PlayaDRM Shutting Doors, Gives Clients 10 Days Notice

MARINA DEL REY, Calif. — One month after news broke that Playa Solutions founder Oystein Wright was suing company co-founder Jason Tucker, the company has announced that it will shut down its Digital Rights Management arm, PlayaDRM.

The company also amended its lawsuit by naming ideaFoundry owner Chad Myers as a co-defendant.

“It is with deep regret [that] we need to inform you that we need to give you your 10 days notice,” stated a letter the company sent to clients Sunday.

The letter went on to say that a partners actions had “severely crippled PlayaDRM’s ability to serve its clients in a manner deserved both financially and technically.”

“As of now, none of the protected videos are functioning,” Wright told XBiz. “Someone has done something to our system so that none of the protected video files work, and until the party who deleted that part of our database restores it, they will not.”

In other words, the 10-day notice is strictly a formality, since the videos have already been disabled due to technical problems beyond Playa's control.

Wright added that Playa Solutions will exist on paper for accounting purposes only.

Playa’s difficulties first came to light on May 9, when Tucker announced he had been locked out of PlayaDRM.

News broke later that day that Tucker, along with his wife, Gail Harris, Tucker’s other company, Falcon Foto and up to 100 as-yet-unnamed co-defendants, had been named in a lawsuit filed by Playa Solutions.

Playa accused Tucker of diverting funds, shutting Wright out of the company’s computer systems to keep him from discovering the alleged diversion of funds, using company credit cards for non-business purposes and failing to account for them and blocking access to Protected Media’s copy of the Playa DRM licensing server.

In addition to announcing the shut down, Playa also named software programmer Chad Myers as one of the “John Does” mentioned in its initial lawsuit. Playa is accusing Myers of unfair competition for disabling computer code that he helped develop and Playa supplied to its customers.

While Wright declined to comment on the defendants, he said he believes the technical difficulties Playa is experiencing — and which are forcing the company to stop operations — are directly related to their actions.

He added that, while he regrets the inconvenience to Playa’s clients, there is nothing the company can do to fix the situation other than take legal action against those responsible.

He also stressed that Playa is a separate entity from his other company, Mansion Productions, which will not be affected this Playa’s situation.

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