Courtney Jorstad  |  April 24, 2015

Category: Consumer News

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Game-warA Maryland woman has filed a class action lawsuit against app maker Machine Zone, Inc., alleging that its Game of War app is a de facto game-of-chance, or casino, which is illegal.

Plaintiff Mia Mason claims that she purchased Game of War in early 2014 onto her smartphone. By January 2015, she had already “lost more than $100” playing the game.

Game of War is free on Android and Apple iOS devices. Players “create virtual towns and armies, and battle other Game of War players” to play.

When players first download the game, it comes with complimentary chips. When these chips run out, players must purchase virtual gold beginning at $4.99 for 1,200 gold pieces.

“While players can use Gold to improve their virtual towns and hasten their advancement in the game, these benign uses of Gold merely obfuscate the unlawful game of chance Machine Zone operates within Game of War,” the Game of War class action lawsuit states.

“In this game of chance — appropriately named the ‘Casino’ — players routinely wager hundreds of dollars for the chance of winning valuable prizes,” it explains.

“Players that win the most valuable prizes can then ‘cash out’ by listing their Game of War accounts on the secondary market, with the cash value of accounts rising commensurate with the value of awarded prizes. Game of War accounts listed at online auction sites regularly sell for hundreds of dollars,” it adds.

According to the class action lawsuit, Machine Zone has made more than $600 million since early 2014 by selling gold and chips within the game.

“Once consumers purchase Gold, they are able to buy ‘Chips’ at the game’s ‘Casino,'” Mason explains. “Defendant’s aptly named Casino, though, is nothing more than an illegal game of chance camouflaged as a benign videogame.”

And she alleges that it functions no differently than a slot machine in a traditional casino.

“Similar to traditional spinning wheels found in casinos, consumers do not have any ability to control what prizes Defendant awards upon a spin,” the Game of War class action lawsuit claims.

“After pressing the button to spin the wheel, Defendant does not accept any input or action until it awards the prize — no skill on the part of the consumer affects the outcome of a spin,” the class action states.

“The outcome of a spin depends entirely on the rules Defendant has programmed into the Game of War Casino,” it adds.

Mason explains in the class action lawsuit that there has been a “proliferation of internet-connected mobile devices as led to the growth of so-called ‘free-to-play’ videogames.

However, these free-to-play games come with a catch, as many developers encourage consumers to download and play games for free while selling many low-cost items within the game itself.”

Such free-to-play games earned developers $1.6 billion in 2012.

“With free-to-play games of chance, developers have begun exploiting the same psychological triggers as casino operators,” the Game of War class action lawsuit says.

“Just as with casino operators, free-to-play developers rely on a small portion of their players to provide the majority of their profits. These ‘whales,’ as they’re known in casino parlance, account for just ‘0.15 percent of players’ but provide ‘over 50 percent of mobile game revenue,'” Mason explains.

“Unfortunately, such games have eluded regulation in the United States.”

Mason is looking to represent a Maryland class and a nationwide class of individuals “who purchased chips from defendant and lost the chips by wagering at defendant’s Game of War Casino.”

The Game of War class action lawsuit alleges violations of California law regarding slot machines, of California’s unfair competition law, unjust enrichment, and the Maryland Loss Recovery Statute.

She is asking for damages, in the amount that any customers have paid playing Game of War and injunctive relief.

The plaintiff is represented by Maria C. Simon of The Geller Law Group and by Rafey S. Balabanian, Benjamin H. Richman and Amir C. Missaghi of Edelson PC.

The Game of War Illegal Gambling Class Action Lawsuit is Mia Mason v. Machine Zone, Inc. in the U.S. District Court for the District of Maryland.

UPDATE: The Game of War Illegal Gambling Class Action Lawsuit was dismissed by the court on October 21, 2015.  The plaintiff then appealed the dismissal.  The appeals court affirmed the original ruling on April 10, 2017.

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92 thoughts onClass Action: Game of War is an Unlawful Casino Game

  1. Lara Lee says:

    The game is a scam, but there are also scammers in the game stealing purchases and leading players to believe the purchase did not go through. I’m embarrassed to admit it, but they were able to get away with stealing thousands from me before I realized it because I was addictd

  2. Heather says:

    Has anyone had a spouse that’s addicted to this game that lives in MD? My significant other has spent close to 10,000.00 on this game. I’m so worried as to what else he’s doing on the game and the line app.

    1. CK says:

      I was addicted to this game and spent thousands of dollars. We battle in the game and talk about our updates and battles on the line app. My husband sent me to rehab over this game.

  3. josh says:

    Winning a case on this basis would be laughable at best. The “casino” was an additive to the game. The “chips” could be purchased with virtual currency that could have been obtained freely through use of the loyalty points. To even suggest a lawsuit based on a single 99.99 purchase is funny in of itself, considering those that have spent several times that amount in a single day. The game was always, from the very beginning, set to make players pay to be the best.

  4. Paulette Roman says:

    So what happened in this case?

  5. Bikash says:

    This game is a scam, you spend thousands of dollars and all your updates will be obsolete in a month. Somebody need to file a case a close down this farce of a game

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