Ex-Contractor Reset Login Credentials, Diverted Videogame Revenues to Himself: Suit
A former Gamefam contractor “hijacked” a videogame the company developed and owned -- along with all recurring revenue from the game -- alleged a fraud complaint Wednesday (docket 1:24-cv-00639) in U.S. District Court for Delaware.
Sign up for a free preview to unlock the rest of this article
Export Compliance Daily combines U.S. export control news, foreign border import regulation and policy developments into a single daily information service that reliably informs its trade professional readers about important current issues affecting their operations.
Gamefam engaged Riley Longman in 2022 as a contract software developer to provide services in connection with the game Deadpines Zombie Survival, said the complaint, saying he created login credentials within the Fortnite platform, giving him and other Gamefam developers “full access to Deadpines and the game’s development, maintenance, and revenue tools and related information.” Longman contributed to the development, launch and maintenance of Deadpines as part of his contracted services, it said.
Longman’s work for Gamefan ended in January, when his contract was Gamefan was terminated “for performance reasons,” said the complaint. In April, without the company’s knowledge or permission, the defendant used Gamefam’s login credentials for Deadpines “to gain unauthorized access to the game’s account on the Fortnite platform and reset the login credentials to a username and password known only to Longman,” it alleged. That “shut Gamefam out of control of its game so that Longman had, and still has, exclusive access to Deadpines,” it said.
From March 2023, when Deadpines first began generating revenue from Fortnite, through April of this year, Gamefam had been receiving regular recurring payments for Deadpines from Fortnite operator Epic Games, said the complaint. “After Longman changed the login credentials, Gamefan realized it was no longer receiving these recurring payments,” it said. “The only rational conclusion was that Longman had changed the banking information on the Deadpines account to prevent Gamefam from receiving the recurring revenue that belongs to Gamefam,” it alleged. As a result, all revenue derived from Deadpines is no longer available to Gamefam,” it said.
By resetting the login credentials, “Longman effectively eliminated Gamefam’s access to its Deadpines game on the Fortnite platform and transferred the administrative rights to the game to himself,” the complaint alleged. His actions have caused “significant financial harm to Gamefam" by depriving the company of revenue from the game, and Gamefam has lost additional business opportunities and revenue from brand partners who would advertise within Deadpines, it said. Longman's actions have also caused “irreparable reputational harm to Gamefam” with its platform and brand partners, it said.
Gamefam reached out to Longman April 29 asking him to restore Gamefam’s access to the game, the complaint said. The plaintiff’s attorney contacted the defendant’s attorneys twice in May demanding that the former employee restore Gamefam’s access “and return any diverted revenue to avoid litigation,” it said. Despite those efforts, Longman “has refused to restore Gamefam’s rightful access to Deadpines on the Fortnite platform as well as Gamefam’s revenue from Deadpines,” it said.
Gamefam asserts claims of copyright infringement, violation of the Computer Fraud and Abuse Act, violation of Delaware Code Title 11, conversion and breach of contract. The plaintiff requests orders temporarily, preliminarily, and permanently enjoining Longman, and those in active concert with him, from continuing any acts that will cause injury to Gamefam. It also requests awards of damages, plus exemplary and punitive damages; pre- and post-judgment interest; and attorneys’ fees and costs.