Palladium Announces Collapse of Robotech RPG Tactics Kickstarter

Back in 2013, Palladium Books successfully funded a miniature wargame based on the Robotech Role-Playing Game (originally published by Palladium in the late 1980s and early 1990s, and reprinted up until 1998). They raised over $1.4 million from over 5,000 backers. However, Kevin Sembieda, president of Palladium, announced today that they were not going to be able to provide some of the rewards for the Kickstarter; and, further still, that Palladium's license to produce Robotech gaming material had expired and would not be renewed.

Back in 2013, Palladium Books successfully funded a miniature wargame based on the Robotech Role-Playing Game (originally published by Palladium in the late 1980s and early 1990s, and reprinted up until 1998). They raised over $1.4 million from over 5,000 backers. However, Kevin Sembieda, president of Palladium, announced today that they were not going to be able to provide some of the rewards for the Kickstarter; and, further still, that Palladium's license to produce Robotech gaming material had expired and would not be renewed.

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Robotech is a sci-fi property featuring alien invaders and mecha. Robotech RPG Tactics is, in Palladium's words, "a fast paced strategy battle game that expands on the popular Palladium role playing game. Take command of the brave men and women of the United Earth Defense Force to valiantly defend Earth from annihilation. Or, command the alien armies of the Zentraedi Armada to recover an alien artifact of immense power and enslave humankind. Collect your forces from an expanding range of world class game pieces. Relive the massive battles on your tabletop at home to enhance your Robotech® RPG adventures or as a stand-alone game."

In a lengthy update, Sembieda explained the various woes which have plagued the project.

Originally scheduled for a Fall 2013 release, the company ran into problems when the found out the 3D design files for various game pieces were not compatible with the manufacturer's process.

The second setback came when shipping costs increased (or, as Sembieda explains it, changed from being paid for not just by the weight, but also by the physical side of the package) which added around $200,000 to the project's shipping costs.

Apparently the Kickstarter money was all spent on the "Wave One" rewards; it's the Wave Two rewards which the company is unable to fulfil, the cost of which they estimate as being in the region of half a million dollars.

Palladium is offering Wave One rewards in place of Wave Two rewards, as long as the recipients pay for shipping.

The reactions are as to be expected - backers are angry, and most appear to be rejecting the offer of replacement rewards. There are many demands for refunds, some discussion about lawsuits, and plenty of venting. There's even a Facebook group for people who wish to sue Palladium. What will happen next is anybody's guess, but this isn't the first high profile Kickstarter to fail, and it won't be the last.
 

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Koloth

First Post
IANAL. How legally binding TOS are isn't fully decided, at least in the US. In this case, at least 3 groups are involved. KS itself, Palladium, and the backers. KS has a TOS which both Palladium and the backers assented to to some degree. Palladium probably more as I assume there are more things to agree to to start a project as a Creator then there are as a backer. Now it can get complicated by KS changing the TOS. Do the new terms apply to Palladium and the backers? Or the terms when each clicked? Possible those could be different(one TOS when Palladium created project and a freshly updated TOS when a backer supported). Normal contracts usually have to be agreed to by all parties before they become in effect. Many software and web companies are acting as though they can unilaterally change TOS, EULA etc without the end user having any say. As several have said, if it goes go court, the judge will have to figure it out. Quite possible a judge in one jurisdiction will find one way and one in another will go the other way due to different laws and precedents.

Takeaway - no matter how much we as backers want to think KS is a store, it isn't. It isn't an investment either. It is sort of somewhere in between where the legal system hasn't fully caught up yet.
 

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Yes, backers can contact the AG of Michigan, but unless those backers reside in Michigan that AG won't listen to them. Each backer will be encouraged to contact the AG of whichever state they live in.
Not true. Look up what's going on with Ken Whitman, perhaps the most notorious gaming industry crowdfunding fraudster there is. Out-of-state complaints are being accepted by the AG of the state where Ken lives. IIRC, they are looking at him for possible wire fraud charges.
 

darjr

I crit!
Not true. Look up what's going on with Ken Whitman, perhaps the most notorious gaming industry crowdfunding fraudster there is. Out-of-state complaints are being accepted by the AG of the state where Ken lives. IIRC, they are looking at him for possible wire fraud charges.

That’s great news! I hadn’t heard that.
 


J.L. Duncan

First Post
Not true. Look up what's going on with Ken Whitman, perhaps the most notorious gaming industry crowdfunding fraudster there is. Out-of-state complaints are being accepted by the AG of the state where Ken lives. IIRC, they are looking at him for possible wire fraud charges.

I'll have to look into this... It might vary from state to state. But in my experience it does not.

As far as I'm aware Tenkar is encouraging folks to contact the FTC and FBI. As far as Out-of-state complaints being accepted by the state where Ken Lives by that states AG, I had not heard that and would be surprised to hear it. Got a link?

Either way, I'll look into it myself.
 

J.L. Duncan

First Post
Not true. Look up what's going on with Ken Whitman, perhaps the most notorious gaming industry crowdfunding fraudster there is. Out-of-state complaints are being accepted by the AG of the state where Ken lives. IIRC, they are looking at him for possible wire fraud charges.

Well... Technically we're both wrong.

Edit: Link Tenkar's Blogger

The assistant US attorney is certainly not asking folks to contact the AG of which they reside &...
The assistant US attorney is asking people log complaints with the FTC and FBI, not at the office of the AG... So I wouldn't say they are accepting complaints, but more encouraging people to get in touch with other agencies...

Which though I didn't outright say it, was my larger point... In that State AG offices usually won't field a complaint from residents not within their own state.
 
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Ghal Maraz

Adventurer
Generally speaking, I simply heard that the quality isn't particularly good.

But, regarding the backers? They've already got whatever Wave 1 items they wanted; they certainly don't deserve to pay shipping expenses to get more of the same they didn't even ask for.
 
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stargazera5

Explorer
So what’s so unsuitable about wave 1 for actual play? Are they brittle? To small? All look the same? What?

They were also trying to appeal to those more interested in nostalgia/collecting (like me), they chose to go with very high detail. Unfortunately the type of plastic they chose limited how the parts could be made and resulted in a very high part count per model with parts that aren't necessarily easy to assemble. They're more like miniature models than miniatures. Worse, the quality of the parts was not very good either, so they tended to PO both groups.

I never played, so I can't speak to the ruleset.
 

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