We've been following the Silicon Knights vs Epic court case with a keen eye, and overnight a verdict was thrown down that saw in favour of the latter, whose counter claims to Silicon Knights' means the Canada-based studio will now have to pay some $4.45 million in damages.

Epic's VP, Mark Rein even Tweeted the verdict, writing "Case over. Jury finds for Epic on all counts".

The counter claims included a breach of the license agreement between the two companies, a misappropriation of trade secrets and copyright infringements on the Unreal Engine 3 code.

The finding is a massive blow to Silicon Knights who appear to have been struggling ever since they parted ways with Nintendo back in 2004. Their most recent title for Activision, X-Men: Destiny was an absolute flop while their most popular title since the GameCube release of Eternal Darkness, Too Human, was also a poor performer both critically and commercially.

They've been hinting at returning to a franchise fans have been asking for, for a while, on future consoles which is leaving many to believe Eternal Darkness may rise from the dead to appear on Nintendo's new Wii U, but in the wake of the courtroom verdict, there's no telling what the future will hold for Silicon Knights.