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GTECH | SEONewsWire.net http://www.seonewswire.net Search Engine Optimized News for Business Thu, 02 Feb 2017 04:37:33 +0000 en-US hourly 1 https://wordpress.org/?v=6.0.8 Nettles and GTECH File Post Submission Briefs in Dallas http://www.seonewswire.net/2017/02/nettles-and-gtech-file-post-submission-briefs-in-dallas/ Thu, 02 Feb 2017 04:37:33 +0000 http://www.seonewswire.net/2017/02/nettles-and-gtech-file-post-submission-briefs-in-dallas/ Attorney Peter Kelly, appellate counsel for Dawn Nettles, filed Nettles’Post Submission Brief with the Dallas Court of Appeals.  The brief deals with the question of whether the Texas Legislature intended for GTECH to have derivative governmental immunity.  In response, GTECH’s appellate counsel

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Attorney Peter Kelly, appellate counsel for Dawn Nettles, filed Nettles’Post Submission Brief with the Dallas Court of Appeals.  The brief deals with the question of whether the Texas Legislature intended for GTECH to have derivative governmental immunity.  In response, GTECH’s appellate counsel filed GTECH’s Response to Nettles’ Post Submission Brief.  In its response, GTECH argued that the Texas Supreme Court has already rejected the argument made in Nettles’ brief.  The issue of immunity has been submitted to the Dallas Court of Appeals and an opinion is expected in the near future.  It remains to be seen whether the Dallas Court of Appeals will rule on the issue before or after the Austin Court of Appeals hands down its decision in the Steele et al v. GTECH mass action pending in Austin.

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GTECH Files Reply Brief http://www.seonewswire.net/2016/09/gtech-files-reply-brief/ Fri, 30 Sep 2016 23:14:10 +0000 http://www.seonewswire.net/2016/09/gtech-files-reply-brief/ GTECH filed its Reply Brief in the Austin Court of Appeals.  In its brief, GTECH maintains that it did not exercise any discretion in deciding to use misleading language on the Fun 5’s scratch-off tickets.  GTECH urges the Court of

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GTECH filed its Reply Brief in the Austin Court of Appeals.  In its brief, GTECH maintains that it did not exercise any discretion in deciding to use misleading language on the Fun 5’s scratch-off tickets.  GTECH urges the Court of Appeals to overrule the trial court and to hold that GTECH is entitled to immunity from the fraud claims brought by approximately 1,000 Texas lottery players.  A copy of GTECH’s Reply Brief can be viewed below.

GTECH’s Reply Brief

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Nettles Files Reply Brief in Fun 5’s Lawsuit Appeal in Dallas http://www.seonewswire.net/2016/09/nettles-files-reply-brief-in-fun-5s-lawsuit-appeal-in-dallas/ Wed, 21 Sep 2016 21:05:46 +0000 http://www.seonewswire.net/2016/09/nettles-files-reply-brief-in-fun-5s-lawsuit-appeal-in-dallas/ Attorneys for Dawn Nettles have filed a Reply Brief on behalf of Ms. Nettles in her appeal of a Dallas trial court’s ruling that GTECH enjoys “derivative immunity” for fraud lawsuits.  A copy of Ms. Nettles’ brief can be viewed

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Attorneys for Dawn Nettles have filed a Reply Brief on behalf of Ms. Nettles in her appeal of a Dallas trial court’s ruling that GTECH enjoys “derivative immunity” for fraud lawsuits.  A copy of Ms. Nettles’ brief can be viewed by clicking on the link below:

Nettles Reply Brief

By Mary Ellis LaGarde

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Plaintiffs and Hiatt Intervenors File Amended Pleadings http://www.seonewswire.net/2016/09/plaintiffs-and-hiatt-intervenors-file-amended-pleadings/ Tue, 06 Sep 2016 16:43:02 +0000 http://www.seonewswire.net/2016/09/plaintiffs-and-hiatt-intervenors-file-amended-pleadings/ The Plaintiffs in the Fun 5’s lottery game lawsuit against GTECH (International Game Technology) have filed their Fourth Amended Petition along with an Exhibit “A” which lists the names of the Plaintiffs who have sued GTECH.  The Hiatt Intervenors have

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The Plaintiffs in the Fun 5’s lottery game lawsuit against GTECH (International Game Technology) have filed their Fourth Amended Petition along with an Exhibit “A” which lists the names of the Plaintiffs who have sued GTECH.  The Hiatt Intervenors have also filed a Second Amended Petition and 7th Supplemental Petition that lists the names of Intervenors in the lawsuit who are represented by the Fritz,Byrne, Head & Fitzpatrick law firm in Austin.  A copy of both pleadings is posted below:

Plaintiff’s’ 4th Amended Petition

Exhibit A to Plaintiffs’ 4th Amended Petition

Hiatt-1st Amended & 7th Supplemental Petition for Intervention

By Mary Ellis LaGarde

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Representative of Governor Meets With Lottery Petitioner http://www.seonewswire.net/2016/08/representative-of-governor-meets-with-lottery-petitioner/ Fri, 19 Aug 2016 00:35:35 +0000 http://www.seonewswire.net/2016/08/representative-of-governor-meets-with-lottery-petitioner/ The Petition Denise Deckard’s parents purchased a Fun ‘s lottery ticket from the Texas Lottery Commission.  They believed they had won a substantial cash prize based on the clear language of the ticket’s instructions.  However, when they attempted to cash

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The Petition

Denise Deckard’s parents purchased a Fun ‘s lottery ticket from the Texas Lottery Commission.  They believed they had won a substantial cash prize based on the clear language of the ticket’s instructions.  However, when they attempted to cash the ticket they were informed that they were not winners.

Denise felt this was fundamentally unfair.  She started a petition on Change.org addressed to the Governor of Texas, the Lieutenant Governor, and to the Speaker of the Texas House of Representatives.  Her Petition is entitled “Restore Honesty and Fairness to the Texas Lottery”.  Nearly 10,000 lottery players signed the Petition and called for their elected officials to restore honesty and fairness to the Texas lottery.

The Meeting

On June 22, 2016, Denise met with Jared Staples, a representative of Governor Greg Abbott.  She presented the Petition to him on behalf of the nearly 10,000 lottery players who had signed it.   Denise asked that the Petition be communicated to the Governor.

On June 30th, Denise received the following response from the Governor’s representative which she shared with us:

From: Jared.Staples@gov.texas.gov
To: ddeck1@msn.com
Subject: RE: Update Deckards’s Meeting June 22
Date: Thu, 30 Jun 2016 23:11:42 +0000
Ms. Deckard,

I appreciate you making the trip to Austin last week to deliver the petition and discuss concerns of consumer protection for lottery players.

Please know that this Office takes seriously any allegation of a state entity conducting its business in a dishonest and/or unfair manner. We expect the appointed board and commission members of these entities to ensure the highest standards of integrity within the agency they oversee.

To your point of deceptive tickets being sold, it is my understanding that issue is under pending litigation and therefore we cannot speak to that specifically; however, to your broader request for action on consumer protection—which we discussed at length during your visit—I asked that you identify some specific items or reforms that I can share with our Lottery Commissioners to look into. I am glad to share with the Commissioners the general information that you have already provided to this Office, but more specific issues and recommendations would be helpful to make sure these concerns are fully vetted and addressed.

Additionally, I encourage you and others to attend the Texas Lottery Commission’s open meetings, which occur at least six times a year. At those meetings there is an opportunity for anyone to present formal public comment to the Lottery Commissioners. At our meeting, I gave you information on how to get notifications when these meetings get scheduled. For your convenience, I am providing a link to that information here: http://www.sos.state.tx.us/texreg/subinfo.shtml.

