Amazon has reached a settlement concerning a class-action lawsuit over the purchase of virtual casino chips. The preliminary approval for the $201 million settlement was filed in the United States Court for the Western District of Washington in relation to Amazon Web Services.
The lawsuit, initiated in 2023 by Steven Horn, alleged that Amazon violated Washington's consumer protection and gambling laws by permitting payments for social casino applications available on the Amazon Appstore. Horn's claims indicated that Amazon served as a payment processor, earning revenue through in-app purchases of virtual chips while charging a 30% commission for processing payments.
Despite denying the allegations, Amazon chose to settle the lawsuit to avoid further legal battles. As part of the agreement, the company will not make direct payments to affected individuals. Instead, the $201 million ruling will allow the plaintiff to collect reimbursements from developers of social casino applications.
This case is part of a broader campaign targeting technology firms linked to social casino platforms. Previous settlements with social casino developers have already resulted in over $650 million being returned to consumers across various regions in the United States.
