PokerStars Settles Kentucky Lawsuit for $300m

It’s been a long and winding road, but it finally seems that the case between PokerStars and Kentucky is finally over. Parent company of the online poker giant, Flutter, announced this week that a settlement had been reached in the case. In total, $300 million will be paid to the state.

Closing a Long-Running Case

Flutter agreed to pay the state $200 million, an amount that will be added to the $100 million it was forced to pay in April in connection with the case. With the payment, Kentucky officials have agreed to drop any additional action against the brand.

The payment is the final action that will take place in a long-running legal fight involving the poker room and the state. Last year, we thought the case would come to an end, after the Kentucky Supreme Court ruled that PokerStars should pay $1.3 billion to the state.

The lawsuit was first filed back in 2010 for $290 million. The amount of the lawsuit continued to change over the years as the battle continued. Kentucky argues in the filing that from 2007 to 2010, PokerStars offered online poker gaming illegally in the state. A total of 34,000 residents in the state were able to deposit funds and lost around $300 million.

Early on, a judge ruled in favor of Kentucky, but of course, PokerStars continued to appeal the matter. Flutter acquired The Stars Group in 2020, which gave them control of the PokerStars brand. Once Flutter took a look at the case involving the poker room, they felt the amount being asked for was way to high.

Flutter decided to appeal within the United States Supreme Court, but also continue negotiations with the state. Eventually, both sides were able to agree which will see the $300 million payment made. This is basically the original amount that the state sought, without adding any damages or interest to the total.

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