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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
Both of my daughters have had items deleted after purchase, and they were not offensive or copyright issues, just suddenly deleted without any refund. ADD ME to this lawsuit please. I would like my girls to at least receive a refund if Roblox deletes what was paid for.
please add me
Please add me
add me
Please add me
This has happened to both my kids numerous times. Absolutely ridiculous
So as I speak with my son regarding this matter, I find that yes, he too has had items deleted that he purchased without any refund or compensation of any kind. As well, he conveys to me that he’s also spent money on items that’ve never been received, he’s had money just deleted from his account without spending it or approving it’s being transferred in any way, and also he states that there are advertisers on Roblox that lure the user to their sites with the promise of free Robux that have absolutely never even one time been given to him. Just now hearing all of this for the first time, I’m PISSED! Don’t even like the idea of spending money on this stuff in the first place but have been willing to on a very limited basis as a specials reward over the last year. 30 BILLION dollar company, with stock shares more than doubling in price from 45 dollars at initial offering on NYSE in March of this year, to over 96 dollars at the time of this comment. What’s wrong with this picture is that so many people are in it and my son and I are two of them!
This has happened several times to my children. How can I join the class action suit
Add me
Roblox has done this several times to my 3 kids! I’ve lost tons and tons of money