In March 2010, mere months after the record-breaking release of Infinity Ward's Call of Duty: Modern Warfare 2, publisher Activision Blizzard summarily fired the studio's President, Jason West, and its Chief Creative Officer, Vince Zampella. West and Zampella went on to sue the publisher, alleging wrongful termination; Activision countersued, claiming the developers breached their contracts (among other alleged misdeeds).
Now, more than two years later, the LA Times reports that Activision Blizzard has settled out of court with West and Zampella just one day before the case was set to go to trial. As the paper points out, the settlement also resolves another lawsuit filed by 40 former Activsion developers, who claimed the company "deprived them of hundreds of millions of dollars in bonus payments and royalties."
The settlement terms are being kept under wraps... at least verbally. The LA Times writes that West "was seen smiling broadly as he left the courtroom." Considering Modern Warfare 2 was dubbed the biggest entertainment launch ever, and its sales reached $1 billion within two months of the launch, I can take a guess as to why.