Florida Attorney General James Uthmeier has taken legal action against several major sweepstakes casino operators, including Stake, Chumba Casino, LuckyLand, and Global Poker, aiming to halt their operations and recover funds lost by consumers. The lawsuits were filed in Hillsborough County and center around the operators' use of a dual currency business model. Customers purchase virtual "Gold Coins," which are paired with "Sweep Coins" that enable them to engage in various casino games, such as poker, blackjack, and slot machines.
Attorney General 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 suits argue that branding these services as sweepstakes does not exempt the operators from Florida's gambling regulations.
Additionally, Florida is seeking permanent injunctions from New York courts against these companies and restitution for consumers who may have suffered financial losses while using their services. The state also claims that the operators have breached Florida's Unfair and Deceptive Trade Practices Act. Should these allegations be substantiated, the operators could face penalties and be required to repay consumers.
Florida's lawsuit mirrors similar actions taken by other states in the U.S., including California, New York, Connecticut, Indiana, Maine, Louisiana, and Tennessee, all of which have enacted legislative or enforcement measures. In Indiana, several prominent operators, such as Chumba Casino, Stake.us, McLuck, WOW Vegas, LuckyLand Slots, and Global Poker, ceased or suspended operations following the enactment of House Bill 1052.
