sued Microsoft saying the new video game console has a design flaw in the he power supply and central processing unit that causes it to overheat and freeze up.

Microsoft and RealNetworks today announced three agreements valued at $761 million to RealNetworks to settle their antitrust case and create a new partnership to innovate and promote consumer choices in digital music and games, including offering RealNetworks' digital games through Xbox 360's Xbox Live Arcade.

Electronic Arts and counsel representing a class of current and former computer graphic artists in Electronic Arts' California studios today announced a settlement agreement on claims for overtime compensation.

Online retailer Lik-Sang.com was today informed that Sony Computer Entertainment Europe Limited and Sony Computer Entertainment Inc commenced legal actions against Lik-Sang.com in the High Court of Hong Kong for selling PSP consoles.

Sony Computer Entertainment Europe has won its recent battle against importing and selling of its forthcoming PSP handheld from Japan. In a recent case against online retailer Nuplayer Ltd, Mr Justice Lawrence Collins ruled that Nuplayer had no arguable defence and Summary Judgement was given.

Chip maker Advanced Micro Devices Inc. has filed an antitrust lawsuit against Intel Corp., accusing its market-dominating competitor of forcing customers into exclusive deals to keep them from buying AMD microprocessors.

In a follow up to our Tecmo vs. Ninjahacker editorial from a few months back, it seems a federal judge last week dismissed a lawsuit by California game maker Tecmo against the proprietors and users of the website, after the company quietly settled with the two main defendants. Read more for details ...

Valve and Vivendi today announced the settlement of a pending federal court lawsuit filed by Valve in August 2002. The parties have resolved their differences, and the settlement provides for the dismissal of all claims and counterclaims. VUG will cease distribution of retail packaged versions of Valve's games, including Half-Life, Half-Life 2, Counter-Strike, Counter-Strike: Condition Zero and Counter-Strike: Source, effective August 31, 2005, and notify distributors and cyber cafes that were licensed by VUG that only Valve is authorized to distribute Valve games to cyber cafés and grant cyber café licenses. All previous license agreements made by Vivendi are being terminated. Needless to say, settlement or not, this is a huge win for Valve.

Project Entropia today announces the closing of the two-year long Business Software Alliance (BSA) lawsuit against Project Entropia developer MindArk. In May 2002, members of the BSA, including Microsoft, Adobe Systems, Macromedia, and Autodesk, claimed that Swedish game maker, MindArk, had been illegally using software and other computer programs to run its facility.

A U.S. district court judge in Los Angeles dismissed several key claims by comic book publisher Marvel Enterprises, Inc in the company's trademark and copyright infringement case against online computer game publisher NCsoft Corporation and game developer Cryptic Studios. Marvel sued NCsoft and Cryptic Studios in November of last year, claiming that the City of Heroes online computer game allows players to imitate comic book characters owned by Marvel.

City of Heroes developer Cryptic Studios has updated its official website with a brief statement regarding last week's copyright lawsuit by Marvel Comics. "As reported by The Associated Press, Marvel Enterprises Inc. and Marvel Characters, Inc. have sued NCsoft Corporation and Cryptic Studios. The complaint is meritless. Cryptic Studios is confident that the District Court will reject all of Marvel's claims and fully vindicate Cryptic Studios in all respects."

World Wrestling Entertainment today filed a fourteen count complaint in the United States District Court for the Southern District of New York against Jakks Pacific, Inc., THQ, Inc., a joint venture involving Jakks and THQ, Stanley Shenker & Associates, Inc. and Bell Licensing, LLC for corruption, bribery and racketeering.

THQ Inc. today announced that agreement in principle has been reached to settle the class action lawsuit first filed against the Company in February 2000. The settlement remains subject to negotiation of a final written agreement between THQ and the plaintiffs, as well as court approval.