Again, I thank you for reaching out. I will be glad to receive any additional concerns or reforms you identify and share those with our Lottery Commissioners and any other appropriate party.

Sincerely,

Jared Staples
Policy Advisor
Texas Governor Greg Abbott
(512) 463-1778

Did the Governor Get the Message?

Denise followed up her meeting with a Public Records Request in which she asked for copies of any communications between Mr. Staples and Governor Abbott.  In essence, she was checking to see whether Mr. Staples provided the Governor with a copy of the petition she had presented to him.  Denise received the following response:

From: publicrecords@gov.texas.gov
To: ddeck1@msn.com
Subject: RE: OOG PIR # 16-238
Date: Wed, 10 Aug 2016 16:16:45 +0000
August 10, 2016

Denice Deckard
Ddeck1@msn.com
VIA EMAIL ONLY

RE: OOG PIR # 16-238

Ms. Deckard:

This letter is in response to your public information request to the Office of the Governor (“OOG”), received by the OOG on August 2, 2016. A copy of your request follows this email.

The OOG has reviewed its files and has no information responsive to your request. If you have any questions, please contact me at publicrecords@gov.texas.gov.

Sincerely,

Jessica Vu
Assistant General Counsel
Office of Governor Greg Abbott

 

Denise is justifiably concerned that Governor Abbott never received the Petition she delivered to Mr. Staples on behalf of the 10,000 or so lottery players.

Denise also filed a Public Information Request to see if there were any communications between Mr. Staples and the Texas Lottery Commission regarding the petition.  Here is the response she received:

From: OpenRecords@lottery.state.tx.us
To: ddeck1@msn.com
Subject: Public Information Request
Date: Tue, 9 Aug 2016 20:58:30 +0000
Ms. Deckard:
This email is in response to your Public Information Request received July 26, 2016.

You requested:
“I would like to receive copies of any/all emails, faxes, letters or phone records between any/all TLC staff members and Jared Staples (Policy Advisor Texas Governor Greg Abbott) office since June 1, 2016 through todays date.”

The responsive documents contain information the agency believes to be excepted from disclosure under the Public Information Act. Please be advised that we are currently seeking an Attorney General Open Records Decision for the portions of the requested information which the Commission has asserted are confidential and excepted from disclosure.

Enclosed is a copy of the request sent to the Open Records Division of the Office of the Attorney General. We will keep you apprised of any developments.

Katelind Powers
Open Records Coordinator
Texas Lottery Commission
PO Box 16630
Austin, TX 78701-6630
512-344-5420
openrecords@lottery.state.tx.us

In other words, there appear to be responsive documents showing that Mr, Staples communicated with the Texas Lottery Commission about the Petition but the Commission is refusing to provide Denise with those communications unless the Attorney General tells the Commission that it must turn the documents over.

What can Governor Abbott Do?

First, we don’t know if Governor Abbott ever received a copy of the Petition.  The response to the Public Information Request suggests that no documents or emails were sent to the Governor.  There’s always the possibility that Mr. Staples met with the Governor in person.  We just don’t know.

Second, Mr. Staples is probably correct.  The Governor can’t be expected to publicly comment on an existing lawsuit against GTECH related to the Fun 5’s scandal.  However, he can comment on changes that might need to be made to restore honesty and fairness to the Texas Lottery which is what almost 10,000 voters are asking him to do.

Third, it is unfair to expect Governor Abbott to change the organization or structure of the Texas Lottery Commission.  As Governor, he does not have that power.  The Texas Lottery Commission is a creature of the Texas Legislature.  That is a job for the Texas Senate and the Texas House of Representatives.

Governor Abbott does have the power to appoint or fire the five members of the Texas Lottery Commission who are obligated to look over the shoulder of  Gary Grief, the Texas Lottery’s Executive Director.  Governor Abbott replaced four of the five Commissioners who were in place at the time of the Fun 5’s scandal.  However, he did not replace J. Winston Krause, the Chairman of the Commission.  Mr. Krause was appointed by Governor Rick Perry and was the Chairman of the Commission when Mr. Grief made the decision to continue selling the misleading Fun 5’s tickets to the public.  Mr. Krause continues to be Chairman of the Commission.

It is probably a fair question to ask the Governor’s office whether it ever investigated what Chairman Krause knew and when did he know it.  Was Chairman Krause aware that over 100 lottery players per day were complaining that they felt they had been misled by the Fun 5’s tickets?  Did Chairman Krause know that the staff of the Lottery Commission prepared the paperwork to shut down the Fun 5’s game three days after sales began but the game was not shut down because Executive Director Gary Grief did not feel a need to shut it down?  Did Chairman Krause know that Gary Grief gave a deposition in which he testified that he was not concerned by the complaints being made by the lottery players?  If Chairman Krause did not know any of these facts, why wasn’t he aware?  Isn’t he the Chairman of the Commission that is supposed to be protecting the integrity of the Texas Lottery?  What was he doing to protect the lottery players from being misled?  All of these questions are fair game for the Governor’s office.

What can the Texas Legislature Do?

The Texas Senate is led by Lieutenant Governor Dan Patrick, and the Texas House of Representatives is led by Speaker of the House, Joe Strauss.  Both legislative bodies have the power to change the structure of the Texas Lottery Commission and to take steps to restore honesty and fairness to the Texas Lottery.  It is unknown whether the Lieutenant Governor or the Speaker have read Ms. Deckard’s Petition.  However, the nearly 10,000 lottery players who signed the Petition are entitled to a response from them once they do read it.

One thing the Legislature can do is to waive Sovereign Immunity to allow lottery players who were cheated by the Fun 5’s game to bring suit against the Texas Lottery Commission.  The Texas Lottery Commission has an absolute right, by contract, to demand that GTECH provide and pay for a defense of any claims arising out of what GTECH did in the Fun 5’s games.  In addition, GTECH is obligated to indemnify the Texas Lottery Commission from those claims.  In other words, if the Texas Senate and the Texas House vote to  allow lottery players to sue the Lottery Commission, it will cost the State of Texas and the Texas Lottery nothing.

Second, the Legislature can look into why the Texas Lottery Commission that is in charge of looking over the shoulder of the Executive Director did not do its job.

Third, the Legislature can look into putting in place an Ombudsman whose sole job it is to protect lottery players from misleading or deceptive lottery games.  The Lottery Commission has an Ombudsman to protect employees of the Commission.  In other words, if an employee of the Commission feels that he or she is being treated unfairly, they can complain to the Ombudsman whose job it is to protect that employee.  There is no such Ombudsman for players.   Why not?

What can you do?

These are links, to the websites for Governor Abbott >>link<<, Lieutenant Governor Patrick >>link<<, and Speaker Strauss >>link<<.  Their websites contain forms that allow you to send your thoughts and questions to your elected officials.  Each of you, as citizens of Texas, have a right to know what steps, if any, these public servants will take to restore honesty and fairness to the Texas Lottery.  Let them hear from you and demand that they tell you what concrete steps they intend to take to ensure that an incident like the Fun 5’s scandal will never take place again.

By Richard LaGarde

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GTECH Files Motion for Summary Judgment in Fun 5’s Case http://www.seonewswire.net/2016/07/gtech-files-motion-for-summary-judgment-in-fun-5s-case/ Tue, 26 Jul 2016 00:05:14 +0000 http://www.seonewswire.net/2016/07/gtech-files-motion-for-summary-judgment-in-fun-5s-case/ GTECH (International Game Technology) has filed a Motion for Summary Judgment in the Fun 5’s case pending in Austin.  The motion alleges that there are elements to the Plaintiffs’ causes of action that they will not be able to prove

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GTECH (International Game Technology) has filed a Motion for Summary Judgment in the Fun 5’s case pending in Austin.  The motion alleges that there are elements to the Plaintiffs’ causes of action that they will not be able to prove at the time of trial.  GTECH has asked the court to hold a hearing on its motion on August 31, 2016.  However, it is unlikely to be heard on that day.  A vigorous response to the motion is being prepared on behalf of the Plaintiffs by the Lanier Law Firm.  To read the motion and to review the exhibits, click the following links:

GTECH’s Traditional Motion for Summary Judgment

GTECH – Ex. A.

