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Monday, May 20, 2024
Law

‘League of Legends’ Maker Agrees to $100M Settlement

  • Riot Games, maker of "League of Legends," has agreed to a $100 million settlement with two California agencies.
  • The suit alleged systemic sexual harassment and discrimination.
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Riot Games/Design: John Regula

Riot Games has agreed to a $100 million settlement over a sexual harrassment and discrimination suit brought by the state of California.

The settlement with the Tencent-owned gaming company will deliver a payment from a pool of at least $77 million to all women who worked at Riot Games after Nov. 6, 2014.

The remainder will go to legal fees. Unclaimed funds will be donated to charities supporting women in technology.

The “League of Legends” maker was accused of being permissive to sexual harassment and systematically discriminating against women in matters of hiring, pay, and promotion.

  • The fund will be distributed among 1,065 employees and 1,300 contract workers.
  • Riot also agreed to put aside $18 million over three years to fund diversity, equity, and inclusion programs, create 40 full-time positions for former contract workers, and conduct third-party gender-equity analyses and audits.
  • The agreement settles claims brought by both the state’s Department of Fair Employment and Housing and the California Division of Labor Standards Enforcement.

Activision Blizzard on Notice

Riot initially agreed to a $10 million settlement in 2019. Both state departments objected to the settlement in January 2020, managing to prevent the initial agreement from being finalized.

Activision Blizzard is still facing a lawsuit alleging a “frat boy” culture and gender-based wage discrimination from the DFEH. The company agreed to a separate $18 million settlement with the federal Equal Employment Opportunity Commission over similar claims.

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