Four professional VALORANT players and their coach have taken legal action against the XSET organization in California. They are seeking an order to compel the organization to resolve disputes through arbitration regarding owed proceeds from the Champions 2022 skin bundle. The cases were filed separately on August 16, 2023, with the Los Angeles County Superior Court.
According to court documents, the players and coach claim that XSET has reneged on its promise to pay them 50 percent of merchandising revenue, which includes XSET’s share of the Champions 2022 bundle revenue. XSET has allegedly refused to provide any payment for the digital items revenue. The team members also state that XSET ignored their request for negotiations, leading them to pursue arbitration.
The agreements between XSET and the team members clearly outline the agreed-upon revenue split from in-game skins. Each player and coach were supposed to receive 8.33% of all skin revenue sales. An addendum added in August 2022 further solidified XSET’s commitment to pay 50 percent of proceeds from in-game digital item sales to the five players and coach of the VALORANT roster at the time.
The lawsuits accuse XSET of failing to honor its own arbitration agreement by refusing to pay the non-refundable filing fee of $2,000, as required by the Judicial Arbitration and Mediation Services (JAMS) “Policy on Employment Arbitration Minimum Standards of Procedural Fairness.” The plaintiffs argue that XSET should cover all fees associated with the arbitrator’s fee, including travel expenses and rental costs for the arbitration hearing.
The players and coach are seeking a court order to compel XSET to arbitrate the dispute over the owed revenue shares. They also demand that XSET pays all administrative fees and costs related to the lawsuits.
Table: VALORANT Lawsuits Against XSET Organization
| Player/Coach | Allegations |
|—————-|————————————————————————————————-|
| Zachary “zekken” Patrone | XSET has failed to pay the agreed-upon 50% share of merchandising revenue. |
| Matthew “Cryocells” Panganiba | XSET has refused to provide any payment for the digital items revenue. |
| Jordan “AYRIN” He | XSET ignored a letter requesting good faith negotiations and has not paid the owed revenue shares. |
| Rory “dephh” Jackson | XSET has reneged on its promise to pay the agreed-upon revenue share. |
| Don “SyykoNT” Muir (coach) | XSET has failed to honor the terms of the arbitration agreement. |
The players and coach have filed separate cases with the Los Angeles County Superior Court, seeking resolution through arbitration and payment of all administrative fees and costs.
Source: DOTESPORTS