Over the last couple of years, Crytek has been suing Cloud Imperium Games over a license dispute. Just last month, Crytek attempted to have the case temporarily dismissed, allowing the company to come back and re-file its complaint once Star Citizen and its single-player component, Squadron 42, were released. CIG called for the whole case to be dismissed permanently. Now, both parties have settled.
After plenty of hearings and arguments between lawyers, Crytek, Cloud Imperium Games and Robert Space Industries have reached a settlement, as noted in new court filings spotted by Gamasutra. Full details on the settlement remain thin but money almost certainly changed hands. The case is due to be dismissed within 30 days of the settlement agreement.
Crytek began suing the Star Citizen studio back in 2017, shortly after CIG switched from CryEngine over to Amazon Lumberyard, an engine that was built based on CryEngine code after Amazon struck its own deal with Crytek.
Crytek argued that Star Citizen was contractually obligated to use CryEngine and that the additional development of Squadron 42 broke the Game License Agreement initially signed by both parties. Cloud Imperium Games has repeatedly denied that it broke any agreements and has also attempted to have Crytek's case thrown out on different occasions.
KitGuru Says: A judge still needs to sign off on the case dismissal due to the proposed settlement, so there is still some news to come on this. For now though, it looks like the several year-long legal battle is finally coming to an end.