GTECH – Ex. B

GTECH – Ex. C

GTECH Proposed Order

 

By Mary Ellis LaGarde

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GTECH Files Appellee’s Brief in Dallas Court of Appeals http://www.seonewswire.net/2016/07/gtech-files-appellees-brief-in-dallas-court-of-appeals/ Fri, 15 Jul 2016 16:24:52 +0000 http://www.seonewswire.net/2016/07/gtech-files-appellees-brief-in-dallas-court-of-appeals/ GTECH (International Game Technology) has filed its Brief of Appellee in the Dallas Court of Appeals in Dawn Nettles’ Fun 5’s lawsuit.  Here is a summary of GTECH’s arguments: “Under Texas law, when a government contractor is sued for complying with directions

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GTECH (International Game Technology) has filed its Brief of Appellee in the Dallas Court of Appeals in Dawn Nettles’ Fun 5’s lawsuit.  Here is a summary of GTECH’s arguments:

“Under Texas law, when a government contractor is sued for complying with
directions it received from an entity with governmental immunity, the contractor is
likewise entitled to immunity.
That is the case here. Under both the Government Code and its contracts
with GTECH, the TLC alone has authority over all aspects of Texas Lottery
games. The TLC determined the final specifications for its “Fun 5’s” tickets, and
Nettles admits that all of her complaints about the “Fun 5’s” tickets arise from
decisions made by the TLC, not GTECH. Nettles further admits that GTECH
followed the TLC’s directions to the letter. Accordingly, GTECH has immunity.
Nettles cannot avoid that conclusion by arguing that GTECH could be held
liable without causing the government to make unforeseen expenditures. That
argument was not preserved for this Court’s review, and it is based on a misreading
of the authority she cites.
Nor can Nettles defeat GTECH’s immunity by arguing that GTECH was
required to exercise independent discretion because it owed a duty of “reasonable
care” when deciding whether to implement or reject the TLC’s changes to the
working papers. GTECH is contractually obligated to implement the TLC’s
decisions, and nothing in its contracts with the TLC requires—or even allows—
GTECH to second-guess those decisions. Moreover, Nettles’s insistence that
GTECH owed a duty of “reasonable care” cannot be reconciled with her decision
to abandon her claims of negligence and replace them with claims of fraud.
The trial court correctly granted GTECH’s plea to the jurisdiction. This
Court should affirm.”

A copy of GTECH’s  detailed arguments and supporting case law can be viewed  in GTECH’s Brief of Appellee.

 

By Mary Ellis LaGarde

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GTECH Files Appellate Brief in Fun 5’s Lawsuit http://www.seonewswire.net/2016/07/gtech-files-appellate-brief-in-fun-5s-lawsuit/ Wed, 06 Jul 2016 23:29:35 +0000 http://www.seonewswire.net/2016/07/gtech-files-appellate-brief-in-fun-5s-lawsuit/ GTECH (International Game Technology) filed its Brief of Appellant today in the Court of Appeals for the Third District of Texas at Austin.  In summary, GTECH argues that it merely did what it was told to do by the Texas Lottery

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GTECH (International Game Technology) filed its Brief of Appellant today in the Court of Appeals for the Third District of Texas at Austin.  In summary, GTECH argues that it merely did what it was told to do by the Texas Lottery Commission.  Therefore, GTECH asserts that it is entitled to immunity from liability for fraud under the doctrine of “derivative immunity”.  GTECH’s argument does not address the inconvenient fact that it was GTECH that  initially chose the misleading language and it was GTECH that independently decided to stick with that language even after the wording became obviously misleading. Moreover, GTECH’s brief does not address the Texas Lottery Commission’s assertion that it was relying on GTECH, as an expert in designing scratch-off games, to choose language that was not misleading.

By Mary Ellis LaGarde

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Expert Witnesses Designated by GTECH in Fun 5’s Lawsuit http://www.seonewswire.net/2016/06/expert-witnesses-designated-by-gtech-in-fun-5s-lawsuit/ Sat, 04 Jun 2016 16:51:33 +0000 http://www.seonewswire.net/2016/06/expert-witnesses-designated-by-gtech-in-fun-5s-lawsuit/ GTECH (IGT) filed its Third Amended Response to Disclosures in which it identified the expert witnesses it intends to use at the time of trial.  GTECH intends to present testimony from Laurel Smith Stvan, Ph.D., Chair of the Department of Linguistics at The University of Texas

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GTECH (IGT) filed its Third Amended Response to Disclosures in which it identified the expert witnesses it intends to use at the time of trial.  GTECH intends to present testimony from Laurel Smith Stvan, Ph.D., Chair of the Department of Linguistics at The University of Texas at Arlington.  GTECH described her anticipated testimony as follows:
“Dr. Stvan will rely upon her knowledge of linguistics and the teaching of composition particularly with reference to the recognition and avoidance of ambiguity in written documents to testify regarding the conclusions made by an ordinary reasonable speaker of contemporary American English when examining the language of Game 5 of the Fun 5’s scratch-off ticket.
The general substance of Dr. Stvan’s opinions are as follows:
1. One key way the word “that” functions in the English language is to point back to the same noun in the previous sentence. So in game 5, the word “that” in the second sentence refers back to the PRIZE described in the first sentence.
2. There is a pragmatic mechanism in game 5 that relates to the sequencing of the 2 sentences. The reader expects the order of the tasks to be presented in the order in which they occur. So the action mentioned in the first sentence is performed before the action mentioned in the second sentence. In other words, once you do this first action, then this other action will follow.
3. It is clear that the 2 sentences should be read together and neither sentence should be interpreted in isolation.
As to the opinions attributed to Dr. Butters in “Plaintiffs’ Expert Designations ”, I disagree with the opinions and statements set forth in paragraphs paragraph 3, a, b and c.
The methodology used by Dr. Stvan to arrive at her opinions is as follows:
d. My opinions are based upon the application of general principles of the science of linguistics, particularly the branches of linguistics called syntax, discourse analysis, pragmatics and semantics. In addition, I have drawn upon my experience as scholar, teacher, and administrator in university linguistics programs dedicated to the teaching and production of clear and coherent interpretation and writing.
Dr. Stvan might possibly develop additional mental impressions and opinions as additional discovery materials become available for her review. Dr. Stvan will be made available for deposition, if Plaintiffs and/or Intervenors wish to explore the additional mental impressions and opinions. Dr. Stvan specifically reserves the right to offer additional opinions based on any new designations or opinions offered by experts designated by Plaintiffs or Intervenors.”

GTECH has also designated William Abington who is a CPA and Certified Fraud Examiner.  GTECH describes his anticipated testimony as follows:

“He may testify regarding the damages claimed by Plaintiffs and Intervenors once they explain the methodology they are using to calculate their alleged damages. Furthermore, Mr. Abington may testify regarding the statistical probability of the alleged prizes and damages sought by Plaintiffs and Intervenors.
Mr. Abington might possibly develop additional mental impressions and opinions as additional discovery materials become available for his review. Once a reasonable time has passed after Plaintiffs and Intervenors have actually disclosed their methodology, Mr. Abington will be made available for deposition, if Plaintiffs and/or Intervenors wish to explore the additional mental impressions and opinions. Mr. Abington specifically reserves the right to offer additional opinions based on any new opinions or explanations offered by experts designated by Plaintiffs or Intervenors.”

