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Activision has been served a lawsuit from 38 plaintiffs, including present and former Infinity Ward employees, demanding up to half a billion dollars. The plaintiffs are seeking compensation for 'unpaid bonuses, royalties, profit sharing and future profits from games such as Modern Warfare 3 and punitive damages.'

"AP is reporting that Activision has countersued former Infinity Ward executives Jason West and Vince Zampella. Activision claims West & Zampella 'morphed from valued, responsible executives into insubordinate and self-serving schemers who attempted to hijack Activision's assets for their own personal gain and whose actions threatened both the future of the Call of Duty franchise and the future of Activision's (Infinity Ward) studio.'"

This follows Activision's firing of the execs earlier this year. Legal documents indicate that this legal dispute has caused delays in the production of Modern Warfare 3. Lawyers for the two fired execs say Activision's claims are ridiculous, citing Modern Warfare 2's overwhelming financial success. Meanwhile, it's rumored that EA is seeing the whole fiasco as an opportunity.

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