Activision is facing a legal challenge over its forthcoming DJ Hero game, with competitor Genius Products and DJ equipment manufacturer Numark filing a lawsuit claiming that the publisher is guilty of 'game espionage'.

According to the lawsuit, Activision "conspired" to withhold Genius' game Scratch: Ultimate DJ and planned to "sabotage the release of our much anticipated game and prevent it from getting to market prior to the release of DJ Hero."

Competing DJ games

Genius received inquiries about the acquisition of Scratch from Activision early in 2009, but the publishers offer was rejected back in March.

Genius claims Activision "improperly used confidential information obtained from Genius and 7 Studios to interfere with our efforts to complete the game."

The crux of Genius' argument is that Activision "is intentionally attempting to delay 7 Studios' delivery of Scratch so DJ Hero can ship ahead of its rival," reports Gamebizblog.

Via Gamebizblog