Betfred has found itself in trouble after allegedly forgoing to pay one of its affiliate partners. The plaintiff is now seeking damages, attorney fees and court costs.
WeWinGames Had a Deal with Betfred
As reported by gaming news outlet NEXT.io, the lawsuit was filed by affiliate firm WeWinGames on November 12. WeWinGames claimed that the gaming operator had violated its end of the deal after forgoing its payment for affiliate marketing services.
The lawsuit, which was filed in Clark County District Court, noted that Betfred had entered into an agreement with WeWinGames in 2022, in which the latter company agreed to offer affiliate services to the operator and channel customers toward its mobile sportsbook in the states of Arizona and Colorado.
As per the agreement, Betfred should have paid a $300 commission for every customer sent by WeWinGames who created a gaming account and deposited at least $10.
The plaintiff further added that the deal was eventually expanded to include Ohio. It was also amended to include higher commissions for higher-value consumers who wagered significant sums on the platform.
Betfred Stopped Communicating with WeWinGames
In its complaint, WeWinGames insisted that it had followed its end of the bargain, channeling players toward Betfred’s sportsbook. After completing all necessary verifications for customer acquisitions in October 2022 through February 2023, the marketer sent invoices totaling $366,900 to Betfred. The complaint affirmed that Betfred did pay the first $174,900 of the sum.
According to the plaintiff, however, by August 2023, Betfred had stopped communicating with the affiliate services provider. As a result, WeWinGames’ invoice for December 2023, which totaled $192,000, went unpaid.
The plaintiff says that Betfred only responded in March 2024 to request a copy of the original agreement between the two companies.
As a result, WeWinGames has now filed four claims. These include:
- Breach of contract
- Breach of the implied covenant of good faith and fair dealing
- Unjust enrichment
- Account stated
The marketer is seeking damages, attorney fees and court costs.
Betfred Has Been Struggling in America
The complaint comes amid an already challenging period for Betfred, which has been forced to scale back its operations in the United States amid suboptimal performance in state betting markets. Because of these hurdles, the operator opted to close shop in several states, including Colorado, Maryland and Ohio. The company recently announced its exit from Virginia as it departure from Arizona loomed.
Overall, Betfred has been scaling down its business in North America, suggesting that a departure from the US might be on the table.