LAWSUITS NEWS & LEGAL INFORMATION
Unlicensed Wagering
Fremont, VA: (Mar-04-08) A group of plaintiffs associated with Virginia racing, including Colonial Downs and the Virginia Horsemen's Benevolent Protective Association, brought a federal lawsuit against Youbet.com. Plaintiffs allege that the company had operated illegally without a license in the commonwealth. The plaintiffs sought hundreds of thousands of dollars in lost source-market fees in compensation, among other damages.
In a US Securities and Exchange Commission filing, the company stated that it had resolved the lawsuit and a settlement had been reached in which it would pay $150,000, ending all claims. Additionally, the settlement agreement includes a promise from the company that it would "refresh" its application for a Virginia license.
Peter Burnett, chairman of the Virginia Racing Commission, which later intervened in the lawsuit, said that the settlement also included an agreement from Youbet that it would pay an estimated source-market fee of approximately 7.84%, which was based on previous handle figures compiled by the company in the state. In court filings, Colonial Downs in previous negotiations prior to the lawsuit had sought an 11% rate, while Youbet had countered with a 3% rate. [BLOODHORSE: YOUBET SETTLES LAWSUIT]
Published on Mar-5-08
In a US Securities and Exchange Commission filing, the company stated that it had resolved the lawsuit and a settlement had been reached in which it would pay $150,000, ending all claims. Additionally, the settlement agreement includes a promise from the company that it would "refresh" its application for a Virginia license.
Peter Burnett, chairman of the Virginia Racing Commission, which later intervened in the lawsuit, said that the settlement also included an agreement from Youbet that it would pay an estimated source-market fee of approximately 7.84%, which was based on previous handle figures compiled by the company in the state. In court filings, Colonial Downs in previous negotiations prior to the lawsuit had sought an 11% rate, while Youbet had countered with a 3% rate. [
Legal Help
If you have a similar problem and would like to be contacted by a lawyer at no cost or obligation, please click the link below.Published on Mar-5-08
