Rob Wyatt, co-designer for the original Xbox and a co-founder for Tin Giant, a design company, is suing Atari over the upcoming VCS console. Atari had hired Wyatt and his company earlier on in the Atari VCS development cycle, but apparently over $260,000 has gone unpaid for the work.

Tin Giant filed the lawsuit in Colorado recently and as reported by VentureBeat, it alleges a breach of contract and defamation on Atari’s part. There is also reportedly over $261,000 in unpaid invoices for work designing the console.

The lawsuit says that Tin Giant was contracted to work on Atari’s next console in June 2018. Eventually, the two companies parted ways and the lawsuit alleges that Atari blamed the console project delays on Tin Giant’s work.

According to the lawsuit, the console project was repeatedly delayed due to Atari’s own mismanagement. At this point in time, Atari has not commented on the lawsuit but we can expect some form of rebuttal soon. Aside from that, the Atari VCS console is expected to ship out to backers soon, although the current coronavirus situation has delayed plans somewhat.

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KitGuru Says: We’ll have to wait and see what Atari says about the situation here, but claims of unpaid work are always going to be a bit messy. I wouldn’t be surprised to see an out of court settlement somewhere down the line.

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