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Skybound Game Studios caught in legal snafu alleging fraud and design theft

in News
Gabriel Stanford-Reisingerby Gabriel Stanford-Reisinger
December 9, 2025

Indie outfit iam8bit has put forth a lawsuit against Skybound Game Studios over breach of contract, fraud, and design theft. The accuser claims Skybound failed to provide accurate financial reports, with some expenses completely fabricated.

Engadget caught wind of this, but the fraud isn’t the only big thing the Robert Kirkman-led studio is facing. Within the suit, iam8bit also accused Skybound of using trade secrets to secure its own deal related to Stray’s Nintendo Switch launch. Fans may or not know that iam8bit handled promo material for the console launch of the loved cat game, but not the Switch copy.

Naturally, iam8bit is seeking monetary and punitive damages alongside attorneys’ fees in compensation.

Gabriel Stanford-Reisinger Editor-in-Chief

Gabe has been a gamer since he was young, playing games like Pajama Sam, Freddi Fish, Guitar Hero, and whatever looked cool on GameFly. Ever since 2018, he's been infatuated with the inner workings of the gaming and entertainment industries, covering a wide range of topics from video games to TV and film. Starting as a contributor for PSX Extreme, he's worked his way up to its Managing Editor. Using what's he learned over the years, he founded Smash Jump to remind everyone to smash jump.

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  • Gabriel Stanford-Reisinger
    Editor-in-Chief

    Gabe has been a gamer since he was young, playing games like Pajama Sam, Freddi Fish, Guitar Hero, and whatever looked cool on GameFly. Ever since 2018, he's been infatuated with the inner workings of the gaming and entertainment industries, covering a wide range of topics from video games to TV and film. Starting as a contributor for PSX Extreme, he's worked his way up to its Managing Editor. Using what's he learned over the years, he founded Smash Jump to remind everyone to smash jump.

© 2026 Smash Jump. All rights reserved.

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