According to sources with knowledge of the game's development, Scratch: The Ultimate DJ has a brand new developer, with Bottlerocket Entertainment replacing former developers 7 Studios, who were recently sued by the game's publisher.
With the LA Superior Court ruling this week that all intellectual property and source code be returned immediately to Scratch publisher Genius Products and an injunction against 7 Studios preventing them from discussing game code or trade secrets with Activision or any other third party, it appears that the publisher may be looking for a replacement altogether. Kotaku was told to expect a new release date shortly by a source.
Bottlerocket was most recently pulled off of Namco Bandai's update to Splatterhouse, a project that was allegedly handed to the team responsible for Afro Samurai. That action resulted in alleged layoffs at Bottlerocket, as well as some public back and forth between Namco Bandai executives and the developer.
The ex-Splatterhouse developer was also apparently working on a game based on DC Comics' The Flash with the defunct Brash Entertainment.
Representatives for Genius Products would not confirm the change in developers, only mentioning that we'll hear more about Scratch: The Ultimate DJ in the coming weeks. E-mails and phone calls to Bottlerocket Entertainment went unanswered.