Skip to main content

'Star Citizen' suffers crowdfunding blow from LA district attorney

star citizen backer refund starcitizen header
Image used with permission by copyright holder
Cloud Imperium Games, creator of the long-in-development spacefaring adventure game Star Citizen, has issued a substantial refund to one of its backers after attracting the attention of the district attorney of Los Angeles, potentially setting a precedent for future cases regarding delivery of crowdfunded products.

According to a lengthy forum post detailing the ordeal, Star Citizen backer “Streetroller” was flatly denied multiple requests for a refund after arguing that the still-in-development Star Citizen did not reach a state of completion within a time frame specified by its creators.

Cloud Imperium Games quickly changed its tune after Streetroller contacted the district attorney of Los Angeles, the Federal Trade Commission, and the Los Angeles Department of Consumer and Business Affairs in response. Without acknowledging any wrongdoing on its part, Cloud Imperium Games subsequently issued a full refund of Streetroller’s $3,000 pledge.

Announced in 2011, Star Citizen is an ambitious, multifaceted game for PC platforms that promises a mixture of space exploration, interstellar combat, and first-person shooter sequences. A story-driven campaign titled Squadron 42 is also being developed alongside the game’s open-universe component. Cloud Imperium Games kicked off an ongoing crowdfunding campaign for Star Citizen in 2012, earning a total of $117 million in backer funding to date.

Many devoted fans of Star Citizen director Chris Roberts’ previous work with the Wing Commander series pledged thousands of dollars to help make his latest project become a reality. After years of development, however, Star Citizen remains in a playable but functionally bare alpha state.

Frustrated with Star Citizen‘s lack of development progress, backer Streetroller noticed that Cloud Imperium Games had quietly updated its user terms of service in order to head off refund requests.

“You agree that any unearned portion of your Pledge shall not be refundable until and unless RSI has failed to deliver the relevant pledge items and/or the Game to you within eighteen (18) months after the estimated delivery date,” a previous version of the company’s TOS states.

The statement was later amended to read “You agree that any unearned portion of your Pledge shall not be refundable until and unless RSI has ceased development and failed to deliver the relevant pledge items and/or the Game to you.”

Noting the TOS discrepancy and claiming that Star Citizen “remains unfulfilled and no longer constitutes the product I originally purchased,” Streetroller issued his first request to Cloud Imperium Games for a refund, which was denied. It was only after submitting complaints to multiple local and federal consumer protection agencies that Streetroller received a full refund.

“Put simply, ‘takebacks’ are not compatible with the whole concept of crowdfunding since it is simply not fair to the fundraising backers who join our community every month,” Cloud Imperium Games co-founder Ortwin Freyermuth stated in response.

“Nonetheless, having review complainant’s interactions with our customer service agents, we have determined that it is also in our interest to terminate his participation in our fundraising community. We are therefore agreeing to close complainant’s account permanently and we will issue a refund of his pledge promptly.”

Danny Cowan
Danny’s passion for video games was ignited upon his first encounter with Nintendo’s Duck Hunt, and years later, he still…
The best games you can beat in a day

Games have steadily become larger and larger as the generations go on. Thanks to the most advanced console and PC technology, developers are able to craft massive worlds and stories that would have been impossible in the past. While many of us enjoy sinking our teeth into a meaty 100-hour-long game from time to time, eventually fatigue will set in. That's where games on the other end of the spectrum come in. These games aren't afraid to tell a tight, compact story, or to explore a single gameplay concept, and then call it a day without stretching things out. They are no less impactful or memorable than their massive counterparts, and may even be superior in some player's eyes. Here are a few of the best games you can beat in a single day to cleanse your palate with some more experimental titles.

Minit

Read more
The best video games of 2024 so far
Cait Sith dances in Final Fantasy VII Rebirth.

After a 2023 packed with generation-defining games, it felt like 2024 might be more of a comedown. There weren't a lot of big new releases scheduled to drop outside of a busy first few months, and heavy hitters like Grand Theft Auto 6 aren't arriving until 2025. Traditional wisdom would have you thinking that gamers were in for a very slow year with few highlights.

Now halfway through the year, that couldn't be further from the truth.

Read more
The Division 3: release date speculation, news, and rumors
division 2 e3 2018 raids dlc the

For many fans of looter-shooters, it's hard to find a series quite as compelling as The Division. With two successful games in the franchise already under its belt, Ubisoft is clearly aware that it's a meaningful part of its ever-expanding catalog, so it's unsurprising that it's hard at work on a third entry. With the advent of newer hardware and a heap of lessons learned from the first two games, The Division 3 is all but certain to land with a bang and further cement the franchise as one of Ubisoft's most beloved.

We know The Division 3 is in development at Massive Entertainment with Julian Gerighty as the executive producer. Beyond that, though, not much has been shared about what to expect from the game yet. Even so, here's everything we know about The Division 3.
Release date
The Division 3 does not currently have a release date. And since the game hasn't even received any trailer yet, it's safe to assume we probably won't see it until at least 2025 — though stranger things have happened.

Read more