By Mary Ellis LaGarde

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Appellant Brief Filed in Nettles Case in Dallas http://www.seonewswire.net/2016/05/appellant-brief-filed-in-nettles-case-in-dallas/ Tue, 24 May 2016 14:26:03 +0000 http://www.seonewswire.net/2016/05/appellant-brief-filed-in-nettles-case-in-dallas/ Attorneys for Dawn Nettles have filed their Appellant’s Brief  in the 5th Court of Appeals in Dallas.  The brief asks the court of appeals to overturn the Dallas trial court’s ruling that GTECH has “derivative immunity”.  The Dallas trial court’s decision

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Attorneys for Dawn Nettles have filed their Appellant’s Brief  in the 5th Court of Appeals in Dallas.  The brief asks the court of appeals to overturn the Dallas trial court’s ruling that GTECH has “derivative immunity”.  The Dallas trial court’s decision in Ms. Nettles case is directly opposite to the decision reached by the Austin court where the overwhelming majority of the Fun 5’s cases are pending.  In Austin, the trial court found that GTECH was not entitled to claim derivative immunity based on a recent Texas Supreme Court decision.

By Mary Ellis LaGarde

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GTECH Files Appeal in Fun 5’s Case http://www.seonewswire.net/2016/04/gtech-files-appeal-in-fun-5s-case/ Fri, 01 Apr 2016 16:55:47 +0000 http://www.seonewswire.net/2016/04/gtech-files-appeal-in-fun-5s-case/ GTECH Corporation (IGT) has filed a notice of appeal to the 3rd Court of Appeals in Austin.  GTECH is asking the court of appeals to overrule the Austin trial court’s denial of GTECH’s Plea to the Jurisdiction.  In its Plea,

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GTECH Corporation (IGT) has filed a notice of appeal to the 3rd Court of Appeals in Austin.  GTECH is asking the court of appeals to overrule the Austin trial court’s denial of GTECH’s Plea to the Jurisdiction.  In its Plea, GTECH claims it is immune from liability for any fraud claims because it is a governmental contractor.  In response to the appeal, the trial court has signed an amended scheduling order setting new deadlines for discovery, expert witness designations, and trial. In addition, GTECH has announced that it has added the law firm of Haynes & Boone as its appellate counsel for the appeal.  The relevant notices and court orders can be reviewed below:

GTECH’s Petition for Permission to Appeal

GTECH’s Notice of Accelerated Appeal

Scheduling Order 

Order Granting Permission to Appeal

Notice of Appearance of Haynes and Boone, L.L.P.

 

 

 

 

 

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Court Overrules GTECH’s Request for Immunity http://www.seonewswire.net/2016/02/court-overrules-gtechs-request-for-immunity/ Thu, 25 Feb 2016 17:44:42 +0000 http://www.seonewswire.net/2016/02/court-overrules-gtechs-request-for-immunity/ The Honorable Amy Clark Meachum, judge of the 201st Judicial District Court in Travis County, issued an Order Overruling GTECH’s Plea to the Jurisdiction today.  Her order rejected GTECH’s argument that it enjoys immunity because it is a government contractor.  The

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The Honorable Amy Clark Meachum, judge of the 201st Judicial District Court in Travis County, issued an Order Overruling GTECH’s Plea to the Jurisdiction today.  Her order rejected GTECH’s argument that it enjoys immunity because it is a government contractor.  The judge’s order means the Fun 5’s case can proceed forward against GTECH.  It is a major victory for the plaintiffs in the Fun 5’s lawsuit.  All who worked so hard on this should be congratulated.

 

By Richard LaGarde

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TWC News Covers the Travis County Fun 5’s Hearing http://www.seonewswire.net/2016/02/twc-news-covers-the-travis-county-fun-5s-hearing/ Fri, 19 Feb 2016 15:06:14 +0000 http://www.seonewswire.net/2016/02/twc-news-covers-the-travis-county-fun-5s-hearing/ Time Warner Cable news in San Antonio  and Austin carried a news story about yesterday’s hearing on GTECH’s Plea to the Jurisdiction.  You can see San Antonio story by clicking >>here<<, and the Austin story by clicking >>here<<.  Both news

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Time Warner Cable news in San Antonio  and Austin carried a news story about yesterday’s hearing on GTECH’s Plea to the Jurisdiction.  You can see San Antonio story by clicking >>here<<, and the Austin story by clicking >>here<<.  Both news stations ask for comments on their website about whether the lawsuit should be allowed to proceed.

By Richard LaGarde

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Court to Rule on GTECH’s Claim of Immunity http://www.seonewswire.net/2016/02/court-to-rule-on-gtechs-claim-of-immunity/ Thu, 18 Feb 2016 23:42:13 +0000 http://www.seonewswire.net/2016/02/court-to-rule-on-gtechs-claim-of-immunity/ Judge Amy Clark Meachum of the 201st Judicial District Court in Travis County heard arguments from attorneys representing the Plaintiffs and GTECH Corporation today.  The hearing concerned GTECH’s claim that it is immune from suit as a government contractor. Judge

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Judge Amy Clark Meachum of the 201st Judicial District Court in Travis County heard arguments from attorneys representing the Plaintiffs and GTECH Corporation today.  The hearing concerned GTECH’s claim that it is immune from suit as a government contractor. Judge Meachum quizzed the lawyers about the legal issues and announced that she would take the matter under advisement but would rule on it without delay. That means that she will likely review the briefs and the applicable case law and then issue her ruling.  While we don’t know exactly how much time that will take we would expect a ruling in the coming week.  Approximately 50 Fun 5’s clients attended the hearing and Time-Warner television conducted and interview of attorneys for both sides.

By Richard LaGarde

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Today’s Hearing in Fun 5’s Case http://www.seonewswire.net/2016/02/todays-hearing-in-fun-5s-case/ Thu, 18 Feb 2016 15:54:50 +0000 http://www.seonewswire.net/2016/02/todays-hearing-in-fun-5s-case/ A number of clients in the Fun 5’s lawsuit against GTECH have indicated that they want to attend the hearing at the Travis County courthouse today.  It is a public hearing and we encourage you attend and listen if you

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A number of clients in the Fun 5’s lawsuit against GTECH have indicated that they want to attend the hearing at the Travis County courthouse today.  It is a public hearing and we encourage you attend and listen if you are interested.  Austin district courts have a rotating docket which means we will not know which court will actually hold the hearing until  shortly before the 2:00 p.m. hearing.  There are computer monitors on the walls at the courthouse, and the assignments will come up on the screens (kind of like the arrival/departure monitors at the airport) about 10-15 minutes before the scheduled time of the hearing.  We will go to the assigned courtroom and the judge will confirm with the attorneys the time announcements for each case.  After the time announcements are made, if the court is dealing with more than 3 hours of hearings, some of the cases may be assigned to yet another judge “on the fly.”   That means if you plan to attend the hearing, you should look at the court monitors and see which court has been assigned the case which is known as Steele, et al. v. GTECH Corporation,  Cause N0. D-1-GN-14-005114 .

Remember that the courtrooms are small and it is important to remain silent during the hearings so the judge is not distracted.  Once the hearing is over, your attorneys will be able to meet with you in the hall outside the court to answer any questions you have about the court’s ruling.  Wish us luck.

