Silicon Knights has lost its appeal against Epic Games following a ruling last year that saw the Too Human developer ordered to pay $4.5 million in damages and $4.7 million in court fees.
The developer initially sued Epic but the Gears of War makers counter claim, which alleged that Silicon Knights was in breach of their licensing agreement, was upheld by a North Carolina court.
Now, the United States Court of Appeals for the Fourth Circuit has struck down Silicon Knight's appeal on January 6th.
As part of the legal proceedings, all unsold copies of Too Human were ordered destroyed by the court including Unreal Engine code used by the developer. The game was also removed from digital marketplaces.
However, it's unclear whether Silicon Knights actually still exists and is in a position to repay the damages. While the studio survived as late as May last year, founder Dennis Dyack moved to Precursor Games which repeatedly launched a Kickstarter for Shadow of the Eternals, none of which were successful.
