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Gaming platform Roblox has designed a scheme where it allows its users to buy any content, then deletes some of it in an attempt to look as though it’s carefully moderating its platform, without giving refunds, a new nationwide class action lawsuit alleges.
The class action lawsuit was filed by Plaintiff Jane Doe, a minor represented by her father John Dennis, against Roblox Corporation in a California federal court Tuesday.
Roblox is one of the largest and fastest growing gaming platforms in the world, designed to bring users together in a virtual universe, the class action explains. The company makes money when users purchase digital content for their avatars to use in the virtual universe.
During the pandemic, the market for Roblox’s product surged as people were forced to stay home. Roblox’s revenue jumped 68 percent in the first nine months of 2020, while its user base of mostly children surged 82 percent, the class action states.
“However, even though the loyalty of millions of children has turned Roblox into a wild success during a time when many other businesses have suffered, Roblox systematically takes advantage of them.”
The class action says Roblox has earned significant negative attention as a dangerous space for kids, due to complaints of predatory conduct including simulated violence, simulated sex and simulated rape.
However, the class action lawsuit alleges the predatory conduct reaches far beyond that which occurs at the hands of other nefarious users and third parties. “Defendant itself seeks to fleece its own users in a clever content deleting scheme,” it says.
The company has faced a problem of “competing financial incentives,” the claim alleges. On the one hand, objectionable content is in high demand and valuable to the platform’s bottom line, on the other, so is the perception that Roblox maintains community standards.
As a result, Roblox designed a content deletion scheme disguised as “content moderation” to “escape this double-bind and to ensure a financially beneficial outcome,” the class action alleges.
After its users have paid for their purchases, Roblox then performs “sham” content moderation by deleting content it says violates its policies, the class action alleges.
“Roblox then refuses to refund anything to its users for their deleted content.”
When users report that their content has disappeared in error and demand refunds, Roblox deflects by alleging the content violated the platform’s policies, without any actual detail, the class action says.
The claim says Roblox even deletes content that does not appear to violate any policies whatsoever, and appears to be an arbitrary choice to create demand to buy new content.
“The result is a win-win for Roblox. Removing content that may on its face violate the platform’s policies earns Roblox the appearance of content moderation, while dovetailing with Roblox’s financial interests,” the claim states. “Defendant Roblox must be held accountable for its content deleting scheme.”
The class action is alleging violations of California unfair competition law, consumer law, fraud, conversion and unjust enrichment, and is seeking to represent all Roblox users who purchased content on the Roblox platform that was later deleted.
It is asking for certification of the class action, an injunction, damages, costs and fees and a jury trial.
Meanwhile, Roblox is not the only one in the games industry embroiled in a lawsuit. Fortnite’s publisher, Epic Games, is currently engaged in a legal fight with Apple over whether the latter uses “monopolistic” practices in maintaining its “walled garden” app store, where it takes a 30 percent cut of all payments made.
What do you think of Roblox’s business practices? Let us know in the comments!
The plaintiff is represented by Rafey Balabanian and Lily Hough of Edelson PC.
The Roblox Content Deletion Class Action Lawsuit is Jane Doe, et al., v. Roblox Corporation, Case No. Case 3:21-cv-03943, in the U.S. District Court Northern District of California San Francisco Division.
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296 thoughts onRoblox Fleeces Child Users Through ‘Clever’ Content Deleting Scheme, Class Action Lawsuit Alleges
My grandson said one of his accounts was banned. Also, his avatar was deleted after he purchased the cosmetics for it and he didn’t receive a refund (remember these are children not adults). These children are not getting their robux back and that is the big concern for them!!!
My grandson said one of his accounts was banned. Also, his avatar was deleted after he purchased the cosmetics for it and he didn’t receive a refund (remember these are children not adults). These children are not getting their robux back and that is the big concern for them!!!
Add me please
Please add my children
Add me please
Please add me