Lawsuits between Dungeons & Dragons publisher Wizards of the Coast and a newly formed TSR are on hold as of June 12. That’s because TSR has applied chapter 7 bankruptcy — that is the liquidation of the company’s property. Such a filing triggers an automatic “stay,” which is a pause in any other legal proceeding involving the company. Nevertheless, TSR’s website remains online and the company appears to be accepting orders for its products. Polygon has contacted TSR’s bankruptcy attorney for comment.
TSR was founded in 1973 by Gary Gygax and Don Kaye. The company was purchased by Wizards of the Coast in 1997. The newly formulated TSR is owned by upstart game publisher Justin LaNasa, a native of North Carolina. He is best known for a chain of tattoo parlors – as well as a failed political campaign complicated by reports that he once asked several female employees to wrestle in a tub filled with hot grits.
The new TSR initially filed a lawsuit against Wizards of the Coast in December 2021, alleging that Wizards relinquished multiple trademarks and copyrights related to the purchase of TSR. Wizards is personally suing TSR and LaNasa for trademark infringement, cybersquatting and more.
In September, Wizards made the unusual request to a judge to prevent TSR from publishing a role-playing game that it said was not only based on disputed trademarks, but also filled with “patently racist and transphobic” content.
Documents filed in North Carolina paint a grim picture for TSR. They show gross sales for the first 23 weeks of the year of just $621.93. Total liabilities — including money owed to LaNasa itself, as well as one of its other companies, plus legal fees — total $384,941.99.
A trial date for both lawsuits was previously set for October, but a judge in the U.S. District Court in Seattle postponed it to March 2024. It is unclear whether that date will be moved again when bankruptcy proceedings are completed and the automatic stay is lifted.