Rhode Island proposed a bill earlier last week that would allow the state to default its debt and avoid paying the loan given to Kingdoms of Amalur: Reckoning developers, 38 Studios.
The Associated Press reports the default will rid the state of responsibilities to repay the $75 million loan granted to former Boston Red Sox pitcher, Curt Schilling, and his studio, 38 Studios. Rhode Isalnd tried to default the debt last year when an upcoming payment totaled $12.5 million.
Although Rhode Island and its tax payers wouldn't have to pay the debt with the bill, governor Lincoln Chafee says a default would ruin the state's reputation and additionally increase borrowing costs.
38 Studios spent $133 million before declaring bankruptcy as the studio failed to manage costs for the development of an Amalur MMORPG, codenamed Copernicus. In a recent auction, Rhode Island failed to find buyers for the Amalur name. Chafee says the Copernicus assets amount to nothing more than "a lot of junk" and isn't surprised the state can't find a buyer.
