A litigation issue that could have presented significant issues for Kindred Group has been circumvented after the Stockholm District Court ruled in favour of the company in a legal battle against Per Holknekt, a prominent Swedish fashion designer, and entrepreneur. Following the lawsuit’s resolution, the complainant, Holknekt, is now obliged to remit SEK 2 million (equal to $190,000) to offset the defendant’s legal fees.
Holknekt initiated the legal proceedings in July 2022, raising accusations that Kindred’s Unibet brand had exploited his gambling dysfunction. He claimed that Unibet had continually ensnared him with arduous marketing tactics, despite his visible struggles, thus inducing him to part with increased sums of money.
Holknekt, convinced that Kindred manipulated his gambling addiction and capitalized on his problem gambling, originally sought SEK 10 million (equivalent to $950,000) in recompense. For the record, the fashion mogul had previously spent SEK 26 million over the span of 15 years with the operator.
In a pointed rebuttal, Kindred challenged Holknekt’s allegations, querying the magnitude of the damage he alleged to have suffered. The gambling firm sought to underscore the thriving condition of the plaintiff’s business, asserting that he had established a new enterprise, regularly made appearances on radio broadcasts, and published an autobiography.
The legal battle finally commenced last month, but Holknekt’s efforts were thwarted, with the resolution of the trial in Kindred’s favour. The presiding judge sided with the gambling corporation, mainly due to the fact that Holknekt’s transactions were mainly with the Unibet brand, a subsidiary of Trannel.
According to the final judgement, there was no evidence to suggest any illegal earnings on the part of the group from Holknekt. Moreover, the court alluded to the inconclusive matter of the application of Swedish law to Kindred, considering its registration in Malta.
A Word of Caution to Gambling Corporations
Despite Holknekt’s failure to secure a legal victory, this case epitomizes the increasing legal challenges that gambling firms encounter in highly regulated environments. Safe gambling practices remain a crucial element in the legal landscape of gambling, and customers are likely to press charges against businesses they perceive as exploitative of their betting habits.
To illustrate, last year, Bettson was mandated to refund SEK 5.8 million to a client whom it had failed to adequately protect.
