The Delaware Supreme Court ruled against Viacom yesterday in the company’s lawsuit against Harmonix over bonus payments. The company must now pay $299 million to the studio’s former stockholders, according to The Hollywood Reporter.
Unless Viacom appeals the decision, or the Supreme Court reconsiders the ruling, the decision will stand.
Subsidiary of Viacom, MTV Networks, purchased Harmonix in September 2006 for $175 million. Viacom later sold the studio in December 2010. Viacom paid Harmonix bonuses of $150 million in 2007 but claimed they owed the stockholders nothing in 2008 and sought a refund for the earlier payment. Walter Winshall, a representative for the stockholders, disputed this and in 2010 took the companies to an arbitration agency who decided that Viacom owed Harmonix $383 million. Viacom payed $84 million to settle the 2007 bonuses, but took Harmonix to court over the remaining $299 million for 2008’s payouts.