The state has reached settlements with two more companies involved in the distribution and operation of TouchPlay machines. Bob Brammer, a spokesperson for Iowa’s Attorney General, says the state will pay Greater America Distributing of Johnston and Nebraska Technical Services of Omaha a total of $2.9 million.
A host of companies filed lawsuits against the state after Iowa lawmakers banned TouchPlay machines in May of 2006 over concerns that the games closely resembled slot machines. Brammer says the A-G’s office would prefer to avoid a trial.
"It’s our judgment that in light of the complexity of this litigation and the potential exposure to the state of what we could be ordered to pay if it went all the way to trial…basically, we decided it’s the best way to settle the matter," Brammer said of Monday’s settlement, which was approved by the State Appeal Board.
The state previously reached similar agreements with other companies. Brammer says the deals involve around six companies totaling $6.5 million. Dozens of other companies are still part of the TouchPlay lawsuit against the state that is scheduled to go to trial September 8. Brammer believes there’s potential for more settlements being reached in the next two months.
"We’ve said in the past that we’re open to settling with other litigants…on similar terms to what we have with certain parties so far," Brammer said.