Steven Sharif, creator of the MMORPG Ashes of Creation, has secured a temporary restraining order against Intrepid Studios' board of directors. He filed a lawsuit accusing the board, led by Rob Dawson, of breaches of fiduciary duty and attempts to unlawfully seize company assets, including the game's intellectual property. The San Diego court granted the order to prevent access to trade secrets amid the company's recent shutdown and mass layoffs.
Steven Sharif resigned from Intrepid Studios on January 19 in protest against board decisions, particularly plans to fire employees without legally entitled pay. Following his departure, the board proceeded with mass layoffs, leading most of the game's leadership team to leave or be let go. A planned livestream in mid-February did not occur.
In a statement posted on the Ashes of Creation Discord on March 6, Sharif detailed his federal lawsuit filed last month in San Diego court against the board, led by Chair Rob Dawson, and affiliated entity TFE Games Holdings LLC. He alleged breaches of fiduciary duty, violations of federal and state trade secret laws, and wrongful efforts to seize assets through an unlawful insider foreclosure. Sharif claimed the board sought to dismantle the company he founded, repurpose Ashes of Creation for personal enrichment, and shift blame for the collapse onto him via a public campaign.
"Last month, I filed a lawsuit in federal court in San Diego on behalf of Intrepid Studios' shareholders against Intrepid's Board of Directors," Sharif wrote. He stated that since 2024, the board had attempted to shut down Intrepid and transfer Ashes of Creation to TFE Games, excluding shareholders, lenders, employees, and the community.
The court issued a temporary restraining order in Sharif's favor, prohibiting Dawson and associates from accessing, using, selling, or distributing Intrepid's trade secrets. The ruling noted that "the balance of hardships tips sharply toward [Sharif]" due to harm from the likely unlawful foreclosure and potential sale of assets to TFE.
Sharif emphasized the severe damage from the board's actions: the company, built over a decade with $3.2 million from nearly 20,000 backers in 2017, was abruptly shut down, employees terminated without pay or benefits, and years of work thrown into uncertainty. He highlighted the game's achievements, including £6.7 million ($9 million) in gross sales, roughly 300,000 monthly active players, 400,000 on the wishlist, millions of registered accounts, and a 76 percent peak concurrent user retention rate on day 30.
"I categorically deny accusations suggesting that I mismanaged company funds, caused the company’s shutdown, or engaged in any misconduct," Sharif added. He insisted much of the capital came through his personal guarantees and collateralized assets. Sharif anticipates that litigation will reveal internal communications and records supporting his claims, concluding that Ashes of Creation represents ten years of work by hundreds of developers and community support.
