Indurian

Member
Oct 27, 2017
1,685
I wish I knew the multi-billion dollar corporations side of the story so I can defend them.
 
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Patapuf

Member
Oct 26, 2017
6,496
Sounds like the terms of the contract have been broken, or their license to use these characters has maybe expired or something?

I mean, even if that was the case.. just for PR you'd want the paid for products to be shipped. It's not like there's a financial harm to Sony if they are.

This type of approach also looks like the bigger company is just abusing it's disproportionate power in a contract dispute, regardless of who is in the right here.

Usually, even if contracts fall through or are breached, there's some amount of leeway one can give.
 

Minthara

Freelance Market Director
Verified
Oct 25, 2017
8,224
Montreal
As someone who regularly negotiates these deals, it sounds like someone somewhere majorly fucked up and violated a clause in the contract and/or it lapsed and no one noticed.

I mean, even if that was the case.. just for PR you'd want the paid for products to be shipped. It's not like there's a financial harm to Sony if they are.

This type of approach also looks like the bigger company is just abusing it's disproportionate power in a contract dispute, regardless of who is in the right here.

I mean it could also be the case that the contract lapsed, no one noticed, then Sony signed with someone else to be the exclusive provider, which would mean these would need to be halted and destroyed, no questions asked.

There's a TON of grey area.
 

TrojanAg

Unshakable Resolve
Member
Oct 25, 2017
3,610
Hard to say how much of this is on Sony and not on Gaming Heads. Why was this licensing agreement terminated on short notice?
 

HelloItsPulse

Member
Dec 14, 2017
2,107
This reads like Playstation found a company that's willing to pay more for the license and is willing to screw over a longtime partner for some extra cash.

It would make sense that they need all existing product to be destroyed so that there isn't any conflict between the old partner and the new one.

Playstation can make good games but they are incredibly scummy as a company.
 

Teiresias

Member
Oct 27, 2017
8,300
Sounds scummy on the face of it, but obviously we have just one side of the story, but it would behoove Sony to not be its usual tight-lipped self and actually offer a substantive PR response since they definitely look like the bad guys here.
 

Minthara

Freelance Market Director
Verified
Oct 25, 2017
8,224
Montreal
This reads like Playstation found a company that's willing to pay more for the license and is willing to screw over a longtime partner for some extra cash.

It would make sense that they need all existing product to be destroyed so that there isn't any conflict between the old partner and the new one.

Playstation can make good games but they are incredibly scummy as a company.

You generally cant just axe these kinds of contracts cause you feel like it, you often need X amount of notice, which is usually 30 days or more, unless there is a breach of contract.
 

PlanetSmasher

The Abominable Showman
Member
Oct 25, 2017
118,116
I mean it could also be the case that the contract lapsed, no one noticed, then Sony signed with someone else to be the exclusive provider, which would mean these would need to be halted and destroyed, no questions asked.

This is my guess on what happened. Sony found a "better" partner to work with, signed a deal with them, and forgot to wait for the contract with Gaming Heads to expire before making the new deal.
 

NinjaScooter

Member
Oct 25, 2017
54,823
Clearly we don't know the whole situation, so Im not sure why any sides need to be picked. If Gaming Heads had a valid, active contract they'd have legal recourse against Sony, but that doesn't appear to be something they mention in their statement, which his odd.
 

Patapuf

Member
Oct 26, 2017
6,496
As someone who regularly negotiates these deals, it sounds like someone somewhere majorly fucked up and violated a clause in the contract and/or it lapsed and no one noticed.



I mean it could also be the case that the contract lapsed, no one noticed, then Sony signed with someone else to be the exclusive provider, which would mean these would need to be halted and destroyed.

There's a TON of grey area.

Sure, but because there's a ton of grey areas, there's usually a way to work things out - if the parties are interested in doing so.

Shipping paid for merch doesn't seem like an insurmountable issue, even if another company got rights now.
 

Griffy

Member
Oct 25, 2017
1,032
This sure sounds a lot like Gaming Heads took money for orders and is now trying to keep the money for orders that aren't going to be fulfilled. Why would Sony be responsible for the refunds, and not Gaming Heads? Wouldn't Gaming Heads be asking Sony for royalty payments back, and Gaming Heads be refunding the customers who paid them directly?
 

Ramirez

Member
Oct 26, 2017
5,232
Destroying stuff that's paid for and ready to ship is incredibly wasteful, rubs me the wrong way.
 

