COULD G.V.C VS. 37 ENTERTAINMENT LITIGATION ESCALATE INTO A CLASS ACTION? (Update)
Canadian legal firm is considering class action potential due to alleged breach of customer privacy at Sportingbet.
Online gambling group GVC Holdings CEO Kenny Alexander may have to do more than simply dismiss allegations that his subsidiary Sportingbet reneged on a deal with Canadian marketing firm 37 Entertainment if a Canadian law company is successful in assembling a class action suit.
The UK newspaper The Telegraph reported Monday that the law firm Findlay McCarthy is investigating the possibility that in pursuing an agreement with 37 Entertainment the privacy of Sportingbet punters may have been violated, providing grounds for a class action that could involve as many as 20,000 people.
InfoPowa readers will recall that Sportingbet, a GVC subsidiary, has for some time been embroiled in an acrimonious dispute over an alleged online gambling marketing contract in Canada between the UK company and former Canadian ice hockey star Doug Honeggers 37 Entertainment firm.
Alexander has been steadfast in denying that there was any formal agreement and has repeatedly dismissed the Honeggar claims.
The possibility of a Findlay McCarthy class action represents a new and perhaps more dangerous dimension to the dispute, relying on claims that Sportingbet breached its users privacy in providing Honegger with access to their data.
"Findlay McCarthy said today that it had been ‘retained by a client willing to act as lead plaintiff in a foreseen class proceeding’ and that ‘it is estimated by the firm that the total number of potential class members in this action could exceed 20,000’”, The Telegraph reported Monday.
“So far, those who have come forward have confirmed that GVC did not inform them it would be allowing another company, namely 37 Entertainment Inc and its partner, Barry Alter, daily access to, and control over, confidential customer data dating back to 2005.
“Such unfettered access was granted without the appropriate privacy measures being put into place.”
GVC responded to the news by again reiterating that "these allegations are spurious and unfounded. GVC has no doubt in its ability defend itself if they choose to pursue them.”