By Richard LaGarde

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Plaintiffs File Response to GTECH’s First Amended Plea in Fun 5’s Case http://www.seonewswire.net/2016/02/plaintiffs-file-response-to-gtechs-first-amended-plea-in-fun-5s-case/ Wed, 17 Feb 2016 23:33:04 +0000 http://www.seonewswire.net/2016/02/plaintiffs-file-response-to-gtechs-first-amended-plea-in-fun-5s-case/ The plaintiffs in the Fun 5’s lawsuit pending in Travis County have filed their Response to GTECH’s 1st Amended Plea to the Jurisdiction.  In essence, the plaintiffs argue that GTECH is not entitled to “derivative sovereign immunity” because it exercised independent

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The plaintiffs in the Fun 5’s lawsuit pending in Travis County have filed their Response to GTECH’s 1st Amended Plea to the Jurisdiction.  In essence, the plaintiffs argue that GTECH is not entitled to “derivative sovereign immunity” because it exercised independent discretion when it decided to use wording on the Fun 5’s tickets that misrepresented that players would “win” if their tickets revealed a Money Bag symbol.  A hearing on the Plea to the Jurisdiction is set for hearing in Travis County on Thursday, February 18, 2016 at 2 p.m.  The results of the hearing will be posted here tomorrow.

By Richard LaGarde

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GTECH Files First Amended Plea to the Jurisdiction http://www.seonewswire.net/2016/02/gtech-files-first-amended-plea-to-the-jurisdiction/ Wed, 03 Feb 2016 03:19:16 +0000 http://www.seonewswire.net/2016/02/gtech-files-first-amended-plea-to-the-jurisdiction/ GTECH Corporation filed its First Amended Plea to the Jurisdiction in the Fun 5’s lawsuit pending in Travis County, Texas.  GTECH alleges that it is immune from suit because it was merely doing what it was instructed to do by the Texas

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GTECH Corporation filed its First Amended Plea to the Jurisdiction in the Fun 5’s lawsuit pending in Travis County, Texas.  GTECH alleges that it is immune from suit because it was merely doing what it was instructed to do by the Texas Lottery Commission.  Plaintiffs intend to show the court that it was GTECH, not the Lottery Commission, that decided to use the deceptive and misleading wording on the Fun 5’s tickets.  A hearing on the First Amended Plea to the Jurisdiction is scheduled for February 18, 2016 at 2:00 p.m.

By Richard LaGarde

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Plaintiffs Set Status Conference to Obtain Trial Date From Court http://www.seonewswire.net/2016/01/plaintiffs-set-status-conference-to-obtain-trial-date-from-court/ Mon, 25 Jan 2016 21:10:58 +0000 http://www.seonewswire.net/2016/01/plaintiffs-set-status-conference-to-obtain-trial-date-from-court/ A Notice of Status Conference was filed by the Plaintiffs in the Fun 5’s lawsuit against GTECH which is pending in Travis County, Texas.  The status conference, scheduled for February 18, 2016 at 2:00 p.m., is designed to discuss with the court

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Notice of Status Conference was filed by the Plaintiffs in the Fun 5’s lawsuit against GTECH which is pending in Travis County, Texas.  The status conference, scheduled for February 18, 2016 at 2:00 p.m., is designed to discuss with the court the status of the case and to obtain a trial date from the court.

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Date Set for Hearing on GTECH’s Amended Plea to the Jurisdiction in Fun 5’s Case http://www.seonewswire.net/2016/01/date-set-for-hearing-on-gtechs-amended-plea-to-the-jurisdiction-in-fun-5s-case/ Mon, 25 Jan 2016 15:39:36 +0000 http://www.seonewswire.net/2016/01/date-set-for-hearing-on-gtechs-amended-plea-to-the-jurisdiction-in-fun-5s-case/ A hearing will be held on GTECH’s Amended Plea to the Jurisdiction in the Fun 5’s scratch-off ticket lawsuit pending in Travis County, Texas.  The Notice of Hearing on GTECH’s Amended Plea to the Jurisdiction set the date for the hearing as

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A hearing will be held on GTECH’s Amended Plea to the Jurisdiction in the Fun 5’s scratch-off ticket lawsuit pending in Travis County, Texas.  The Notice of Hearing on GTECH’s Amended Plea to the Jurisdiction set the date for the hearing as February 18, 2016 at 2:00 p.m.  Travis County has a rotating docket which means the parties do not know at this time which judge will hear the Plea on February 18th.  In its Amended Plea to the Jurisdiction, GTECH is asking the court to dismiss the claims of over 1,000 plaintiffs and intervenors who allege that GTECH committed fraud when it selected wording for its Fun 5’s tickets that misled players into believing they would win a prize if they revealed a Money Bag symbol on their scratch-off tickets.

By Richard LaGarde

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United States Supreme Court Issues Opinion on Derivative Immunity http://www.seonewswire.net/2016/01/united-states-supreme-court-issues-opinion-on-derivative-immunity/ Fri, 22 Jan 2016 19:53:37 +0000 http://www.seonewswire.net/2016/01/united-states-supreme-court-issues-opinion-on-derivative-immunity/ The U.S. Supreme Court issued an opinion yesterday on the issue of “derivative sovereign immunity”.  The opinion may impact the way Texas courts rule on that issue in the Fun 5’s case. In Campbell-Ewald v. Gomez, the Supreme Court was

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The U.S. Supreme Court issued an opinion yesterday on the issue of “derivative sovereign immunity”.  The opinion may impact the way Texas courts rule on that issue in the Fun 5’s case.

In Campbell-Ewald v. Gomez, the Supreme Court was asked whether a Navy contractor was immune from suit when it sent text messages to individuals who had not opted to receive them in violation of federal law and the Navy’s directive that the text messages should only be sent to those on the opt-in list. The Supreme Court made it clear that government contractors do not have absolute immunity.  As the Court noted: “[w]hen a contractor violates both federal law and the Government’s explicit instructions, as here alleged, no “derivative immunity” shields the contractor from suit by persons adversely affected by the violation.”  The Court went on to note that qualified immunity may be overcome if the defendant knew or should have known that his conduct violated a right ‘clearly established’ at the time of the episode in suit.”  The Court concluded that the Navy contractor was not entitled to immunity because there was no basis for Campbell-Ewald to argue that there was any doubt that the plaintiff had a clearly established  right to be free of unsolicited text messages or that its actions complied with the Navy’s instructions.  In the Fun 5’s case, the lottery players had a clear right to be free from deceptive or fraudulent representations.  GTECH cannot argue that it was unaware that it had a duty to be honest and fair with lottery players. Both Texas criminal and civil law prohibit the commission of fraud on consumers. Moreover, the Texas Lottery Commission made it clear in the Instant Ticket Contract with GTECH that GTECH was to provide final working papers that were “complete and free of errors”. Moreover, GTECH was required to conduct all of its operations “in adherence to the highest ethical standards.” To  the extent that the wording chosen by GTECH in the final working papers was misleading and deceptive, the working papers were not “free of errors” and GTECH did not comply with its contractual duty to conduct its operations in adherence to the highest ethical standards.

Although the Supreme Court’s opinion dealt with federal law, it is likely that it will be at least considered by the Texas trial and appellate courts when they rule on GTECH’s claim of derivative sovereign immunity in the Fun 5’s case.

By Richard LaGarde

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Plaintiffs File Amended Petition in Fun 5’s Case http://www.seonewswire.net/2016/01/plaintiffs-file-amended-petition-in-fun-5s-case/ Thu, 21 Jan 2016 13:01:33 +0000 http://www.seonewswire.net/2016/01/plaintiffs-file-amended-petition-in-fun-5s-case/ The plaintiffs in the Fun 5’s lawsuit against Texas Lottery operator GTECH Corporation filed their Plaintiff’s 3rd Amended Petition in Travis County District Court yesterday.  The petition alleges  that GTECH committed fraud on lottery players when it chose wording on

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The plaintiffs in the Fun 5’s lawsuit against Texas Lottery operator GTECH Corporation filed their Plaintiff’s 3rd Amended Petition in Travis County District Court yesterday.  The petition alleges  that GTECH committed fraud on lottery players when it chose wording on the Fun 5’s scratch-off tickets that led players to believe they would win five times the amount in the PRIZE box if their tickets revealed a Money Bag symbol.  In fact, a substantial number of Fun 5’s tickets with a Money Bag symbol were not winning tickets.  The petition also alleges that GTECH became aware that its scratch-off game was misleading players but continued to deliver tickets to retailers for sale to players for almost two months before political pressure from Texas legislators caused the Texas Lottery Commission to shut down the Fun 5’s game.

