Square Enix has reached a settlement with the lawsuit against mobile game publisher HK Ten Tree following allegations that assets from a cancelled Front Mission project were used without authorization in the company’s mecha-themed mobile game. The lawsuit, filed in Seattle federal court in March, centered on claims that BlackJack Studio, Ten Tree’s development partner, incorporated copyrighted materials from the cancelled Front Mission 2089: Borderscape into their own mobile title Metal Storm (released as Mecharashi in China and South Korea).

The legal dispute stems from a failed collaboration between Square Enix and BlackJack Studio on Front Mission 2089: Borderscape, which was announced in April 2022 but cancelled by Square Enix just six months later in October 2022. According to court documents, Square Enix terminated its development agreement with BlackJack following the project’s cancellation.

Square Enix alleged that BlackJack subsequently repurposed assets from the cancelled Front Mission game for Metal Storm, which launched in 2024. The Japanese publisher sought to block the game’s Western release and pursued maximum statutory damages of $150,000 for each alleged copyright infringement.

The legal action was prompted when Ten Tree announced plans to bring Metal Storm to Western markets. In response to the lawsuit, Ten Tree began replacing certain in-game graphics, apparently to address the alleged copyright violations. While both parties have confirmed the settlement through a statement on Ten Tree’s website, the specific terms remain confidential. Ten Tree acknowledged the resolution of the dispute and apologized for any inconvenience caused to players.

“The company and Square Enix Co Ltd have agreed to settle the dispute regarding the Company’s game application Metal Storm: Steel Storm for smart devices,” the statement read. The company indicated it would continue providing services to users and expressed hope that players would continue enjoying the game.