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Playtech Sued For Patent Infringement


Published: Saturday, March 18, 2006 Online-Casinos.com

PLAYTECH, EMPIRE AND OTHERS SUED FOR PATENT INFRINGEMENT

Austrian plaintiff alleges that over-the-Internet gambling system has been misused

Turnkey online casino software provider Playtech and three other foreign companies this week faced patent litigation from an Austrian company on what appeared to be a claim involving live-over-the-internet gambling systems, although full details are still emerging.

The Israeli business press reported that the Austrian company Lubar and its CEO, Yaakov Rafaeli of Rishon LeZion, have filed a lawsuit with the Tel Aviv District Court against Playtech Cyprus Ltd. for patent infringement relating to its "....system and method for remote online gambling at actual casinos."

Lubar has named three other defendants, all foreign companies operating online gambling sites, including Empire Online Ltd., controlled by CEO Noam Lanir.

The claim is unfortunate timing for Playtech, which is currently on the run-up to a London listing believed to be scheduled for the end of this (March) month and its majority shareholder, Israeli entrepeneur Teddy Sagi.

According to papers filed by the claimant, before the development of the Lubar system and method of online gambling at actual casinos, gambling was carried out at virtual gambling sites, with the results calculated by the website’s computers. The claimant says its invention was the first to make possible online gambling at an actual casino, where the operator was a real person, and where the results of the game were determined by where the roulette ball fell.

Although this has yet to confirmed, from this description the patent sounds like a "live over the Internet" videostreaming technology similar to that used by Casino Web Cam and the subject of heated legal clashes in the past.

The claimants allege that they have parallel patents in the US and Australia, that they were applying for patents in European and other countries, and intend to enforce their patent rights worldwide.

No statement of defense from any of the accused companies has yet been filed.



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