Colossus holds an extensive patent portfolio globally on sports bets and games incorporating Cash Out, including whether or not the Cash Out feature is used by the player. This lawsuit in the US against DraftKings signals Colossus’ broader intention to defend its intellectual property and follows the initiation of similar proceedings against Tabcorp in Australia. Global law firm DLA Piper represents the company in litigation as well as all patent-related matters.
Colossus first notified DraftKings of its patent rights as early as 2018 and has since provided numerous notices of ongoing infringement. Regarding the decision to file suit, Bernard Marantelli, Founder of Colossus Bets and inventor of the patents-in-suit stated, “We attempted to resolve this amicably and we gave them ample opportunity to do so.”
Because DraftKings has continued offering its products despite repeated notices of infringement, Colossus is seeking to recover all damages available by law, including increased damages for willful and deliberate infringement. Given the scope of Colossus’ patent portfolio, this will have implications for the entire gaming industry and multi-billion US market.
Bernard Marantelli added: “We take our intellectual property very seriously. This is the next step towards protecting our rights and income across the industry in the US.”
Colossus Bets had previously announced patent licences with bet365 and Esports Technologies. Beyond the US, Colossus’ patent portfolio covers Australia, Japan, South Korea, the Philippines, Indonesia, South Africa, Singapore, Nigeria, and Eurasia (EAPO).