Juraash

Member
Oct 25, 2017
5,500
I also find it weird that they are saying customers are paying royalties, I'm not an expert, but I don't think this is how that works. Gaming Heads pays royalties or licensing fees or whatever and they recoup those costs within the price of the item(s) being sold. When you guy buy a Star Wars figure, there isn't some process splitting your actual 20 bucks between Hasbro and Disney. You also wouldn't email Judy Smith @disney.com or some shit for a refund/replacement. You'd contact Hasbro or whoever you bought it from for things like that.

It really just seems like this company is trying to direct fan anger at Sony (and one person in particular) for a decision they don't like.
 

Rei no Otaku

The Fallen
Oct 25, 2017
3,405
Cranston RI
There's definitely more to this. If it was as simple as Sony found a different partner and is terminating the contract, then the toy company would say that since it still casts Sony in a bad light. Sony just told them to destroy all merch, even paid for items, and didn't give a reason? Not buying that.
 

Pocky4Th3Win

Member
Oct 31, 2017
4,222
Minnesota
The fact that Sony is providing refunds sounds like Sony has terminated the contract for some reason. I bet something is going bad on the backend and Sony doesn't want to do business with them.
 

Shoichi

Member
Jan 10, 2018
10,608
that's really scummy if it turns out Playstation(Sony) profited off the royalties and is now preventing the company who made merchandise from even shipping the products to people who paid. Playstation should reimburse the company including any of their royalties revenue to the company if that's true
 

Minions

Member
Oct 25, 2017
445
Sounds to me like they are taking money for products they don't produce. If that's the case then this is the correct move to protect Sonys reputation/products.
 

JigglesBunny

Prophet of Truth
Avenger
Oct 27, 2017
31,538
Chicago
Unless there's something really heinous on the part of Gaming Heads being looked over here, surely it's grounds for a lawsuit if they're not reimbursing for pending orders on product that they're being told to destroy. Something doesn't add up here.
 

KharijTheDog

Member
Sep 23, 2022
187
Was gonna go "Sony is big bad!" like the rest of the thread but turns out Gaming Heads are a shady company that scams people off of their money, so... *shrug*
 

Minthara

Freelance Market Director
Verified
Oct 25, 2017
8,224
Montreal
That doesn't seem to be what Thanatos Is saying.

Every time I've negotiated one of these contracts its been a 30-90 day "breakup period" to wrap up business unless there is a breach of contract/the contract is not renewed. Its extremely common for there to be these kinds of clauses on the merch side of things.

For it to just suddenly end means something happened that broke that flow or someone really fucked up the business end.
 

Det

Member
Jul 30, 2020
13,306
Gonna wait on this one. With customer reviews of Gaming Heads being as terrible as they are, from multi-year delays with barely an update to cutting off contact when people have paid for merchandise and not providing any refunds, along with the Twitter post having the tact of a teenager and including an internal Sony employee email address. Entirely possible Sony is also being scummy in this situation, but it's giving me "something is off" vibes.
 

TrojanAg

Unshakable Resolve
Member
Oct 25, 2017
3,610
This is my guess on what happened. Sony found a "better" partner to work with, signed a deal with them, and forgot to wait for the contract with Gaming Heads to expire before making the new deal.
If this was the case, Gaming Heads would just sue Sony for breach of contract and not try to screw over their customers. I doubt Sony just signed a deal with someone else without realizing that they already had one with Gaming Heads.
 

Rowsdower

Shinra Employee of The Wise Ones
Avenger
Oct 27, 2017
17,126
Canada
This sounds scummy, but surely there's another side to this?

Reading the twitter and Reddit comments, seems Gaming Heads is fairly shady. Something else has to be going on.
 

Chumunga64

Member
Jun 22, 2018
14,586
it's obviously a conspiracy

sony doesn't want the audience to remember the time when Ratchet was cool and when kratos could jump
 

NinjaScooter

Member
Oct 25, 2017
54,823
If this was the case, Gaming Heads would just sue Sony for breach of contract and not try to screw over their customers. I doubt Sony just signed a deal with someone else without realizing that they already had one with Gaming Heads.

If Playstation breached the contract that blatantly, I have a hard time believing Gaming Heads wouldn't put that in their statement. I mean, they even throw their Playstation liason/contact's email in there and ask their fans to contact her, yet at the same time don't seem to want to talk about any specifics for why this is going down.
 

Dyno

AVALANCHE
The Fallen
Oct 25, 2017
13,659
A quick search lead me to people who've been waiting on a preorder for 7 years. I'm gonna assume this company had their contract hard terminated for a reason. Also I'm pretty sure royalties do not work the way they think they do
 

NewDust

Visited by Knack
Member
Oct 25, 2017
6,720
Them (Gaming Heads) not honoring refunds and going "dunno, go ask Sony" is a massive red flag. Real scumbag move, regardless of what is the story behind this.
 

