Atlantic Club Casino Counters Online Poker Company’s Appeal against Court Decision
Owners of Atlantic Club casino are fending off the attempt of Rational Group to revive the purchase agreement that the former terminated. The termination led to a court battle in which the judge upheld the casino owners’ action and the release of AC casino from the acquisition deal.
Lawyers of Colony Capital LLC submitted a brief to dispute Rational’s allegation that the presiding NJ judge, ruled erroneously by partly basing his decision on the “April 26 deadline” contained in the agreement. The brief further explained that the deadline was set to give Rational Group and its online poker website PokerStars a specific timeframe, in which to secure the New Jersey gaming regulators’ approval to acquire the property. The setting of the deadline gave both parties the right to terminate the purchase agreement, in the event that Rational Group fails to secure within the allotted time, the NJ regulators’ preliminary approval of ownership.
Actually, Rational Group agreed to conditions that later proved unfavorable for them in December 2012, when there was still uncertainty if Internet-based gambling would become legal in the State of New Jersey. In fact, the presiding judge who ruled in favor of Colony Capital LLC noted that the $11 million advance payment did not come with a condition that required the AC casino owners to return the money, in case any of the parties involved terminates the contract.
Colony Capital LLC’s brief further contends that experienced lawyers represented both parties during the signing of the agreement, and that all signatories entered into the agreement with their “eyes wide open”.