GGRAsia – Macau court dismisses SHFL Entertainment’s appeal

Macau court dismisses SHFL Entertainment’s appeal

Jul 11, 2014 Newsdesk Latest News, Macau, Top of the deck

Macau’s Court of Second Instance (pictured) has dismissed an appeal from SHFL Entertainment (Asia) Ltd, which sought an injunction against Paradise Entertainment Ltd and its subsidiaries’ assertions of monopolistic rights over “multi-gaming” in the Macau market.

SHFL Asia is a unit of U.S.-based SHFL Entertainment Inc, which last year was acquired by gaming supplier Bally Technologies Inc.

The injunction, filed with the city’s Court of First Instance in October 2012, sought to prevent Paradise Entertainment and its subsidiaries from claiming monopoly rights over multi-game electronic table game products in Macau and to restrain them from any unfair competition.

The lawsuit named Paradise Entertainment and its units LT Game Ltd and Natural Noble Ltd as well as Jay Chun, Paradise Entertainment’s chairman and executive director – collectively the holders of two Macau patents for certain gaming equipment.

The lower court dismissed the injunction in November 2013 and now the Court of Second Instance has confirmed that decision, turning down SHFL Asia’s appeal.

In the decision, the judges said it was not proven that Paradise Entertainment or its subsidiaries had claimed monopoly rights over the multi-gaming system in Macau or that they infringed any rights of SHFL Asia.

The injunction is part of a dispute dating back to 2009. Mr Chun, LT Game and Natural Noble claim SHFL’s Rapid Baccarat product infringed their patents. SHFL Asia has requested the invalidation of the grant of the patents I/150 and I/380.

In July 2013, the Court of First Instance acquitted SHFL Asia from any wrongdoing, but said it could not decide with certainty whether the components of the Rapid Baccarat product had functions, technical methods and results identical to the ones patented by its rival.

Mr Chun and related companies have appealed against that decision and the lawsuit “is pending”, Paradise Entertainment said in its annual report. In May, Mr Chun confirmed that the case was still ongoing.