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Bonus TL;DR
- A proposed Louisiana class-action lawsuit accuses DraftKings and FanDuel of using AI-backed personalization to exploit problem gamblers.
- The plaintiffs seek recovery of their deposits and allege failures involving self-exclusion safeguards and addiction warnings.
Three Louisiana residents filed the complaint on Oct. 22 in the Civil District Court for the Parish of Orleans.
The lawsuit challenges how the operators use customer data and whether their mobile sportsbook apps adequately protect vulnerable users. Its claims concern sports betting apps rather than online casino products.
The plaintiffs allege the companies use customer data to identify people with gambling disorders and deliver personalized inducements that keep them wagering despite signs of harm. The complaint also alleges the operators ignore or bypass self-exclusion and responsible gaming tools in violation of Louisiana’s Sports Wagering Act.
The operators use “creative, algorithmically-crafted inducements to keep people in the game, even when it is clear the game is causing those users serious harm.”
These are allegations in a civil complaint, not findings by the court.
Plaintiffs Seek Deposits Back Under Product Liability Claims
The initial plaintiffs are Adrian Payton, Toi Smith and Yolanda Perkins. They allege the apps are defective under the Louisiana Products Liability Act, including because they lack adequate warnings about their addictive nature.
The complaint calls for “conspicuous, medically accurate warnings detailing the addictive potential of the interfaces,” according to Casino.org. It seeks recovery of all plaintiff deposits and a jury trial.
Bally’s Baton Rouge and Amelia Belle are also named as defendants because they provide Louisiana market access for the online sportsbooks.
As of Oct. 26, neither DraftKings nor FanDuel had filed a response to the complaint. The case is a proposed class action; the supplied reporting does not establish that a class has been certified or identify a scheduled hearing.
If you or someone you know has a gambling problem, call 1-800-GAMBLER.
More from bonus.com – FTC Begins Early Review of FanDuel, DraftKings Sportsbook Advertising – Gaming Money Flows Into Florida Governor Race, With Seminole Tribe, Draftkings and Fanduel Backing Donalds – 15 Lawsuits Target FanDuel, DraftKings Over Allegedly Addictive Sports Betting App Design
Source: As reported by Casino.org.
