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News
State
Settles with Two TouchPlay Litigants
Posted 8 July 2008
The Attorney General’s Office has reached a settlement with Greater
America Distributing, Inc., with offices in Johnston, Iowa, and
Nebraska Technical Services, Inc., Omaha, Nebraska. Greater America
Distributing was a distributor of monitor vending TouchPlay machines,
and Nebraska Technical Services was a retail operator in the TouchPlay
program.
The settlement was approved by the State Appeal Board, which met Monday
afternoon in Des Moines.
Under the settlement, the state will pay a total of $2.9 million to
Greater America Distributing and Nebraska Technical Services, and the
companies will give up all claims and dismiss their portions of the
lawsuit. As part of the settlement, Greater America Distributing also
agreed to forgive debts owed them by certain operators relating to
leases of TouchPlay machines, including operators who are part of
ongoing litigation as well as debts owed by TouchPlay operators not
involved in litigation. Greater America Distributing and Nebraska
Technical Services, as part of the settlement agreement, acknowledge
the state’s denial of liability and that the settlement does not
constitute any admission of liability or wrongdoing.
Assistant Attorney General Jeffrey Peterzalek explained some of the
reasons for the settlement in a letter to the Appeal Board, which
consists of the State Auditor, State Treasurer, and the head of the
Department of Management: “In light of the complexity of the case, the
potential exposure to the State, as well as other pending litigation
involving TouchPlay, it was decided to attempt to settle the matter.
The parties participated in extensive negotiations, including
mediation, and were able to come to a settlement of all claims made by
Greater America Distributing and Nebraska Technical Services and any
affiliated companies. . . .”
Greater America Distributing and Nebraska Technical Services were
plaintiffs in the Siggins et al lawsuit, joining the suit December 21,
2006. Numerous plaintiffs remain in that suit, and trial remains set
for Sept. 8, 2008.
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