【Bet-at-home Investor】PlayUp and market access partner settle revenue

PlayUp has reached a settlement in the legal battle with the Standardbred Breeders and Owners Association of New Jersey (SBOANJ) and FR Park Racing, bringing an end to a lawsuit centred on sports wagering revenues and the future of the Freehold Raceway racetrack.

The settlement, recorded by the US District Court for the District of New Jersey on Monday (11 March), marks the conclusion of months of litigation over contract breaches and financial disputes.

The lawsuit, filed by SBOANJ, accused PlayUp and FR Park Racing of failing to uphold revenue-sharing agreements and attempting to move the Australian online betting business’ market access to a casino partner to sidestep financial commitments to the horsemen’s association.

It follows PlayUp suspending its operation in Garden State in July 2023 after the New Jersey Division of Gaming Enforcement was unable to obtain financial information from the company on request.

The complaint also alleged that FR Park Racing neglected its obligations to maintain Freehold Raceway and attempted to shut down the historic track prematurely, depriving the racing community of a vital venue.

PlayUp had filed a motion to dismiss the case, arguing that SBOANJ was not an intended third-party beneficiary of its agreement with FR Park Racing and was therefore not entitled to claim damages.

However, the dispute over sports wagering revenues became a key issue in the case, as SBOANJ sought to ensure continued financial support for the state’s standardbred racing industry.

Complicating matters further, FR Park Racing announced in September 2024 that it intended to close Freehold Raceway by 28 December 2024, six months before the expiration of its Operations Agreement.

SBOANJ argued that this move was designed to undermine the industry and evade contractual obligations, prompting additional legal action.

Despite the contentious proceedings, all parties have now reached a resolution.

While the specific terms of the settlement remain undisclosed, the court has administratively terminated the case, granting a 60-day window for finalisation before it is dismissed with prejudice.

If the settlement is not fully executed within that period, either party may request to reopen the case.