In a Nevada lawsuit filed last week against publisher Take-Two interactive, former executive Robert Alexander is suing the gaming giant for $50 million.

The lawsuit is the result of what Alexander claims is a breach of an oral contract. Alexander’s time with the company is long-standing, having been with T2 in some shape and form since 2004. After leaving the company, he formed another distributing company which began to partner with T2.

Unfortunately, T2 founder Ryan Brant’s faux pas with the Securities Exchange Commission dealt him a blow that saw him leaving the company, and eventually the next T2 CEO, Paul Eibeler nullified the verbal contract Brant had made with Alexander.

Ergo: he’s fucked.

Alexander claims in his complaint that Brant had promised him a raft of annual raises, T2 shares and stock options, a $240,000 annual salary and a $25,000 per-month expense allowance.

$25,000 a month on martini lunches and playing real-time Mario Kart at Pebble Beach – right. But then again, what reason would he have to lie? He’s only asking for $50 million dollars.

Back in mid August, we reported that Take-Two had opened its boardroom doors to EA with the intent to jointly evaluate “strategic” *cough*buyout*cough* options.

It appears now that those talks have concluded and that the two sides could not see eye to eye — or more importantly, wallet to wallet.

Hit the jump for the full press release and some optimistic “the glass is half full” quotes from Take-Two execs.

Take-Two Interactive Software, Inc. Announces Conclusion of Strategic Review Process

New York, NY – October 2, 2008 – Take-Two Interactive Software, Inc. (NASDAQ:TTWO) announced today that it has completed its review of strategic alternatives for the Company.

Following detailed discussions with various interested parties over the last five months, Take-Two’s Board of Directors has determined that it is in the best interests of stockholders to conclude its review of strategic alternatives and to continue operating and building Take-Two as an independent company.

“Take-Two’s Board of Directors and management have a clear mandate from stockholders to maximize value,” said Strauss Zelnick, Chairman of the Board of Take-Two. “We are strongly positioned creatively, financially and competitively to benefit from the opportunities we see in the fastest growing segment of the entertainment industry. Our management and outstanding and talented employees have maintained an unwavering focus on our products and our business through this lengthy strategic review process and we are confident in our prospects. We remain focused on maximizing value for stockholders and are executing on our business strategies in a determined manner.”

Ben Feder, Chief Executive Officer of Take-Two added, “Take-Two’s recent performance demonstrates our potential to create value for the long term. We have delivered solid financial results and expanded our portfolio of leading titles, which includes the powerful Grand Theft Auto franchise, as well as 15 other wholly owned brands with sales of more than one million units each. Our strong cash position – with no debt and an undrawn $140 million credit facility – gives us the financial flexibility to continue to do what we do best: innovate and create the great games that our customers have come to expect.”