By Richard LaGarde

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Court Rules that GTECH Cannot be Sued for Fraud http://www.seonewswire.net/2015/12/court-rules-that-gtech-cannot-be-sued-for-fraud/ Wed, 16 Dec 2015 23:03:54 +0000 http://www.seonewswire.net/2015/12/court-rules-that-gtech-cannot-be-sued-for-fraud/ Judge Jim Jordan, trial judge of the 160th Judicial District Court in Dallas County, Texas, ruled yesterday that GTECH Corporation enjoys “derivative immunity” and cannot be sued even if it commits fraud.  The lawsuit styled Nettles v. GTECH Corporation and

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Judge Jim Jordan, trial judge of the 160th Judicial District Court in Dallas County, Texas, ruled yesterday that GTECH Corporation enjoys “derivative immunity” and cannot be sued even if it commits fraud.  The lawsuit styled Nettles v. GTECH Corporation and the Texas Lottery Commission was filed by consumer advocate Dawn Nettles.  Ms. Nettles, is the editor of www.lottoreport.com which is followed by tens of thousands of lottery players on a daily basis.  Ms. Nettles alleged that the Texas Lottery Commission sold misleading and deceptive scratch-off tickets for a game known as the Fun 5’s game.  GTECH Corporation, the private operator of the Texas Lottery, produced the Fun 5’s game and sold it to the Texas lottery and to four other lotteries in both this country and in Australia.

Judge Jordan earlier ruled that the Texas Lottery Commission cannot be sued for fraud under the doctrine of “sovereign immunity”.  A copy of the legal briefs on that issue and the court’s Order granting the TLC’s Plea to the Jurisdiction can be read >>here<<.

In his most recent Order Granting GTECH’s 1st Plea to the Jurisdiction, Judge Jordan dismissed Ms. Nettles’ fraud claims against GTECH based on the legal doctrine of “derivative immunity”.  A copy of the legal briefs on that issue can be read >>here<<.

Richard LaGarde, one of the attorneys for Ms. Nettles, stated “We are disappointed in the court’s ruling and respectfully disagree with it.  We plan to appeal and we hope to convince the court of appeals that lottery players should not be left without any legal remedy whatsoever if the lottery and its private operator decide to sell misleading and deceptive tickets to Texas citizens.”

The court’s ruling on Ms. Nettles’ case is not binding on the Austin trial court where approximately 1,000 lottery players have filed a similar Fun 5’s lawsuit against GTECH.

By Mary Ellis LaGarde

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GTECH Claims it Cannot Be Sued for Fraud http://www.seonewswire.net/2015/12/gtech-claims-it-cannot-be-sued-for-fraud/ Mon, 07 Dec 2015 15:55:34 +0000 http://www.seonewswire.net/2015/12/gtech-claims-it-cannot-be-sued-for-fraud/ A hearing was held on GTECH Corporation’s First Amended Plea to the Jurisdiction  on Friday, December 4th in a lawsuit styled “Nettles v. GTECH”.  The lawsuit is pending in the 160th Judicial District Court in Dallas County, Texas.  The plaintiff in

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A hearing was held on GTECH Corporation’s First Amended Plea to the Jurisdiction  on Friday, December 4th in a lawsuit styled “Nettles v. GTECH”.  The lawsuit is pending in the 160th Judicial District Court in Dallas County, Texas.  The plaintiff in that lawsuit is one of approximately 1,000 lottery players who have sued GTECH, the operator of the Texas Lottery.  The players allege that GTECH provided deceptive and misleading Fun 5’s scratch-off tickets to the Texas Lottery which in turn sold the deceptive tickets to Texas lottery players in September  and October of 2014.

In its Plea to the Jurisdiction, GTECH alleges that it is entitled to “derivative immunity” and cannot be sued for fraud because it was merely doing what the Texas Lottery Commission ordered it to do.  In response, the Plaintiff in that suit filed her Response to GTECH’s 1st Amended Plea to the Jurisdiction in which she argued that GTECH is not entitled to derivative immunity because it exercised “independent discretion” when it chose the wording of the tickets that it sold to the Lottery Commission.

The Court has not yet ruled on GTECH’s Plea but is expected to do so in the coming week.

By Richard LaGarde

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Some Fun 5’s Clients Have Not Yet Responded to Discovery http://www.seonewswire.net/2015/11/some-fun-5s-clients-have-not-yet-responded-to-discovery/ Fri, 13 Nov 2015 21:18:19 +0000 http://www.seonewswire.net/2015/11/some-fun-5s-clients-have-not-yet-responded-to-discovery/ As of today, 733 out of 839 sets of our Fun 5’s clients have responded to GTECH’s First Set of Interrogatories and Requests for Production of Documents.  Congratulations to all of the clients who did respond.  Congratulations and thanks as well

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As of today, 733 out of 839 sets of our Fun 5’s clients have responded to GTECH’s First Set of Interrogatories and Requests for Production of Documents.  Congratulations to all of the clients who did respond.  Congratulations and thanks as well to attorney Kristina Hernandez and paralegals Alex Russell and Amanda Zubire who have worked so hard to help our clients submit their answers.  It is very important for all of our remaining clients to answer their interrogatories immediately.  If you are a client of the LaGarde Law Firm and the Sternberg Law Firm and you have not yet responded, contact Alex Russell today at the Sternberg Law Firm to make arrangements to submit your answers and your documents.

By Richard LaGarde

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Did you get your Fun 5’s email? Did you answer the questions? http://www.seonewswire.net/2015/10/did-you-get-your-fun-5s-email-did-you-answer-the-questions/ Fri, 23 Oct 2015 15:42:33 +0000 http://www.seonewswire.net/2015/10/did-you-get-your-fun-5s-email-did-you-answer-the-questions/ Fun 5’s clients of the Sternberg Law Firm and the LaGarde Law Firm should have received an e-mail on Monday, October 19th from Kristina Hernandez, an attorney at LaGarde Law Firm.  The e-mail was sent to the last e-mail address

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Fun 5’s clients of the Sternberg Law Firm and the LaGarde Law Firm should have received an e-mail on Monday, October 19th from Kristina Hernandez, an attorney at LaGarde Law Firm.  The e-mail was sent to the last e-mail address you had on file with each of the law firms.  The e-mail contains a link to a QuestionPro form that contains Interrogatory questions from GTECH.  It is important that you respond to these questions before November 6th as there are legal time limits for plaintiffs to answer these questions.  If you did not receive the e-mail in your In Box, check your Spam or Junk e-mail boxes.  If you still don’t see the e-mail, respond with a comment to this post and we will re-send the e-mail.  If you have any questions or need help in answering the questions, contact Alex Russell, a paralegal at the the Sternberg  Law Firm.

