Unknown Worlds Files Lawsuit Against Former Leadership
The legal disputes surrounding Unknown Worlds, the acclaimed developer behind the Subnautica series, have escalated further. The studio itself has now joined the fray, filing a lawsuit against its former executives. According to the court documents, Unknown Worlds alleges that its ex-bosses utilized confidential materials to “harm the studio and jeopardize the future of the Subnautica franchise.”
The lawsuit targets former key figures Charlie Cleveland, Ted Gill, and Max McGuire, reiterating accusations that they failed to fulfill their responsibilities to Unknown Worlds and the development of Subnautica 2. Furthermore, the studio claims the trio pressured the development team to rush the sequel into early access. This alleged push was reportedly motivated by the prospect of securing a significant $250 million payout, a conditional earn-out bonus tied to the studio's performance under Krafton's ownership, with a substantial portion allocated to the former leadership.
Allegations of Confidentiality Breaches and Data Theft
Among the serious allegations is the accusation that the former executives breached confidentiality agreements. The lawsuit claims they downloaded tens of thousands of files and email copies shortly before their departure from the company. For instance, Charlie Cleveland is alleged to have downloaded 72,140 files from both his personal Google Drive folder and shared company folders. Similarly, Max McGuire is accused of downloading 99,902 files, including materials related to the game Moonbreaker.
Krafton, Unknown Worlds' publisher, had previously noted that this volume of downloads represented the largest for each of the three key employees since at least 2022. The publisher also highlighted that the former management “refused” to return or confirm which devices and confidential information remained in their possession. Following pressure from Krafton, the ex-bosses reportedly threatened to delete the files and once again refused to allow their devices, containing confidential information, to be inspected.
Studio Seeks Protection for Trade Secrets and IP
Unknown Worlds argues that the former executives “improperly used or disclosed” this information to members of the press, particularly in the context of their own claims against Krafton. The studio states that such public disclosure “has caused and will continue to cause harm to Unknown Worlds and jeopardize the future of the Subnautica franchise.”
In its lawsuit, Unknown Worlds aims to prevent the publication of its trade secrets and is demanding the return of all materials, the transfer of all rights to any intellectual property developed by the trio, as well as compensation for damages and legal costs. This escalating legal battle adds a complex layer to the development of Subnautica 2 and could significantly impact the studio’s future operations and the highly anticipated sequel.
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