Class-action lawsuits in different states have kept pouring against Apple in recent weeks, with plaintiffs claiming that the tech giant promotes and profits from apps on its App Store that constitute illegal gambling under these states’ laws.
The most recent such suit was filed this past Friday in the Southern District of Ohio. Sean McCloskey, an Ohio resident, sued Apple in a class-action complaint that alleges the company “promotes, enables, and profits” from game apps from its App Store that constitute illegal gambling under “statutory law and the strong public policy of the state of Ohio.”
https://www.casinonewsdaily.com/2020/10/23/apple-google-hit-with-illegal-gambling-suits-in-alabama-connecticut/
Mr. McCloskey on behalf of other residents of the state who had downloaded the games in question from the App Store and had played them seeks to recover his and other players’ money spent on these games.
The recently filed suit alleges that Aplle allows consumers to download games that are “no more or no less than casino-style slot machines, casino-style table games, and other common gambling games.” These games are often referred to as free-to-play casino-style games.
However, as noted in Mr. McCloskey’s legal complaint, once a player downloads and opens such a game from the App Store, they are offered a set number of free ‘coins’ that enables them to play. A loss in the game results in a loss of coins and the player isn’t really given that much chance to win more coins.
When they eventually run out of coins, they are encouraged to buy more coins for real money in order to be able to keep playing.
In-App Purchases Violate Ohio Gambling Statute
Mr. McCloskey says he downloaded and played several of the games since July 2019 and purchased coins through the App Store to continue to play. He argued that he had to pay Apple “for the privilege of continuing to play the illegal gambling games.”
According to the lawsuit, the plaintiff or any other player cannot collect actual cash as a result of winning the casino-style games downloaded from the App Store, but they “have the ability to win and therefore acquire more playing time.”
This scheme is prohibited under Ohio gambling statutes which note that “valuable consideration is deemed to be paid for a chance to win a prize” when “a participant may purchase additional game entries by using points or credits won as prizes while using the electronic device.”
The plaintiff also pointed out that the Ohio Supreme Court has ruled that the scheme constitutes an illegal practice.
Mr. McCloskey and his legal team alleged that Apple is the “principal promoter and facilitator” of this illegal gambling activity because it controls downloadable apps and in-app purchases.
The plaintiff also noted that the tech giant and its App Store could geo-restrict games only to states where these are legal under local gambling laws in the way it geo-restricts real-money casino games.
A similar lawsuit has recently been brought against Goolge and its Google Play store in New Mexico. Casino News Daily also reported last week about similar complaints in Alabama and Connecticut.
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