http://kotaku.com/5253800/factor-5-officially-shuttered
There were layoffs and rumors of studio closings, but now it's finally confirmed. According to the company website, the San Rafael-based Factor 5 studio has officially closed its doors.
Rumors of the Lair developers closure surfaced in December of last year, following rumors that half of the staff had been let go. The rumors pointed towards the cancellation of their Superman project due to the failure of Brash Entertainment as a major factor in the layoffs and closing, which is backed up by the official statement appearing on the Factor 5 website today.