Florida Attorney General James Uthmeier has filed a lawsuit against several major sweepstakes casino operators, including Stake, Chumba Casino, LuckyLand, and Global Poker. This legal action seeks to halt their activities and recover money that consumers allegedly lost. The lawsuits were submitted in Hillsborough County and focus on these operators' dual currency business models, where clients buy virtual "Gold Coins" paired with "Sweep Coins," enabling them to engage in various casino games, such as poker, blackjack, and slots.
Uthmeier stated, "If it looks like a casino, takes real money like a casino, and pays out like a casino, it is a casino, and it is illegal under Florida law." The lawsuits argue that marketing these services as sweepstakes does not exempt these operators from Florida's gambling laws.
The state is also requesting that New York courts impose permanent injunctions against the companies and order repayment for consumers who lost money using their services. Furthermore, Florida has accused these operators of breaching the state’s Unfair and Deceptive Trade Practices Act. If the claims are substantiated, the operators may face fines and be required to reimburse affected consumers.
This action mirrors similar lawsuits filed in various other states, including California, New York, Connecticut, Indiana, Maine, Louisiana, and Tennessee, where legislative or enforcement measures have been taken. In Indiana, following the enactment of House Bill 1052, several prominent operators, such as Chumba Casino, Stake.us, McLuck, WOW Vegas, LuckyLand Slots, and Global Poker, have ceased or suspended their operations.
