Anti-trust lawsuit against EA cleared for trial

A district judge has cleared a class action lawsuit against Electronic Arts this week, which means it should eventually become a jury trial.

The class action suit claims EA illegally increased the price of the Madden NFL series after it won exclusive rights to the NFL license, in 2005.

Any purchaser of a Madden game from 2005 until now is eligible to register as a plaintiff in the wide-ranging suit.

In 2004, Take-Two released NFL2K5 for just $19.95, taking on the behemoth Madden, which was forced to drop its prices to $29.95, down from the standard $49.99.

EA won the exclusive NFL license the next season and returned Madden prices to $50, and eventually $60 when the Xbox 360 and PS3 were launched.

Says plaintiff lawyer Steve Berman (via GI):

"Consumers now have a legal standing to demand that EA refund consumers millions of dollars it made from Madden NFL and other sports titles through what we contend was an illegal price-gouging scheme.

"We believe EA forced consumers to pay an artificial premium on Madden NFL videogames. We intend to prove that EA could inflate prices on their sports titles because these exclusive licenses restrained trade and competition for interactive sports software."

Written by: Andre Yoskowitz @ 26 Dec 2010 0:42

roz1281

I hate EA as much as anyone, and don't even buy their games, but how is it illegal at all to set a price for a game you develop/publish? Especially considering the price matches every single other game out there? Shit, I may as well go after Nintendo for charging $30 for a rehashed super NES mario rom.

26.12.2010 05:12 #1

spartybob

Originally posted by roz1281: I hate EA as much as anyone, and don't even buy their games, but how is it illegal at all to set a price for a game you develop/publish? Especially considering the price matches every single other game out there? Shit, I may as well go after Nintendo for charging $30 for a rehashed super NES mario rom. It's economics 101. If you have two gas stations on opposite corners of a street, both stations will be less likely to set high prices due to the fact of competition. Yet if one gas station closes, then you will likely see the remaining station quickly increase their prices. I have not bought a Madden game since they bought the rights to the NFL. EA has had no incentive to improve something when it's the only game in town.

26.12.2010 08:16 #2

Zealousi

Who play sport games anymore, it is all about the FPS and RPG and even MMORPG.

EA can just suck it really, they love to suck the life out of the consumer so everyone join in and kick them in the butt as no one likes them.

26.12.2010 09:58 #3

solamf30

Haven't played another football game after Tecmo Bowl. I can't see how they could improve on perfection.

26.12.2010 10:19 #4

KSib

Originally posted by Zealousi: Who play sport games anymore, it is all about the FPS and RPG and even MMORPG.

EA can just suck it really, they love to suck the life out of the consumer so everyone join in and kick them in the butt as no one likes them. Uh, a lot of people still play sports games believe it or not. You've heard about 2k11 for example, right? They bore me, but they sell.

26.12.2010 14:28 #5

roz1281

Originally posted by spartybob:

It's economics 101. If you have two gas stations on opposite corners of a street, both stations will be less likely to set high prices due to the fact of competition. Yet if one gas station closes, then you will likely see the remaining station quickly increase their prices. I have not bought a Madden game since they bought the rights to the NFL. EA has had no incentive to improve something when it's the only game in town. I know, I ran a gas station for awhile actually :p. I'm just saying I believe EA has a right to price it inline with other games out there, whether they have competition in the football genre or not.

To use the gas station analogy, say one of the stations closed and the remaining station on the block changed it's prices back up to the city's standard price point. Seems like the same thing.

It's not like a football game is something people need to survive, so why can't they price it at $300 if they want? I'll admit I don't know jack about law, especially pertaining to price gouging, but it seems like common sense.

26.12.2010 15:41 #6

ps3lvanub

Steve Berman... Ain't that Eminem's lawyer???

OMG! COD6 TENTH HACK WITHOUT JTAG!

26.12.2010 18:50 #7

juventini

Originally posted by solamf30: Haven't played another football game after Tecmo Bowl. I can't see how they could improve on perfection. LOL so TRUE!

Forza Juve!!

26.12.2010 21:50 #8

SProdigy

I'm also sure that EA increased prices to be inline with the new consoles game prices, plus I'm sure an exclusive license costs way more than when 2K was also able to produce NFL games.

27.12.2010 10:46 #9

DXR88

I don't understand why games cost 60 bucks anyway, After all your just buying rights to use that game.

27.12.2010 20:18 #10

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