The esports industry’s first major employment lawsuit has come to an end.
Fortnite streaming star Turner “Tfue” Tenny and esports organization FaZe Clan today announced they had reached a settlement after a 15-month contract dispute over sponsorship opportunities and payment.
“Faze and Turner Tenney are pleased to announce they have resolved their disputes and settled their litigations. The parties wish one another the best of luck in future endeavors,” read the emailed statement from both parties’ legal representation, obtained by Forbes. No settlement amount was disclosed, and neither legal party was made available or responded to Forbes’ request for comment.
The suit shined a spotlight on labor and employment law issues in the rapidly growing esports and gaming industry. In May 2019, Tfue filed two suits against FaZe Clan in California, alleging the company was exploiting him with an “oppressive, onerous and one-sided” contract that violated state law and the Talent Agency Act. He claimed his contract with FaZe allowed the organization to collect up to 80% of the revenue he earned from third parties and prevented him from signing lucrative sponsorship deals. He labeled himself an artist, not an athlete, in order to take advantage of the TAA and was seeking to sever ties with the organization.