Sunday, September 25, 2022

Judge grants motion to dismiss in Sightline v Everi dispute

A judge has ruled to dismiss payments supplier Sightline Payments’ legal case against casino supplier Everi Holdings.

Sightline brought claims against four Everi entities on 30 September 2021, in a dispute regarding alleged infringements of Sightline patents.

There has been a significant increase in cashless gambling across US casinos, which can be attributed in part to the Covid-19 pandemic and resultant attempts to reduce contact and disease transmission.

Both Sightline and Everi moved to stake a claim in this emerging market, providing technology solutions for casino guests to gamble without using physical cash.

As such, Sightline has taken out a number of patents for its cashless gaming systems. However, in the 2021 claims filed against Everi, Sightline alleged that Everi’s CashClub Wallet system directly infringed on at least five of Sightline’s patents.

In an update on 1 June 2022, Judge Albright granted a motion to dismiss three of the claims against Everi, citing the use of an improper venue under Rule 12(b)(3).

Claims for patent infringement must be brought in the judicial district where the defendant resides or has an established business.

Sightline filed the suit in Texas, despite the fact both companies are based in Las Vegas and that the product in question is not made, used or sold in Texas.

Finally, Judge Albright has now granted a Motion to Dismiss the fourth case against Everi, under Rule 12(b)(6) for failure to state a claim.

The Judge found that Sightline had failed to allege the fourth Everi entity had any connection to the product in question, and as such Sightline had “failed to state a claim upon which relief could be granted.”

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