Home / Poker News May 2013 / PokerStars Sues Atlantic Club Casino
PokerStars Sues Atlantic Club Casino
Posted by: James Carter. - Wed, 2013-05-08 03:45
Well, this one was expected…after news broke last week that the Atlantic Club Casino has served a notice of termination to Rational Group - the company behind
PokerStars – quite probably as a result of pressure exerted by interests opposed to PokerStars’ presence in New Jersey, it was obvious that the world’s largest
online poker operator would seek to retaliate in some manner.
The above said letter of termination was delivered to the Rational Group on April 27, informing the company that it had missed the deadline to acquire the live gambling establishment as the parties had agreed before. The Rational Group however hadn’t missed the deadline on its own accord: New Jersey authorities decided to postpone the granting of a provisional license to the operator until around August.
Rational Group’s counter-move was to file a lawsuit against Resorts International Holdings, Michael Frawley, RIH Propco, Eric Matejevich and the Irwin Apartment Trust alleging that the above said entities acted in bad faith and requesting a temporary restraining order.
The agreement between Rational Group and the Atlantic Club was struck in January, and it tied the transaction to Rational Group’s acquiring of a casino license, decision on which was expected for April 24. Since the Division of Gaming Enforcement couldn’t deliver its approval by the original deadline, Rational Group argues that it should be extended, without breaking the original agreement. Furthermore, Rational Group alleges that the corporate and private entities behind the Atlantic Club had been aware of the Division of Gaming Enforcement’s inability to deliver a timely decision in the matter, before the agreement was signed.
Through the requested restraining order Rational Group is effectively seeking to prevent the Atlantic Club from being sold to anyone else, among other things like having the termination notice declared void.
