Aristocrat Wins Preliminary Injunction Against Light & Wonder in Intellectual Property Case

25.09.2024

The United States District Court for the District of Nevada has granted Aristocrat Technologies a preliminary injunction in its legal battle with Light & Wonder over claims of intellectual property infringement. The dispute centers on allegations that Light & Wonder misappropriated trade secrets from Aristocrat’s popular Dragon Link series to develop its Dragon Train game.

Court Grants Injunction to Protect Trade Secrets

Aristocrat first filed the case in March, accusing Light & Wonder of copyright infringement, trade secret misappropriation, deceptive trade practices, and unfair competition.

According to the court’s ruling, Judge Gloria M. Navarro agreed with Aristocrat’s claims, finding that Aristocrat was “extremely likely to succeed” in proving that Light & Wonder used its trade secrets without proper authorization to develop the Dragon Train series.

The court’s decision not only halted any further sale or commercialization of Dragon Train but also highlighted the importance of protecting trade secrets in competitive industries.

“The public interest in protecting trade secrets and preventing competitors from receiving an unfair advantage” was a key factor in the ruling, according to the court.

Aristocrat Praises the Decision

Aristocrat expressed satisfaction with the outcome. Matthew Primmer, Chief Product Officer of Aristocrat, emphasized the importance of intellectual property, stating, “This ruling underscores the value of our intellectual property and reaffirms our commitment to protecting the integrity of our business.”

Aristocrat plans to continue its case against Light & Wonder and pursue all appropriate legal remedies to address the harm caused by the misappropriation.

In addition to its ongoing efforts in the US, Aristocrat is also considering further legal action in Australia, following a recent decision by the Federal Court of Australia granting pre-suit discovery in the case.

Light & Wonder to Appeal the Ruling

In response to the preliminary injunction, Light & Wonder has announced that it will appeal the court’s decision. The company stated that it “respectfully disagrees” with the ruling and plans to defend its position in court.

Matt Wilson, President and CEO of Light & Wonder, reiterated confidence in the company’s future, citing its portfolio of successful game franchises and ongoing investments in research and development.

Light & Wonder noted that the estimated financial impact of the court’s ruling on Dragon Train is minimal, projecting that the game would have accounted for less than 5% of its targeted $1.4 billion consolidated AEBITDA for 2025.

The company also reaffirmed its strong business outlook and plans to showcase new games at the upcoming Global Gaming Expo in October.