Rhode Island Takes Possession Of All 38 Studios Assets
As if to provide a downer counterpoint to the official reconstruction of Big Huge Games as the new (Epic Games-owned) Impossible Games, at least one of the other remaining dangling shoes has dropped in the 38 Studios debacle. Yesterday, the State of Rhode Island officially took possession of 38 Studios’ assets.
The rights to the assets were granted by U.S. Bankruptcy Judge Mary Walrath, in a hearing yesterday in Wilmington, Delaware as part of 38 Studios’ ongoing bankruptcy proceedings. (Due to Delaware’s ridiculously low corporate tax rates, about half of all US corporations are incorporated there.) With this decision, the state of Rhode Island may at least be able to recoup some of what was
squandered lost when the company died. The plan is to sell these assets and apply them to the loan. It seems to me, however, that if the state were smart, they’d retain the rights to Kingdoms of Amalur and license it to an interested studio, then recoup the losses from sales of a sequel. They probably won’t do this because socialism or some other fear of an attack on capitalism*, so the best one can hope for is that they’ll find a developer willing to do something with the franchise.
This doesn’t end 38 Studios’ woes, however. The Rhode Island Attorney’s General office, the IRS and the FBI are all conducting investigations into its collapse.
*There miiiight also be a law preventing them from taking this route.