Scarborough Downs, the famed race track, entered into a contract with fellow track Suffolk Downs back in 2012, but since then tensions between the two organizations have been on the rise. Suffolk is threatening a $180,000 breach of contract lawsuit for an alleged failure to pay out profits from remote bets. Florida horse race fans will recognize the practice of remote betting, but if money was not changing hands as it should have, the suit may carry weight in court.
The agreement between the two tracks stipulated specifically how the two organizations would split profits from lost wagers. While Suffolk closed its doors as a functioning track last year, it has continued to operate as a broker to manage remote wagering between Scarborough Downs and other tracks. As a result, the original contract was still valid.
However, the suit filed by Suffolk claims nearly $160,000 in lost bets were not paid out as the contract requires. In addition to multiple fees and commissions, the total rises to almost $180,000. Representation for Suffolk says the contract breach does not appear to be a wilful denial of payment, but rather a failure to do so. However, this distinction may matter little in the court that will oversee the case, since in either case the money has not apparently changed hands.
Florida residents familiar with business practices will understand how important it is to meet the requirements of an agreed-upon contract. When bills due are left unpaid, a breach of contract suit is often a logical step for the company or interest left wanting. In this case, if Scarborough Downs is found to have violated the agreement, it could face a hefty bill made more expensive by court fees.
Source: pressherald.com, “Scarborough Downs hit with $180,000 breach-of-contract suit“, Scott Dolan, March 9, 2015