Affilaite business WeWinGames has filed a lawsuit against Betfred, alleging breach of contract for unpaid affiliate marketing services.
Affiliate business WeWinGames filed a lawsuit against Betfred last Tueday (12 November), alleging breach of contract for unpaid affiliate marketing services.
According to the complaint filed in Clark County District Court, Nevada, WeWinGames claimed it entered into an agreement with Betfred in October 2022 to acquire customers for the sports betting company’s mobile gaming products in Arizona and Colorado.
The filing said the contract initially stipulated a $300 commission for each new customer who opened and deposited at least $10 in an account.
The agreement was later expanded to include Ohio and modified to include additional commissions for high-value customers who wagered significant amounts.
WeWinGames said it successfully provided marketing services and completed the required verification processes for customer acquisitions in October, November, and December 2022, as well as January and February 2023.
The company submitted invoices totalling $366,900 during this period, the first $174,900 of which were initially paid by Betfred.
However, the relationship deteriorated in August 2023 when Betfred allegedly stopped communicating with WeWinGames.
A December 2023 invoice for $192,000 went unpaid, with Betfred only responding in March 2024 to request a copy of the original agreement.
The lawsuit outlines four claims including breach of contract, breach of the implied covenant of good faith and fair dealing, unjust enrichment, and account stated.
WeWinGames is seeking damages, attorney fees, and court costs.
The lawsuit follows Betfred’s decision to scale back its North American operations in the face of a persistently low market share and a tricky path to profitability.
The operator exited Maryland, Ohio, and Colorado this year, with its North American chief Kresimir Spajic later telling EGR that a full US exit could be on the horizon.