CEO’s $250 Million ChatGPT Mistake Smacked Down in Court
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By Moses Jeanfrancois
Published on March 17, 2026.
A Delaware judge has ruled that gaming publisher Krafton must reinstate one of its three fired CEOs, Ted Gill, Charlie Cleveland, and Max McGuire, after the company used ChatGPT for legal guidance to avoid paying performance bonuses. The decision was part of a legal battle over compensation between the three executives. The court stated that Krafton followed steps generated by ChatGpt, including restricting the studio's ability to release Subnautica 2 on the video game distribution platform Steam, which they described as "newly manufactured justifications" for termination. The ruling does not resolve the former executives' claim for damages or an earnout related to the game.
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