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Poker Shuffler Maker Hit With $315M Verdict In Antitrust Case

Scientific asserted “objectively baseless claims to enforce patents known to be invalid and/or not infringed, all with the intent to directly interfere with and adversely affect the business operations of competitors, and to unlawfully obtain and maintain monopolistic control over the U.S. market for automatic card shufflers designed for casino use,” according to the 2015 complaint. Scientific “fraudulently procured” patents for its card shufflers, per the lawsuit. In a statement, Scientific said that it will challenge the $315 million verdict. “In October 2015, the district court dismissed all of the plaintiffs’ claims with prejudice, except for the claims of violation of antitrust laws related to the fraudulent procurement of patents on card shufflers. A jury trial began on July 16, 2018 and ended on August 7, 2018. On August 7, 2018, the jury returned a verdict for the plaintiffs. The jury awarded plaintiffs $105 million in compensatory damages, which is subject to trebling, as well as attorneys fees and costs. The Company believes the jury reached the wrong result and will seek review of both the finding of liability and the damages award, both before the trial court and, if necessary, on appeal.” SHFL Entertainment (formerly known as Shuffle Master), which became part of Scientific Games in 2014, controls “100%” of the “relevant U.S market” for the devices, the suit said. As of just a handful of years ago, the market for the devices and related services was about $100 million per year, according to the suit. Scientific’s “Deck Mate” automatic shuffler is the device used at the World Series of Poker.

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