Courtney Jorstad  |  April 15, 2015

Category: Consumer News

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double-down-casinoDouble Down Interactive LLC was hit with a class action lawsuit by an Illinois woman for allegedly operating an unlawful quasi-casino with “camouflaged” gambling with its Double Down Casino apps.

Plaintiff Margo Phillips claims in the unlawful gambling class action lawsuit filed in an Illinois state court on April 10 that Double Down is operating unlawful gambling devices.

Customers download Double Down Casino onto their computers via Facebook, their Android or Apple iOS devices, in which customers can play slot machines games, roulette, black jack and other casino games.

When customers first download Double Down, they are given a bunch of virtual chips for free to use to play on the various games. After those chips are lost, customers may then buy more chips, which start at $2.99 for 150,000 chips. Customers are able to then “win millions of additional chips that they would otherwise have to purchase.”

However, players are also able to “cash out” their chips, by selling their accounts on a secondary market.

Phillips explains that Double Down Casino is an example of a “free-to-play” videogame that has become common with “the proliferation of internet-connected mobile devices.”

According to the Double Down Casino class action lawsuit, “in 2012, free-to-play games of chance generated over $1.6 billion in worldwide revenue and are expected to grow to over $2.4 billion by the end of 2015.”

As a result, “with free-to-play games of chance, developers have begun exploiting the same psychological triggers as casino operators.”

Phillips cites gaming experts, who explain that the game makers only need a very small percentage of their customers to pay for the virtual currency to be profitable.

The Illinois woman also cites researchers who have “found that [free-to-play] casino gamers share many similar sociodemographic characteristics (e.g. employment, education, income) with online gamblers.”

The researchers also found that playing free-to-play games lead players to eventually opt for online gambling.

“The similarity between free-to play games of chance and games of chance found in casinos has led governments across the world to intervene to limit their availability,” the Double Down Casino class action lawsuit explains.

“Unfortunately, such games have eluded regulation in the United States. As a result . . . defendant’s Double Down Casino has thrived, and thousands of consumers have lost millions of dollars unwittingly playing defendant’s unlawful game of chance,” the unlawful gambling class action lawsuit adds.

“Double Down Casino has been immensely profitable. In 2014, defendant saw revenues of over $240 million from the sales of online chips in its videogames,” Phillips says in the unlawful gambling class action lawsuit.

“However . . . defendant’s Double Down Casino games are nothing more than camouflaged unlawful games of chance,” she explains.

Phillips claims that after she purchased Double Down Casino, she bet and lost more than $1,000 from January 2013 through 2015.

She is seeing to represent a class of Illinois residents “who lost $50 or more to defendant through Double Down Casino.”

The Illinois woman is charging Double Down Interactive with violating the Illinois Loss Recovery Statute and unjust enrichment.

The unlawful gambling class action lawsuit is asking that Double Down pay “the amount of losses suffered by Plaintiff Phillips and each member of the class.”

A similar class action lawsuit was filed on April 10 against Sky Union, LLC, makers of the virtual game Castle Clash, in which players must pay additional money to purchase “gems” in order to make progress in the game. Plaintiffs Jose Soto, Christine Exelby and Tanner Eastman all allege that Castle Clash is also an unlawful game of chance.

The plaintiff is represented by Rafey S. Balabanian, Benjamin H. Richman, Amir C. Missaghi, Courtney C. Booth  of Edelson PC.

The Double Down Casino Unlawful Gambling Class Action Lawsuit is Margo Phillips v. Double Down Interactive LLC, Case No. 2015CH06068, in the Circuit Court of Cook County, Illinois County Department, Chancery Division.

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46 thoughts onClass Action: Double Down Casino Is Unlawful Gambling

  1. Diane Hammond says:

    Maybe something needs to be done not only with DoubleDown but with DoubleU Casino themselves. They have done the same thing to me. Stole thousands of dollars with the promise of wins. Never got any wins. Spent and took money off my credit card and denied it. Lied cheated and stole from many people who believed their lies about winning.

