The former leadership of Subnautica 2 studio, Unknown Worlds, has announced the filing of a breach of contract lawsuit against Krafton as controversy continues.

Krafton have accused the game's ousted leads of abandoning their duties on Subnautica 2, and co-founder Charlie Cleveland says a lawsuit's been filed.

Since the report, Krafton has released a testy statement on the Subnautica 2 ordeal. “We are deeply disappointed by the former leadership’s conduct, and above all, we feel a profound sense of betrayal by their failure to honor the trust placed in them by our fans,” a Krafton representative told Polygon.

The game's developers were reportedly in line for a $250 million bonus if they had met certain revenue goals this year.

Krafton accuses former Unknown Worlds leadership of abandoning Subnautica 2, escalating a bitter dispute over bonuses, delays, and trust.

"Suing a multi-billion dollar company in a painful, public and possibly protracted way was certainly not on my bucket list."

Subnautica 2 maker Unknown Worlds was set for a massive $250 million payout this year if it hit certain revenue targets, Bloomberg reported yesterday. But a fresh delay of one of the most wish-listed games on Steam makes that almost impossible.