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Midway Creditor Lawsuit Dismissed

BusinessWeek reports that U.S. Bankruptcy Judge Kevin Gross has dismissed a lawsuit filed against Sumner Redstone and former directors of Midway Games by creditors who lost money after Sumner Redstone sold the company. The ruling says Redstone and Midway's directors (including Redstone's daughter Shari), "didn’t breach their duties to stakeholders or engage in fraudulent transfers of the firm's assets." This didn't stop the judge from offering a bit of a scolding: "The decision is not an endorsement of any of the defendants' actions," wrote Judge Gross in a Jan. 29 ruling. "The defendants oversaw the ruin of a once highly successful company, only to hide behind the protective skirt of Delaware law, which the court is bound to apply." Thanks Kotaku.

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