The counter-suit alleges that Genius' actions are a "textbook case of unlawful and unsavory business practices", and that the game has been delayed a number of times thanks to Genius, not 7 Studios.
Genius are accused of being too slow to provide licensed music for the game, of not obtaining publishing approval (the suit even says that the game still isn't cleared for launch on PS3 yet), and that the game's custom turntable peripherals arrived so late that it delayed production by "several months".
Seems an awful big fuss for a game that wasn't really on many people's radars. Still, who doesn't love a good soap opera! Especially when it involves Activision lurking around in the background.
7 Studios counter-sues, says Genius committed the fraud [The Cut Scene]