Take-Two agrees to settlement talks in video game case

NEW YORK (Reuters) - Take-Two Interactive Software Inc. (TTWO.O) has agreed to enter into settlement talks in a lawsuit accusing it of selling "Grand Theft Auto" video games containing sexually explicit images under the wrong content label, according to a court document made public on Wednesday.

A U.S. federal magistrate judge in Manhattan, in an order signed on Tuesday, stayed the proceedings in the case to allow for settlement discussions to proceed. The judge has asked for a status report by March 12, according to the document.

In a letter to the judge, dated February 16, Take Two's lawyer said the parties had "agreed to engage in settlement discussions with the hope of amicably resolving this matter."