Sportingbet has confirmed with IGamingNews that the conditions of its split with a former marketing partner in Spain are being challenged by that partner at the London Court of International Arbitration.
In an e-mailed statement Tuesday, Miguel A. Gallardo, whose firm, Gallardo Abogados, is representing the plaintiff, accused Sportingbet of "breaking, singlehandedly, all of the binding agreements regarding a joint business development."
On Sportingbet's full-yearly results in October, the company said it had paid £4.7 million to terminate the contract with its partner, who had operated and managed MiApuesta.com since 2003.
Sportingbet said then that bringing MiApuesta in-house would give it greater operational and strategic control over its largest market, Spain. Its decision to exit that contract followed other, similar decisions to cut ties with partners in Scandinavia and Turkey.
Mr. Gallardo said his client -- who he did not identify -- is seeking to recover economic losses that resulted from the contract's dissolution, and is considering whether to sue, additionally, for damages.
"Like many companies, Sportingbet is periodically involved in legal disputes," a spokesman for Sportingbet told IGamingNews Tuesday. "This is one such dispute. Sportingbet has confidence in its position and the advice it has received, and will therefore defend its position rigorously."
Sportingbet declined further comment. More on this story as it develops.
Chris Krafcik is the editor of IGamingNews. He lives in St. Louis, Mo.