Amazon has reached a settlement in a class-action lawsuit concerning the purchase of virtual casino chips. The United States District Court for the Western District of Washington has granted preliminary approval for a settlement amounting to $201 million related to the case.
The lawsuit, initiated in 2023 by plaintiff Steven Horn, accused Amazon of breaching Washington's consumer protection and gambling laws by facilitating payments for social casino applications available on the Amazon Appstore. According to the claims, Amazon processed payments for in-app purchases of virtual chips and collected a 30% commission on these transactions.
Although Amazon denied any wrongdoing, the company chose to settle the lawsuit instead of pursuing further legal battles. Under the terms of the settlement, Amazon will not directly compensate affected consumers. Instead, the settlement allows the plaintiff to obtain the legal rights to seek reimbursement from the developers of the social casino apps involved.
This lawsuit is part of a broader legal initiative targeting technology firms over their roles in social casino platforms. Previous settlements with social casino app developers have already resulted in over $650 million being returned to consumers across various regions in the United States.
