THQ is taking toy firm Jakks Pacific to court over their joint venture on the World Wrestling Entertainment games, reports Gamasutra.com. Jakks unilaterally renewed its contract with the WWE without consulting the game publisher. THQ claims that Jakks has no right to make decisions that affect both companies. THQ specifically disliked the provision in the contract that prevents the publisher to release any wrestling game for one year following the termination of the WWE deal. Jakks and THQ are currently in arbitration over the issue.
THE WWE license has created ongoing issues for both firms. In May 2009, Jakks and THQ won a lengthy legal battle against WWE, which charged the two companies with bribery, antitrust, and conflict of interest. Last year, THQ prevailed in a suit against Jakks over unpaid royalties on the WWE titles.