Scientific Games to pay $151.5m settlement in anti-trust case
Operator agrees substantial reduction from prior $315m settlement
Scientific Games has agreed a $151.5m settlement with four companies after it lost an anti-trust lawsuit earlier this year.
Three companies, Shuffle Tech, Aces Up Gaming and Poydras-Talrick Holdings launched a lawsuit against the provider over the use of card-shuffler technology developed by Shuffle Tech in 2012.
This technology was later allegedly used by Scientific Games in violation of Shuffle Tech’s patent.
In August, the Illinois Northern Court ruled in favour of the plaintiffs, awarding them a total of $105m, which was later tripled by the court under US anti-trust laws to $315m.
However Sci Games announced yesterday it had reached a settlement for $151.5m rather than drag the matter through court appeals.
James Sottile, chief legal officer for Scientific Games asserted the prior decision of the court was incorrect but said the company was “pleased with outcome of the settlement and that this matter will be resolved for good.”
While Scientific Games has not admitted any liability for its actions, the settlement ends any litigation between the operator and the three companies, subject to a court order being received dismissing the earlier Illinois judgement.
Carlo Santarelli, an analyst at Deutsche Bank Securities Inc, said in a note: “We understand the litigation and appeals processes could have continued into late 2020, thus Scientific Games preferred to settle so that management could focus on operating the business going forward.”