This just in: Too Human developer Silicon Knights has filed a lawsuit against Epic Games, the creators of the Unreal Engine 3 and Gears of War.

According to the complaint, Epic failed to provide Silicon Knights a working game engine, and in turn has caused the company to experience considerable losses and develop their own in-house game engine.

Silicon Knights also claims Epic has never intended to deliver Unreal Engine 3 as a fully functional game engine as promised, and has instead collected licensing fees from Silicon Knights and others in order to fund the development of its own titles.

Full press release after the jump.

Read more: Silicon Knights’ In-House Game Engine “Fantastic,” Says Dyack, SEGA Extends Unreal Engine 3 License, Capcom Licenses Unreal Engine 3 For Mystery European Title, Epic Games Gets Steamed, 2K Games Licenses Unreal Engine 3 For Upcoming Titles