
"SouthPeak has failed to comply with its payment obligations even for game units which it previously reported to Paradox, and SouthPeak's executives have informed Paradox's executives that SouthPeak is currently financially unable to satisfy its payment obligations to Paradox under the Agreement," the legal filing reads.
After Paradox terminated its distribution agreement with SouthPeak last month, according to Gamasutra's summary, SouthPeak "threatened" to request that unsold inventory be returned by retailers -- and it's this action that Paradox is trying to prevent with its injunction. In addition, it is seeking a receiver to collect the money it claims SouthPeak owes.

