Gaming - News
Why New York City
is Suing Activision Blizzard
If there's anything Activision Blizzard knows a thing or two about these days, it's lawsuits. Prior to making video game history by being acquired by Microsoft for the steep price of $68.7 billion, the company was making headlines in 2021 for facing several lawsuits in the wake of allegations pertaining to sexual harassment in the workplace and harboring an overall toxic workplace environment.
In a new lawsuit against Activision Blizzard, New York City officials alleged that CEO Bobby Kotick rushed the sale of the company in order to avoid liability for the lawsuits pertaining to workplace misconduct. The case is helmed by the New York City Employees' Retirement System, as well as various pension funds from the city's police, fire, and teacher departments, and is being filed to the Court of Chancery in Delaware.
The lawsuit claims that Kotick shouldn't have been granted the ability by the board of directors to confirm the sale of Activision to Microsoft, due to the allegations against him. "Given Kotick's personal responsibility and liability for Activision's broken workplace, it should have been clear to the Board that he was unfit to negotiate a sale of the Company," explained Stephen Totilo of Axios.