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News Archive
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Empire Online sues Partygaming
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[2005-12-06]
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Internet poker company Empire Online has begun legal proceedings into former ally Partygaming, following its move to separate itself from its online poker "skins".
Skin sites such as Empire formerly supplied Partygaming's Party Poker site with customers, after attracting users to its own site, and was paid a commission to do so.
However, Partygaming's split from its former partners has caused resentment from the Empire group, who is now seeking damages.
Empire said it was seeking "substantial damages and injunctive relief from Partygaming", as well as holding "confidential arbitration proceedings" with a Partygaming subsidiary.
After Partygaming split away from Empire earlier in the year, the significantly reduced pool of players on the Empire sites hit the firm hard, with profits ten per cent below expectations.
Experts have noted that Partygaming's tactics were to squeeze its former allies and slowly move all their players onto the Party Poker website.
Partygaming said it was "highly confident" of any legal outcome of the move, describing the legal action as the first "pantomime" of the season.
Two takeover attempts by Partygaming for empire have so far fallen through this year.
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