Take Two Settles Hot Coffee Lawsuit - $35 for the "Offended and Upset"

Take-Two, the parent company of Rockstar Games, has announced the settlement of all consumer class action lawsuits pending in the United States" related to the infamous GTA: San Andreas "Hot Coffee" mod. Take-Two has committed at least $1.025 million on the settlement, and by the terms of the agreement, their total costs are capped at no more than $2.75 million.

If you feel you were burned by Take-Two's "hot coffee" incident (sorry), you can get satisfaction if you are willing to jump through some hoops. OK, a lot of hoops. If you swear that you bought a copy of GTA: SA before July 20, 2005, further swear that you were "offended and upset" by the existence of the Hot Coffee mod, and further swear that you wouldn't have bought the game if you had known about it, and also swear that you would have returned the software if you "thought this possible," you may be entitled to exchange your tainted disc for a brand new disc devoid of any beverage mods, hot or otherwise.

If a new disc doesn't do it for you, you may be able to receive a cash payment of $35 provided you can supply a valid proof of purchase and jump through some more hoops. Good luck with that! Now, can we all move on please? OK, good.

Take-Two's CEO and board ousted by shareholders

In a widely expected outcome, during the Take-Two Interactive shareholders meeting a group of investors led by Oppenheimer Funds elected to remove CEO Paul Eibeler and establish a new board of directors. After a spate of PR snafus, internal and external investigations and the infamous Grand Theft Auto 3 "Hot Coffee" scandal, the company's investors had clearly had enough, electing Strauss Zelnick as chairman and instituted Ben Feder, an associate of Zelnick's, as interim CEO. "This is not going to be an easy task," said Zelnick. "But I think, and Ben thinks, that there's an awful lot of good stuff going on at Take-Two."

Reaction in the investment community was positive, though analysts noted the company's turnaround will take a concerted effort. "While the incoming board possesses a wealth of media experience, it faces a number of serious obstacles to a turnaround," Bear Stearns analyst Edward Urban wrote in a client note. Urban said the company might endure "a long and difficult transition." Shares rose four percent, to $21.94 in premarket Nasdaq trading.

Hopefully this move will set Take-Two down the path to regaining some stability so they can focus on what they do best, which is making kick-ass games!

For more, read the full report from The New York Times.