A judge has finalized a deal between the gaming company Activision Blizzard and the federal agency that resolves one of the several harassment cases that the gaming company faces.
The decision came despite concerns that the agreement may undermine California's pursuit of further damage in a different case.
Activision Blizzard's Case Settlement
The gaming company is currently awaiting permission to be acquired by Microsoft and the said deal between the two tech companies could change the gaming world.
However, Activision Blizzard is fighting several legal battles left and right filed by shareholders, its former employees and state regulators.
On Mar. 29, US District Judge Dale Fischer approved Activision Blizzard's $18 settlement with the US Equal Employment Opportunity Commission over the objection of the California Department of Fair Employment and Housing, which sued first and has looked to stop the confirmation of the deal, according to The Washington Post.
Fischer told a lawyer for DFEH that he is going to sign the consent decree, and will close the case. He also told the lawyer that a motion has been filed and that the request is untimely that they need to talk to the Ninth Circuit.
Activision Blizzard chief executive Bobby Kotick said in a statement that the gaming company will continue to focus on removing harassment and discrimination from the workplace.
Kotick added that the court's approval of the settlement is an important step in ensuring that the employees have mechanisms for recourse if they experienced any form of harassment or retaliation.
Activision Blizzard's Sexual Harassment Cases
The case stems from several claims of sexual harassment and workplace misconduct at Activision Blizzard.
The cases featured allegations of male employees excessively drinking and "joking" about rape in addition to a story about the "Cosby Suite," where one executive known for his unwanted sexual advances harassed women, and another female employee who committed suicide after her colleagues shared a nude picture of her.
The claims were first detailed in a complaint filed back in July by the DFEH. The EEOC followed by bringing a lawsuit of its own in September 2021.
The case soon erupted into a turf war between the federal and state agencies in a dispute that ultimately led to the gaming company's favored outcome which is a settlement that removed some uncertainty of its liability stemming from extensive accusations of sexual harassment amid Microsoft's bid to buy Activision Blizzard.
Anyone who was employed by Activision Blizzard from September 2016 to present can participate in the EEOC's deal, according to NPR.
They can submit claims for sexual harassment, pregnancy retaliation and discrimination, get their estimated settlement value and choose to opt in to the agreement, according to The Hollywood Reporter.
But those who choose to do so can opt to waive their right to be a part of California's pursuit of damages in parallel state court proceedings on the claims.
The two agencies, which share authority to handle workplace sexual harassment claims, both got an anonymous tip in 2018 from a human resources employee complaining of a hostile work environment.
They became entangled in a feud over the value of victims' claims and concerns that the EEOC's settlement may undercut California's case against the company in LA's Superior Court.
During the Mar. 29 hearing, a lawyer for DFEH urged the court to delay approving the deal until the EEOC can make sure that its settlement won't derail California's lawsuit.
Related Article : Activision Blizzard Employees Demand CEO's Resignation After New Wall Street Journal Report
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Written by Sophie Webster
