Quoted from Skins:
I just can't wrap my head around the fact they're willing to walk away and start over. That makes ZERO business sense. I have learned in business being right doesn't always mean being right.
It's simple: if ARA can't sell their produced machines to DP, they can't (legally) sell them at all since DP has those rights, turning this expensive stock of pinball machines to a worthless pile of junk. That's DP's ace in this. If they pay the extra €1000,- they will probably lose money on each machine (not exactly something you set out to do if you're an entrepreneur) and they also set a precedent for all machines that still need producing. And "starting over" might be simpler than it looks, since everything is developed already and they can leave a lot of costs behind with ARA.