According to reliable source from poker industry veterans, there will be a shocking news in near future. PokerStars Asia’ only partner, 6UP, plans to initiate legal action against PokerStars’ parent company, Flutter Entertainment in London for their failure to perform and violate the terms of the agreement, and unilaterally terminate the partnership simultaneously. Their action was consequential for the loss of 6UP’s goodwill and profits and disregarding the interest of players.
6UP is acknowledged as the sole partnership of PokerStars in Asia. Since 2019, PokerStars, which is a subsidiary of The Stars Group and 6UP have signed an agreement about their collaborative partnership in Asia. They officially launch the online pokers platform and share the revenue which mainly generated from China.
By the rules and regulation of poker industry, the term refer that if either party proposes to terminate this agreement during the agreement period, it must give the other party a written notice in advance. The contract can be terminated only when after both party sign the termination agreement.
On 9/1/2020, without the knowledge of 6UP, PokerStars issued an official withdrawal from the Asian market (China, Hong Kong, Taiwan, and Macau).After received the withdrawal notice 6UP negotiated with Poker Stars with great endeavor but soon their communication ended in a stalemate. Poker Stars insisted on closing the Asian market regardless of the benefits and interest of customer in the Asian region. According to the valid source, the current 6UP is operating normally but PokerStars closed their platform entrance and causing the customer unable to transfer their remaining credit.
PokerStars is the world’s largest online poker platform which has substantial amounts of market shares in Asia especially China. They conducted a perfunctory action on the contract is considered as an exploitation to their only partner in Asia, 6UP, and their decision are considered as hasty and irresponsible.
6UP will authorize legal action against Flutter Entertainment, the parent company of PokerStars, for the purpose to justify the terms and agreement that are agreed upon and seek compensation for loss of goodwill and profits.
We are looking forward for the result from the justification from this commercial dispute. A party that not only abandon the interest of partners and also violate the rights of customer must bear the legal consequences and their reputation will be damaged in the long run.