Amaya to âvigorously disputeâ Kentucky lawsuit
Lawsuit claims PokerStars should return losses to Kentucky residents incurred between 2006 and 2011
Amaya will âvigorously disputeâ a long-running legal case in Kentucky which is demanding the firm returns losses incurred by players in the state between 2006 and 2011 when it continued operating despite the enactment of the Unlawful Internet Gaming Enforcement Act (UIGEA). [private]
The Commonwealth of Kentucky filed a case against PokerStars back in 2010 and has sought returns as high as US$290m despite Amaya stating that PokerStars generated revenues of just $18m from players in Kentucky during the five-year period.
The Canadian gaming giant, which acquired PokerStars and Full Tilt parent company the Rational Group in 2014, called the action âfrivolousâ and âwithout meritâ and said it was based on an âantiquatedâ 18th century law.
A trial court has since indicated that the amount Kentucky is seeking is incorrect but has yet to enter a final order awarding damages. Amaya said any final order would be subject to appeal, and that it will âvigorously disputeâ any liability ordered by the court.
Amaya said it believed there are a number of âcompelling legal argumentsâ to support its defence, including the lack of standing to bring the proceeding in the name of the Commonwealth, and the courtâs failure to properly apply the law.
If Amaya is unsuccessful in its defence of the case and is obligated to pay any amounts to the state, the firm said it intends to seek recovery against the former owners of the PokerStars business.
The Poker Players Alliance recently waded in on the case, filing a suit of its own to ensure that in the case PokerStars is forced to pay the state, the funds are returned to players.
Kentucky has filed suits against more than 140 online poker operators including bwin.party, which reached a $15m settlement with the state in July 2013.