Paraphrasing what we have been told by an inside source to the situation:
The staff that is (attempting) to transition from Rivals to On3 is *extremely* stressed about the ongoing legal situation. They were apparently close to a settlement yesterday but it would have likely entailed them operating at less than full functionality for some time. From this I infer it is a non-compete issue in which Rivals is claiming that Sean is using some Rivals IP/confidential info. In addition, someone else said they heard from another staff member that Rivals was drafting a request for injunctive relief shortly after midnight yesterday. That is the common remedy provided in the contract when the party owning the IP believes there has been a breach in contract.
As stated, the staff was very stressed. They had a TT and recruiting info written that they were unable to post or had to change the timing. It seems that Rivals has played a card to interfere with the launch of the staff to On3 to buy time for their new guy and they were successful so far.
To me, it looks like Sean is in a world of hurt.
- Terry says this is between Sean and Rivals
- Terry says he has Sipple and will add more content providers soon
- Terry says he has the name as of 9/1/22 but pointedly avoids stating Sean's team can start then
- Terry also makes a point of saying Sean could not show up as scheduled.
From my perspective, why would he need Sean now? By 9/1 he should already be up and running fine without him. Sean is currently unable to fulfill his contractual obligation to On3, Terry technically will not owe him anything. Terry will capture most of the market, Rivals will retain the rest. Right now from what I have heard, it sounds bad. Everything I have heard comes across as "poor Sean, he is such a good guy. Too bad this happened to him but onwards and upward!"
Take it for what it's worth.