By Richard LaGarde

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Additional Depositions Set for Fun 5’s Case http://www.seonewswire.net/2015/09/additional-depositions-set-for-fun-5s-case/ Fri, 04 Sep 2015 14:44:29 +0000 http://www.seonewswire.net/2015/09/additional-depositions-set-for-fun-5s-case/ Attorneys for Plaintiffs in the Fun 5’s lawsuit against GTECH have noticed the depositions of Dan Morales and Tom Stanek for September 24th in Austin.  Mr. Morales is the Instant Ticket Sales Assistant for GTECH while Mr. Stanek is Senior

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Attorneys for Plaintiffs in the Fun 5’s lawsuit against GTECH have noticed the depositions of Dan Morales and Tom Stanek for September 24th in Austin.  Mr. Morales is the Instant Ticket Sales Assistant for GTECH while Mr. Stanek is Senior Director for Sales and Marketing for GTECH.  Copies of their deposition notices can be viewed here:

Notice of Depo of Dan Morales

Notice of Depo of Tom Stanek

By Richard LaGarde

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Fun 5’s Plaintiffs Designate Experts for Trial http://www.seonewswire.net/2015/08/fun-5s-plaintiffs-designate-experts-for-trial/ Wed, 12 Aug 2015 17:21:33 +0000 http://www.seonewswire.net/2015/08/fun-5s-plaintiffs-designate-experts-for-trial/ Plaintiffs in the Fun 5’s lawsuit against GTECH have designated their experts for purposes of trial.  Their liability expert is Dr. Ronald Butters who is the former chair of the Linguistics Program and the English Department at Duke University.  Dr.

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Plaintiffs in the Fun 5’s lawsuit against GTECH have designated their experts for purposes of trial.  Their liability expert is Dr. Ronald Butters who is the former chair of the Linguistics Program and the English Department at Duke University.  Dr. Butters is on the Editorial Advisory Board for the New Oxford  American Dictionary.  You can read Dr. Butters’ opinions here.>>Plaintiffs’ Designation of Expert Witnesses

By Richard LaGarde

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Date Set for Deposition of TLC’s Executive Director http://www.seonewswire.net/2015/08/date-set-for-deposition-of-tlcs-executive-director/ Wed, 12 Aug 2015 14:43:12 +0000 http://www.seonewswire.net/2015/08/date-set-for-deposition-of-tlcs-executive-director/ Attorneys for Fun 5’s players, GTECH, and the Attorney General’s office have reached an agreement to take the deposition of the Texas Lottery Commission’s Executive Director, Gary Grief, on September 25th.  A copy of the Notice of Videotaped Deposition can

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Attorneys for Fun 5’s players, GTECH, and the Attorney General’s office have reached an agreement to take the deposition of the Texas Lottery Commission’s Executive Director, Gary Grief, on September 25th.  A copy of the Notice of Videotaped Deposition can be seen here.>> Notice of Deposition of Gary Grief.

By Richard LaGarde

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GTECH May Blame Texas Lottery Commission for Fun 5’s Fail http://www.seonewswire.net/2015/04/gtech-may-blame-texas-lottery-commission-for-fun-5s-fail/ Sun, 19 Apr 2015 21:36:34 +0000 http://www.seonewswire.net/2015/04/gtech-may-blame-texas-lottery-commission-for-fun-5s-fail/ GTECH Corporation, the operator of the Texas Lottery, has disclosed that it may designate the Texas Lottery Commission as a “Responsible Third Party” in the $504 million lawsuit filed against GTECH by nearly 1,000 lottery players in Austin, Texas.  The

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GTECH Corporation, the operator of the Texas Lottery, has disclosed that it may designate the Texas Lottery Commission as a “Responsible Third Party” in the $504 million lawsuit filed against GTECH by nearly 1,000 lottery players in Austin, Texas.  The disclosure was contained at the end of GTECH’s recent Response to Request for Disclosures.

Background of the Fun 5’s lawsuit.

The lawsuit, pending in state district court in Travis County, alleges that GTECH used misleading and deceptive language on Fun 5’s scratch-off tickets printed by GTECH and sold in Texas. GTECH operated a nearly identical Fun 5’s game in several other states before proposing the game to the Texas Lottery Commission.  The language used by GTECH on the Fun 5’s tickets is the crux of the problem. Fun 5’s tickets printed by GTECH in Kansas, Indiana, and Nebraska contained a tic-tac-toe game designated as Game 3. In Texas, the same tic-tac-toe game was designated as Game 5. The instructions for the Fun 5’s tic-tac-toe game in those three states and in Texas are almost identical and provide as follows:

Kansas:  Get a “5” symbol in the BONUS box, win 5 times that Prize!

Indiana: Get a “5” symbol in the bonus box, win 5 times the prize shown.

Nebraska: Get a “5” symbol in the 5X box and win 5 times that PRIZE.

Texas: Reveal a Money Bag ”  ” symbol in the 5X BOX, win 5 times that PRIZE.

The suit alleges that in Kansas, Indiana, and Nebraska, 100% of the tickets with a “5” symbol were “winning” tickets and those players received 5 times the prize shown on the ticket.  In Texas, the original parameters of the game likewise provided that 100% of the tickets with a Money Bag symbol would be “winning” tickets.  Use of the same language in Texas as that used in the other states would have been accurate if 100% of the tickets with a Money Bag symbol were “winning” tickets as in the other states.  However, the suit alleges that GTECH and the Texas Lottery Commission decided to change the parameters of the game in Texas so that a “substantial percentage” of tickets with a Money Bag symbol would be designated as “non-winning” tickets. Despite the significant change in the parameters of the game, GTECH decided to leave the language on the tickets as is.  The suit alleges that GTECH misled at least 1,000 Texas Lottery players into justifiably believing they had “winning” tickets.

The Texas Lottery began selling Fun 5’s tickets on September 1, 2014.  Almost immediately phone calls began to pour into the Texas Lottery Commission from angry lottery players who believed they had “winning” tickets but were told otherwise when they attempted to cash their tickets.  Amazingly, despite these early warning signs that the Fun 5’s tickets were misleading, GTECH continued delivering the Fun 5’s tickets to retailers and the tickets continued to be sold to Texas consumers for at least seven weeks.  On October 21, 2014, the Texas Lottery issued a press release to announce that it was closing the Fun 5’s game early and would discontinue selling the tickets, citing “confusion” expressed by players and the Texas Lottery’s responsibility to create games that are “clear to understand for our players”.   A large number of the disappointed Fun 5’s players contacted their Texas legislators.  Others contacted the Travis County District Attorney. Still others contacted then Attorney General Gregg Abbott’s office asking for an investigation.  When they got no satisfaction from their elected officials, players with Money Bag symbols on their Fun 5’s tickets filed suit against GTECH.  Approximately 1,000 players have joined in the lawsuit and more are joining each week.  The total winnings being claimed by the disappointed players is at least $504 million.

 What is a Responsible Third Party?

In 1995, the Texas Legislature enacted Section 33.004 of the Texas Civil Practice and Remedies Code to permit a defendant in a tort-based lawsuit to file a motion with the court to designate a non-party to the lawsuit as a “Responsible Third Party”.  Lawyers often refer to this party as an “RTP”.  If a defendant is permitted to designate an RTP and if the defendant proves that the  RTP is partly responsible for the damages suffered by the plaintiffs, the jury is required to assess the percentage of responsibility of the RTP.  The percentage assessed against the RTP reduces the liability of the defendant and reduces the recovery of the plaintiffs unless they bring the RTP into the lawsuit.

What does GTECH gain and lose if it points the finger at the Lottery Commission?

