Rival Gaming Cease Casino Operations in Canada

Submitted by Editor on Wed, 01/28/2009 - 16:08

Canadian gamers who favour Rival Gaming's chic online casinos, including one of our featured casinos, Cocoa Casino, will be disheartened to learn that Rival Gaming are ceasing business in Canada. From February 1st 2009, Canadian gamers will be unable to register any new accounts at Rival powered online casinos and on February the 28th, at midnight, all Canadian accounts will be suspended. Canadian gamers are being urged by Rival to cash out all of their balance in February, as from the 28th they will be unable to log in again and all funds will be lost.

The news of Rival Gaming's Canadian demise has come as a shock to the gaming industry, which is still reeling after 2006's UIGEA. It's believed that Rival are ceasing operations as they are being sued by Montreal-based marketing company T2 Marketing, to the tune of $464,000(CAN).

T2 Marketing have alleged that Rival Gaming were unclear about their relationship to Gaming Solutions, the company T2 Marketing were working with, that Rival Gaming have damaged T2's reputation and that their marketing agreement was breached by the gambling company. The compensation T2 Marketing are hoping for has been broken down into the following:

$57,175.72;(CAN)
$50,000(CAN) for damage to plaintiff's reputation;
$244,040(USD) in respect of monthly retainers due in terms of the allegedly breached agreement;
$50,000(CAN) for moral and punitive damages "as a reslt of defendants' bad faith;"
Legal costs.

T2 Marketing have filed the lawsuit against both Rival and four individuals who are closely related to the company. One of the defendants, Patrick Stacey, CEO of Black Chip, a company under the umbrella of Gaming Solutions but closely related to Rival has suggested that "the plaintiff's claims are without merit and I will vigorously defend myself."
While it's uncertain how the court case will turn out, we advise all Canadian Rival gamers to cash out as soon as possible.