Musubi

Unshakable Resolve - Prophet of Truth
Member
Oct 25, 2017
23,978
Telling them they can't even ship out paid orders is fucking bonkers. That' can't be legal.
 

TrojanAg

Unshakable Resolve
Member
Oct 25, 2017
3,610
If Playstation breached the contract that blatantly, I have a hard time believing Gaming Heads wouldn't put that in their statement. I mean, they even throw their Playstation liason/contact's email in there and ask their fans to contact her, yet at the same time don't seem to want to talk about any specifics for why this is going down.
It's why I'm inclined to think that Gaming Heads fucked up somehow and is trying to save face by asking their customers to blast some person's email at Sony that has nothing to with refunding their money. It seems like a scummy tactic.
 

KhrossSF

Member
Jul 8, 2020
552
new generation of out rage twitter folks will jump all over this , ill just wait for the full story
 

Tavernade

Tavernade
Moderator
Sep 18, 2018
8,879
Why destroy? What could possible warrant destroying those products? It's not like they're radioactive or something. So weird.

It's a weird legal/tax thing. My understanding is that if a company is going to write off some degree of product in their finances because it didn't sell or something, they have to destroy it to prove that they are truly no longer making money off of it. It's like how old comics/magazines get their front covers ripped off before being sent back or destroyed, discontinued products that have overstayed their welcome get tossed, etc. In this case it could double/also be that Gaming Head screwed up and aren't legally allowed to be selling them at all.
 

Minthara

Freelance Market Director
Verified
Oct 25, 2017
8,224
Montreal
Big companies are extremely wasteful.

Telling them they can't even ship out paid orders is fucking bonkers. That' can't be legal.

You can't ship out products you took preorders on if the contract is no longer valid, whether that's because it lapsed or one side cancelled/broke it, you'd be asking to be buried in lawyers after that. You'd be selling something you don't have the license/right to sell.

The only solution is destroy them.
 
Oct 27, 2017
1,745
Eh, let's wait for more info before thrashing either Gaming Heads or Sony, lest we find ourselves in another Hellena Taylor stupid-fest.
 

ItIsOkBro

Happy New Year!!
The Fallen
Oct 25, 2017
9,578
contact this one very specific person at Sony for your refund makes little sense, this is highly suspicious
 

VariantX

Member
Oct 25, 2017
16,985
Columbia, SC
Gonna just wait until I hear why Sony has ordered this because all this letter wants the reader to do is send a tidal wave of crap at a single individual working at the company.
 

LumberPanda

Member
Feb 3, 2019
6,646
My gut says breach of contract, and not something like "we found someone better".

Obviously "wait for the whole story", but that's the prediction.
 

NinjaScooter

Member
Oct 25, 2017
54,823
Considering anecdotes of some people waiting SEVEN years for Tomb Raider statues, Im going to laugh hard if it turns out this company hasn't had active licenses for these Sony properties since like the PS3 days.

Is there any indication as to when they started taking preorders for these Kratos/Jak/TLOU statues?
 

Butch

Member
Oct 27, 2017
3,443
Naming that person from Sony sure is weird, would love to hear how the meeting prior to this letter went.
Sounds safe to wait for Sony's side before passing judgement on this one.
 
Oct 26, 2017
244
Desert Land
Why are they charging for product's they haven't shipped yet? If I was a customer of theirs, I would be wondering why I've been charged for something that hasn't been put in a box and sent to me.
 

CopyOfACopy

Member
Oct 27, 2017
2,084
Orders placed and ready to ship do not count

They dont count as sold until it leaves the warehouse dock via freight carrier
 

RailWays

One Winged Slayer
Avenger
Oct 25, 2017
15,916
How is that legal considering they already purchased the stock? They refunding them?
 

Josh5890

I'm Your Favorite Poster's Favorite Poster
The Fallen
Oct 25, 2017
23,869
Why are they charging for product's they haven't shipped yet? If I was a customer of theirs, I would be wondering why I've been charged for something that hasn't been put in a box and sent to me.

A lot of these types of companies work off of the business model of paying up front before the product is made or available for release so they can allocate how many items need to be made.

See: LimitedRunGames
 

WardFail

Banned
Jul 30, 2022
536
United States
Naming that person from Sony sure is weird, would love to hear how the meeting prior to this letter went.
Sounds safe to wait for Sony's side before passing judgement on this one.

Naming that person is a desperation move. I'm pretty sure they royally fucked up, can't offer refunds because they can't afford to and decided to toss their Sony rep under the bus. I have a feeling this is a temporary diversion tactic to hide the fact that they are going out of business guns akimbo style.