Queen of Virginia, one of the largest skill-based gaming companies operating in the state, has filed nearly 150 breach-of-contract lawsuits against convenience store owners who host the company’s video games.
In these lawsuits, Queen of Virginia claims that several stores owe tens of thousands of dollars in damages for removing Queen machines and replacing them with similar games from a competitor. Court records show Queen of Virginia contracts include a broad non-competition clause that gives the company exclusive rights to have its games at any particular store.
Queen of Virginia has long characterized itself as a proponent of local businesses, particularly during the pandemic when many smaller stores were being forced to close. It believes that by entering these agreements, convenience and restaurants benefit both from a share of the game's income and increased footfall.
Pace-O-Matic is the parent company to Queen of Virginia, and its spokesperson Michael Barley commented: “Like most companies, we vigorously defend our contractual terms.”
However, the company is facing backlash from the convenience store owners. Attorney and former state delegate Steve Heretick said Queen of Virginia was acting like a “bully” who was trying to “corner the marketplace” at the expense of small business owners who don’t have the financial or legal resources to fight these lawsuits.
He believes that these lawsuits are an example of ‘hardball’ tactics being deployed in pursuit of gaming profits after Virginia opened its doors to casinos, poker and sports betting – all of which compete against the Queen of Virginia’s slots dynasty.
Heretick commented: “It’s an extremely aggressive tactic. Most of the smaller owners, especially convenience stores that have been working with us, don’t understand the legal nuances of the situation. All they know is they’re being threatened.”
