TimeGate Studios, Inc. filed a lawsuit Sunday against Paramount Digital Entertainment and the Paramount Pictures Corporation, claiming that Paramount infringed on the title trademark of their upcoming game Section 8™.

According to TeamXbox.com, TimeGate revealed in the lawsuit that both companies had meetings regarding “potential business ventures” and to discuss TimeGate’s Section 8™ game. After a couple of meetings and showcase demos of the game, TimeGate received a voicemail from the assistant of Paramount’s Vice President of Interactive Development stating that a meeting for later that day was canceled without explanation and with no follow-up communication thereafter.

TimeGate also explained that three days after Paramount’s executives canceled their meeting to see and play TimeGate’s Section 8, Paramount Digital Entertainment announced via a press release that it had partnered with a foreign entity for its latest project, also titled “Section 8.”

Paramount had plans to release an interactive web series called Section 8 in which the audience engages specific characters and participates in plot development, and TimeGate is alleging that “essentially, Paramount’s Section 8 is nothing more than an interactive game.”

This latest effort by TimeGate to protect the name of its upcoming project comes almost exactly one year after a lawsuit was settled with ABC Studios and the Walt Disney Company over their intention to run a sci-fi drama titled “Section 8” tentatively scheduled for the 2009 TV season. As part of the condition of the settlement, the Walt Disney Company informed TimeGate that they will not be using the name for the show.

TimeGate Studios, Inc. v. Paramount Digital Entertainment, et al, was filed Sunday, April 5, 2009 with the Trademark office of the Texas Southern District Court under case number 4:2009cv01011.

TimeGate has been working on Section 8™ since 2005 and is expected to ship sometime later this year.