DES MOINES, Iowa -- A settlement could be in the works in a high-stakes legal battle over Iowa's ban on TouchPlay video gaming machines, said the Associated Press.
Dozens of former operators sued the state in a case slated for trial in September in Polk County. The manufacturers, distributors and operators who sued controlled about 40% of the 6,700 machines—which resembled slot machines—that were in convenience stores, grocery stores and bars.
According to court records, Judge Donna Paulsen has ordered both sides to meet the week of April 21 in an effort to resolve the [image-nocss] case. She said the parties have told the court they are interested in discussing a settlement.
The state legislature ended the game in May 2006 after widespread public criticism about the machines. Some critics said that the machines represented a major expansion of the state's gambling industry.
The lawsuit does not specify a dollar amount, but some officials have speculated the potential for damages against the state could be as high as $900 million, said a report by The Des Moines Register.
James Sawtelle of Denver, one of the lawyers for the TouchPlay businesses, said his clients have always been open to a settlement. "We want to continue down that path, if mediation is the mechanism, to try to resolve things voluntarily," he told the newspaper. "But if we can't get it resolved satisfactorily, we are prepared to try it."
Robert Brammer, a spokesperson for the Iowa attorney general's office, which is defending the state, told the paper that his office is open to a resolution on terms comparable to the other settlements.
In early February, the State Appeal Board approved a $1.8 million payment to Camden Inc., a Cedar Rapids, Iowa, amusement company, and its principals, Lawrence and Von Elbert. The deal included a decision to drop a claim for $497,963 that Camden allegedly owed the state when its TouchPlay machines were shut down by state officials, said the report.Members help make our journalism possible. Become a CSP member today and unlock exclusive benefits, including unlimited access to all of our content. Sign up here.