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Ubisoft and EA spar in Canadian court

Marcel Klum   on 27 September 2003 - 09:14 · 8 comments & 806 views

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Ubisoft Montreal rolls up the welcome mat--brings legal action against former Splinter Cell designers hired on to new Electronic Arts studio.

In a court case that has received significant press in Montreal, but little in the US, Ubisoft last month charged five former employees with violating non-compete agreements. The five recently accepted jobs with Electronic Arts' new Montreal studio.

The clause limits the ability for those who sign it to work in the North American game industry for a period of one year after leaving the company. Informed sources say that in the seven years Ubisoft has maintained a Montreal studio, it has not previously enforced the clause.

While Ubisoft confirms it is indeed seeking to enforce the non-compete clause through legal channels, it refused to elaborate on the litigation today. When contacted, Martin Carrier, Ubisoft Montreal's director of communications and public affairs, confirmed there was ongoing litigation between the companies but added, "Because it's in the courts, there is not a lot to say."

Electronic Arts, on the other hand, is adamant that the litigation--which is being brought against the five former employees, not Electronic Arts--will set an unfortunate precedent, preventing creative talent from seeking jobs of their choice, unfettered by what it says are restrictive, possibly illegal clauses in employment agreements.

"This legal action basically destroys their careers. They either have to move out of Montreal or work at McDonald's for a year," said Jeff Brown, Electronic Arts vice president of corporate communications. "It seems that Ubisoft thinks of Montreal as a plantation--any worker who dares to escape the Ubisoft plantation will be hunted down by lawyers and forced out of business."

The five individuals, all former members of the Splinter Cell team, resigned from Ubisoft earlier this summer and subsequently accepted job offers with Electronic Arts Montreal. EA had announced earlier its intent to expand operations and open a Montreal studio.

News source: GameSpot


The former Ubisoft employees are, for the moment, able to work for the new EA studio. An upcoming court hearing, however, scheduled to take place October 6, will determine whether the five will be allowed to continue to work while the larger issue of whether or not the non-compete clause is legal is determined. Legal proceedings that address that larger issue are not expected to conclude until December of 2003 or January of 2004.

According to Electronic Arts, Ubisoft initially joined in the chorus of Montreal businesses who welcomed the US-based video game giant. EA is no stranger to doing business in Canada. It already has two operations located in British Columbia, Canada, specifically its Vancouver and Burnaby studios, and two of EA's most senior corporate staff are Canadian--president of EA worldwide studios, Don Mattrick, and executive vice president of worldwide studios, Bruce McMillan.

When contacted today by phone in Montreal, newly appointed EA Montreal general manager, Alain Tascan, himself a former Ubisoft employee hired by Electronic Arts in June, commented that Montreal, with its universities, its already robust tech community, and its melting-pot urban energy, was a natural choice for Electronic Arts. Tascan said his focus is on "creating the next big franchises" for Electronic Arts.

Expressing his displeasure at Ubisoft's tactics, wherein employees would have to wait a full year after leaving the company before accepting work with any other North American game concern, Tascan said, "It comes down to producing work every day, every month. If anyone stops working for a year [in this industry], they'll be in trouble."

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#1 i like chips on 27 Sep 2003 - 15:01
I just recently moved to Montreal myself. I applied at EA!
#2 MR_Candyman on 27 Sep 2003 - 16:40
wow...never heard of that clause before, but it is really really stupid.

QUOTE
The clause limits the ability for those who sign it to work in the North American game industry for a period of one year after leaving the company

QUOTE
They either have to move out of Montreal or work at McDonald's for a year...It seems that Ubisoft thinks of Montreal as a plantation--any worker who dares to escape the Ubisoft plantation will be hunted down by lawyers and forced out of business


is it just me or do those 2 quotes not say the sam ething? one says they can't work in north america for a yea and one says not in montreal...
(2 replies) #3 Ash on 27 Sep 2003 - 17:55
Ubi Soft sucks *** in the way they run their company.

I applied there for a few jobs since March. Near the beginning of August I finally got a call from them about the position of Video Game tester. He started talking in french, and when I mentioned that I don't really understand french (I lived here in Mtl for my entire life of 25 years and have always struggled with french, long story) and then he said that you need to have french for that job.

Now yeah I understand it is Montreal and a french company, but really? I mean I applied in English and my writing sample (for bug reports) was also in English, AND they never said anything about needing french in that particular job (a lot of their other ones said you need french). But needing french to test video games? They are developed in english... months before they come out and see screenshots, they are in english aswell, and if these people are devloping games, I bet to hell they can speak/understand english.

But what really ****** me off most was the fact that they called me then rejected me for not having french, when there was no indication of needing french and my resume and sample were in english and I did not say I had french on my resume (usuually if you you have other languages besides the language your resume is in, you indicate so.)

I hope Ubi loses in court.
#3.1 i like chips on 27 Sep 2003 - 18:22
yeah I hear ya man. no worries tho, i doubt that position pays very well anyway.
#3.2 Ash on 27 Sep 2003 - 21:09
Hehe yeah, but it pays more then being unemployed hehe. Most of the reason I wanted in there tho was as a step in the door to get hired on as a web designer there,
#4 Ghostdraconi on 27 Sep 2003 - 17:59
Too bad for those guys but I'm sure they read their contract before signing it
#5 SimplyPotatoes on 27 Sep 2003 - 22:31
vicotria canada is pretty anyone from victoria canada or living there now?
#6 quanta on 29 Sep 2003 - 21:46
A lot of job contracts have no-compete clauses in them (and other annoying clauses). I signed one once when working for an engineering company. They are basically designed to prevent other company's from headhunting (read: hiring away) your best people. You can debate whether it's right or wrong, but a contract is a contract.

Now the ex-Splinter Cell crew don't necessarily have to work at MickyD's, they can get dev jobs that don't involve games. It is unfortunate that Ubi is enforcing this clause, but it's within their rights.

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