Rational Group Appeals against New Jersey judge’s decision

Rational Group US Holdings Parent company of the world strongest online poker companies PokerStars and Ful Tilt Poker has filled its appeal against New Jersey state Superior court judge’s decision to  support Colony Capital’s request to stop Rational Group takeover of the Atlantic Club in Atlantic City.

Poker Stars parent group paid already $11 million in advance of the $15 million deal, which we must say that is – by far – the lowest price ever paid for a casino in New Jersey state. However on the 17 of  last month  it was ruled by state superior court judge Raymond Batten that Atlantic club could terminate the contract and also to keep the $11 million which hasbeen paid in advance,since April 26 was the last date for Rational group to obtain a preliminary approval from state authorities to own a casino.

The Rational Group claimed in the appeal that Batten made several errors like misinterpreting the time limit to close the deal, and as a result blocked New Jersey casino regulators from reviewing the Atlantic Club Sale. Rational Group also claims that judge Batten didn’t consider testimonies from Atlantic Club’s witnesses and actually relied on documents that  formally were not delivered as evidence.

Rational Group also argues that the 120-day deadline should have started not from the date the sale was rendered but from the day its application for state approval was complete.

Either party have the right to cancel the deal if Rational had not obtained state approval by April 26 according to the contract.

Starting on November 26 Atlantic City Casinos are scheduled to offer online wagering for their table games and slot machines for the first time, this is what drove Rational Group to overtake Atlantic Club.

Analyzers estimate that online wagering will raise the revenues of Atlantic City casinos between $200 million to $2 billion per year, while all the giants are trying to get their cut of the fortune that the city is starting to offer including some other names like 888.