Gaming equipment and services group Light & Wonder’s Dragon Train slot machine series will remain operational on Australian gaming floors after the Federal Court of Australia rejected a request from Aristocrat Leisure for an interlocutory injunction.
The news was initially published in a research note by Macquarie, which argued that the ruling had dispelled investor concerns about the Dragon Train units previously sold in Australia.
According to the report, Justice Stephen Burley issued the ruling on February 7th, denying Aristocrat’s application for the injunction. However, the judgment included a restriction on disclosing or publishing the reasons for the decision until further notice.
Benchmark Company analyst Mike Hickey commented that the ruling has alleviated concerns that ongoing litigation could affect games already sold in the Australian market. He added that the decision means Light & Wonder’s customers won’t need to take any action regarding their gaming floors, allowing the company to focus on its upcoming content for 2025. Approximately 10,000 units of Dragon Train are currently installed across Australia.
The ruling contrasts with one from the US District Court for the District of Nevada, which, in September, granted Aristocrat a preliminary injunction. This injunction temporarily blocked Light & Wonder from continuing or planning the sale, lease, or commercialization of Dragon Train in the US. The US court found that Aristocrat was likely to succeed in demonstrating that Light & Wonder had misappropriated its trade secrets in the development of Dragon Train.
The dispute, which began in March 2024, centers around Aristocrat’s claims that Dragon Train bears significant similarities to its own Dragon Link series. Aristocrat has accused Light & Wonder of intellectual property theft, including the copying of audio-visual elements, gameplay mechanics, and other deceptive trade practices. They also highlighted the presence of several former Aristocrat executives in senior roles at Light & Wonder, particularly two former designers involved in the development of Dragon Train.
In response to the US ruling, Light & Wonder announced plans to release a new version of the game, Dragon Train 2.0, to address the IP concerns raised by the Nevada court.
