A Georgia woman has filed a class action lawsuit against VGW Holdings Limited, the parent company of Chumba Casino and Luckyland Slots. The plaintiff, Destiny Kennedy, alleges that VGW operates illegal gambling websites under the guise of social casino games. Kennedy claims she lost approximately $1,150 playing these games and seeks to represent other Georgia consumers who have suffered similar losses.
Allegations of Misrepresentation
Kennedy’s lawsuit accuses VGW of misrepresenting its gambling websites as platforms for “just for fun gameplay.” In reality, these sites function as internet gambling casinos where users wager and lose real money. The lawsuit asserts that VGW knowingly operates an illegal gambling enterprise while advertising it as legitimate and legal. This misrepresentation has allegedly led to significant financial losses for many users.
Legal Basis for the Lawsuit
The lawsuit argues that VGW violated Georgia Code § 13-8-3, which prohibits illegal gambling activities. Kennedy is demanding a jury trial and seeks monetary relief for herself and all class members. The case, titled Kennedy, et al. v. VGW Holdings Limited, et al., is filed in the U.S. District Court for the Northern District of Georgia.
Impact on VGW Holdings Limited
VGW Holdings Limited, operated by billionaire Laurence Escalante, is a highly profitable online casino business. The company focuses on the North American market and operates popular platforms like Chumba Casino and Luckyland Slots. These platforms offer digital poker machines and card games, attracting a large user base. However, the legal challenges in the United States, VGW’s most lucrative market, could significantly impact the company’s operations and reputation.
Previous Legal Challenges
This is not the first time VGW has faced legal issues. Earlier this year, a separate class action lawsuit was filed against Roblox Corp., Satozuki Ltd., Studs Entertainment, and RBLX Wild Entertainment. This lawsuit claimed that these companies allowed minors to gamble online using in-game currency. Additionally, VGW Malta Ltd., another subsidiary of VGW Holdings, agreed to pay $11.75 million to settle a class action lawsuit in Kentucky. The lawsuit alleged that VGW Malta violated Kentucky gambling laws by selling virtual coins for slot games.
Details of the Kentucky Settlement
The Kentucky lawsuit, filed by Amy Jo Armstead, claimed that VGW Malta’s practices harmed her and others by violating state gambling laws. Armstead alleged that she lost over $7,000 playing these games. The settlement included all Kentucky residents who spent $5 or more at Chumba Casino or Luckyland Slots within a specified period. VGW Malta did not admit wrongdoing but agreed to settle to avoid litigation costs and risks.
Representation and Case Information
Kennedy is represented by Barry Williams. The case number for the lawsuit is 1:24-cv-02184, and it is being heard in the U.S. District Court for the Northern District of Georgia. The lawsuit seeks to recover monetary losses for all class members who played on Chumba Casino, Global Poker, or Luckyland Slots during the applicable limitations period.
Reader Engagement and Additional Information
Readers who have lost money on Chumba Casino, Global Poker, or Luckyland Slots are encouraged to share their experiences in the comments section. Additionally, readers can subscribe to a free newsletter for updates on cash claims from various lawsuits every week. It is important to note that Top Class Actions, the source of this information, is not a settlement administrator or law firm. They provide legal news and updates but do not process claims or offer legal advice directly related to settlements.
Conclusion
The lawsuit filed by Destiny Kennedy against VGW Holdings Limited highlights the ongoing legal challenges faced by online gambling platforms. As the case progresses, it will be crucial to monitor its impact on VGW’s operations and the broader online gambling industry. The outcome could set a precedent for how similar cases are handled in the future, potentially leading to stricter regulations and oversight of online gambling activities.
