Last year, CDC Games (China) and Mgame (Korea) got into a heated legal battle over the status of Yulgang in Mainland China: CDC sued Mgame for breach of contract, and Mgame said they dropped CDC since they weren't paying per the terms of that same contract. But, just as was predicted last November, the two companies have kissed and made up:

CDC Games said Wednesday it has settled all legal disputes with South Korean online gaming company Mgame Corp. over their differences regarding the operation of the online game "Yulgang."

Under the agreement, CDC Games, a unit of Hong Kong-based software and online gaming company CDC Corp., will have exclusive distribution rights to "Yulgang" in China until March 2010, with an option for a one-year extension. The companies also agreed to work together to launch "Yulgang 2.0" as quickly as possible.

If I were a Korean company, I'd think really hard before entering into any sort of contractual agreement with a Mainland company, giant potential market be damned.

CDC Games, Mgame Settle Legal Disputes [AP]

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