- Colossus Bets has files a patent infringement lawsuit against DraftKings.
- Seven patents related to cashing out of gaming apps are owned by Colossus Bets.
- DraftKings has been tied up in patent infringement lawsuits before.
LAS VEGAS – DraftKings is once again on the receiving end of a controversy, as Colossus Bets files lawsuit on accusation of patent infringement.
Colossus Bets currently holds seven different US patents regarding a ‘cashout’ product, in reference to the “full or partial buy-out offer made at any time prior to completion of a wagering event”.
According to a statement issued from Colossus Bets, they claim to have notified DraftKings of their patents in 2018, warning them of potential infringements.
“We attempted to resolve this amicably and we gave them ample opportunity to do so,” said Bernard Marantelli, Founder of Colossus Bets and inventor of the patents-in-suit stated.
It would seem that Colossus Bets thinks that their patents entitle them to exclusivity over gaming products utilizing a cash-out option.
“We take our intellectual property very seriously. This is the next step towards protecting our rights and income across the industry in the US,” said Marantelli.
This is not the first time that DraftKings has been accused of infringement, or even had a lawsuit filed against them for the same reason.
In July, a company called Winview -a subsidiary of Engine Media- sued DraftKings for taking two pieces of technology used for live betting.
Other patent-related disputes facing DraftKings are also occurring from Interactive Games, and Arrow Gaming.
The sports media giant manages to remain under fire from other players in the legal sports betting industry, but time will tell how these lawsuits affect the company’s bottom line.
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