Under the Civil Practice and Remedies Code, GTECH has until 60 days before trial to designate the Lottery Commission as an RTP.  Whether it will actually do so is not yet known.  What is known is that GTECH has much to gain and much to lose if it pulls the trigger.  If it designates the Lottery Commission as an RTP, GTECH will have the chance to reduce its liability, but only if it convinces the jury that the Commission was partly responsible for causing the players’ losses.  However, GTECH risks alienating both the  Lottery Commission and the Texas Legislature if it attempts to shift blame.  GTECH’s mere threat that it “may” designate the Commission as an RTP will require the players to take the sworn deposition testimony of the Commission’s staff and officials to determine whether the Commission was at fault.   The usually cozy relationship between the Commission and its contract operator may be damaged by GTECH’s finger pointing and attempts to place the blame on the Commission.  The Texas Legislature will not be thrilled either.  By designating the Commission as an RTP, GTECH will incentivize the players to seek approval from the Texas Legislature to bring the Lottery Commission into the lawsuit.  A group of  over 1,000 angry lottery players who believe they are owed $504 million makes for a very motivated and dangerous constituency group that may become angry at their elected officials if their needs are not met.  The Texas Lottery faced a near death penalty in the recent past when the Legislature nearly killed the lottery during  sunset proceedings.  By trying to lay blame on the Lottery Commission and its staff, GTECH may lose friends at both the Commission and in the Legislature and may inadvertently lend support to those Legislators who have been trying to kill the lottery.  GTECH also runs the risk of alienating other states that are shopping for a contract lottery operator.  One of the selling points used by GTECH to get lucrative government contracts in the past is that it has vast experience in running lotteries all over the world.  If GTECH gains a reputation for blaming state lottery officials for misleading scratch-off games, it may lose some of its advantage in competing for lottery contracts in other states.  Only GTECH knows whether it will actually pull the trigger and designate the Texas Lottery Commission as an RTP.  The coming months should prove interesting for GTECH, the disappointed lottery players, the Lottery Commission, and the Texas Legislature.

By Richard LaGarde

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Texas Lottery Operator GTECH Accused of Fraud http://www.seonewswire.net/2015/04/texas-lottery-operator-gtech-accused-of-fraud/ Tue, 07 Apr 2015 19:54:53 +0000 http://www.seonewswire.net/2015/04/texas-lottery-operator-gtech-accused-of-fraud/ GTECH Corporation, the operator of the Texas Lottery, has been accused of fraud by nearly 1,000 lottery players.  The players, all of whom purchased Texas Lottery Fun 5’s scratch-off tickets, have sued GTECH in state district court in Austin.  The instructions printed

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GTECH Corporation, the operator of the Texas Lottery, has been accused of fraud by nearly 1,000 lottery players.  The players, all of whom purchased Texas Lottery Fun 5’s scratch-off tickets, have sued GTECH in state district court in Austin.  The instructions printed by GTECH on each Fun 5’s ticket indicated that if the ticket revealed a Money Bag symbol, the player would win five times the amount in the prize box.  In their 2nd Amended Petition filed today, the players allege that the ticket language was crafted by GTECH at a time when the parameters of the game provided for 100% of the tickets that revealed a Money Bag symbol to be winners.  The players allege that GTECH changed the parameters of the game to make a significant percentage of those tickets losers but did not also change the original ticket language to make it clear that not every ticket with a Money Bag symbol would be a winner.  The players allege that GTECH’s decision to use the misleading language was fraudulent and misled them into believing they had purchased winning tickets.  The lawsuit seeks nearly $480 million in damages which is the amount that would have been paid to the players had their tickets not been programmed to be losing tickets.  Click here to read the players’ 2nd Amended Petition and the list of Plaintiffs in Exhibit A to the petition.

By Richard LaGarde

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419 Lottery Players Join Lawsuit Against GTECH http://www.seonewswire.net/2015/02/419-lottery-players-join-lawsuit-against-gtech/ Fri, 06 Feb 2015 17:20:31 +0000 http://www.seonewswire.net/2015/02/419-lottery-players-join-lawsuit-against-gtech/ Four hundred and nineteen lottery players joined an existing lawsuit filed by 520 plaintiffs against GTECH Corporation.  In their First Amended Petition filed on January 23rd, the lottery players sued to collect their winnings from the controversial Texas Lottery’s Fun

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Four hundred and nineteen lottery players joined an existing lawsuit filed by 520 plaintiffs against GTECH Corporation.  In their First Amended Petition filed on January 23rd, the lottery players sued to collect their winnings from the controversial Texas Lottery’s Fun 5’s scratch-off game.  The suit alleges that GTECH programmed its computers to reject winning tickets as losers even though the tickets met all the requirements of being winning tickets under the official regulations for the Fun 5’s game.

The dispute revolves around Game 5 of the Fun 5’s game.  The instructions on the ticket read as follows:

“Reveal three “5” symbols in any one row, column or diagonal, win PRIZE in PRIZE box.  Reveal a Money Bag “ ” symbol in the 5X BOX, win 5 times that PRIZE.”

The official regulations for the Fun 5’s game read as follows:

“GAME 5: If a player reveals three “5” Play Symbols in any one row, column or diagonal, the player wins the PRIZE in the PRIZE box. If a player reveals a “MONEY BAG Play Symbol in the 5X BOX, the player wins 5 times that PRIZE.

The lawsuit alleges that GTECH programmed its computers to reject tickets as losers unless they met a requirement not found in the instructions or in the official game regulations as follows:

Reveal three “5” symbols in any one row, column or diagonal, win PRIZE in PRIZE box.  [And, if you also] Reveal a Money Bag “ ” symbol in the 5X BOX, win 5 times  [the] PRIZE [won].

The suit alleges that GTECH was negligent when it programmed its computers to reject tickets as losers that should have been declared winners.  The suit also alleges that once GTECH learned of its mistake, it intentionally continued to use the non-conforming computer program to tortiously interfere with the expectancy the lottery players had of receiving the prizes they had been promised.

The suit was filed in Travis County state district court by Houston attorney Richard LaGarde and by his co-counsel, Manfred Sternberg.  Click here to read a copy of Plaintiffs’ 1st Amended Petition

By Richard LaGarde

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$248 million suit filed against operator of Texas Lottery http://www.seonewswire.net/2014/12/248-million-suit-filed-against-operator-of-texas-lottery/ Tue, 09 Dec 2014 21:56:33 +0000 http://www.seonewswire.net/2014/12/248-million-suit-filed-against-operator-of-texas-lottery/ A $248 million lawsuit was filed today against GTECH Corporation, operator of the Texas Lottery.  A group of 520 lottery players sued to collect their winnings from the controversial Fun 5’s scratch-off game.  The suit alleges that GTECH programmed its

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A $248 million lawsuit was filed today against GTECH Corporation, operator of the Texas Lottery.  A group of 520 lottery players sued to collect their winnings from the controversial Fun 5’s scratch-off game.  The suit alleges that GTECH programmed its computers to reject winning tickets as losers even though the tickets met all the requirements of being winning tickets under the official regulations for the Fun 5’s game.

The dispute revolves around Game 5 of the Fun 5’s game.  The instructions on the ticket read as follows:

  • “Reveal three “5” symbols in any one row, column or diagonal, win PRIZE in PRIZE box.  Reveal a Money Bag “ ” symbol in the 5X BOX, win 5 times that PRIZE.”

The official regulations for the Fun 5’s game read as follows:

  • “GAME 5: If a player reveals three “5” Play Symbols in any one row, column or diagonal, the player wins the PRIZE in the PRIZE box. If a player reveals a “MONEY BAG Play Symbol in the 5X BOX, the player wins 5 times that PRIZE.

The lawsuit alleges that GTECH programmed its computers to reject tickets as losers unless they met a requirement not found in the instructions or in the official game regulations as follows:

  • Reveal three “5” symbols in any one row, column or diagonal, win PRIZE in PRIZE box.  [And, if you also] Reveal a Money Bag “ ” symbol in the 5X BOX, win 5 times that [the] PRIZE [won].

The suit alleges that GTECH was negligent when it programmed its computers to reject tickets as losers that should have been declared winners.  The suit also alleges that once GTECH learned of its mistake, it intentionally continued to use the non-conforming computer program to tortiously interfere with the expectancy the lottery players had of receiving the prizes they had been promised.

The suit was filed in Travis County state district court by Houston attorney Richard LaGarde and by his co-counsel, Manfred Sternberg.  Click here to read a copy of the petition.

By Richard LaGarde

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