    1. Ayzle laird says:

      That’s called gambling you play you lose

    2. JoAnne O. says:

      I’m in the same boat and feel your pain. DoubleDown beats people by making them think that they will win more if they bet more. DD has a whole line of come on’s to lure gamblers into their casino.

      1. De says:

        They’re still using tricks to get people to buy chips. Example, one they had just last week, “for every dollar spent, gives you an entry into winning 300,000,000 chips. Now only 15 people were chosen. How many people fell for that though? Their tournaments are a joke too. More “guests” win than actual people. You know those “guests” are their employees. DDC is a joke.

    3. JOLENE PEREZ says:

      I’ve been a Regular, Player, Payer and (so called) Supporter of DUC for 8+ years.
      Something needs to be done about their Dishonest Practices etc, Has anything ever developed

    4. Robb S. says:

      Why would anyone use their real money to purchase fake money that you cannot cash back out or in any way win anything of monetary value? I’ve played on Doubledown (free of course) and though yes they’re obviously shady thieves they never offered in any way any type of cash winnings, only wins of Doubledown credits which are of no valid at all beyond being able to keep playing. Plus none of these places are regulated like actual gambling casinos so that means they can cheat as much as they like. They want you to buy more worthless credits because that’s how they make money and so it’s obvious they will screw you over so you’ll buy more credits and make them more money and there’s nothing to stop them from doing this.

      Unless you’re playing on the real state regulated casino apps like MGM or DraftKings you are literally throwing your money out the window and enriching crooks and Russian software developers. Anything but the regulated casinos is a scam, period.

  2. Queenjazze MAYO says:

    I HAVE BEEN DEALING WITH THIS MESS SINCE 2012 – PLEASE HELP!

  3. jelai timberland says:

    Thought-provoking comments . I was fascinated by the insight – Does anyone know where my business might acquire a sample IA Class D Update Casino Operators/ Not-for-Profit copy to fill in ?

    1. mica delphor says:

      Hi Jelai, my colleague filled out a template IA Class D Update Casino Operators/ Not-for-Profit example at this place https://goo.gl/B8oHQ2.

  4. sandra churchfield says:

    I want to know how i can get in on this lawsuit. Double down casino have ripped me and my family members off for thousands i noticed that if we didn’t buy tokens we would not win nothing but if we did. it sounded like and looked a lot faster.. they would give a little then shut it off winning nothing til it was gone.it would go so slow . i have told them over and over. the last time i told them that i could not and have not been able to get a bonus on none of the games they turned it on .. i won 6 billion tokens. then they shut it off .. it was gone in 4 days. me and my family all say the same thing . it was going so slow no way would it pay anything.. that is rigged.. we have not and will not ever buy tokens on none of the game i believe they r all the same.a rip off.. they take advantage of the old.. there should be a law against that.

    1. Top Class Actions says:

      Unfortunately, this particular case was dismissed in March 2016. We offer a submission form on our website for you to fill out if you are seeking class action legal help. Attorneys will then review your submission to determine if you have a case. If they feel you qualify, they will contact you directly. You can submit your information here: https://topclassactions.com/start-a-class-action/.

      1. Regina says:

        I disagree with this comment. I recently received my claim form and it must be submitted prior to April23 2023 . double down settled without admitting culpability.

    2. Queenjazze MAYO says:

      AMEN.

    3. Ayzle laird says:

      Yes that’s like going to Vegas and losing then you file a suit against them.do you think you would win? It’s called gambling and I don’t think they”turn the machines” off just turn it off for a while then come back and try it again or don’t bring gambling into your home!

  5. Joe says:

    So is it possible to win actual money with the free chips they give you?

  6. kevin barney says:

    These charges are not frivolous they are legitimate, do to false advertising and the perception of
    real money. I have a good lawyer that is looking into this.
    Have Patience

  7. Queenjazze MAYO says:

    Attn: Top Class Action: I have a problem with PokerStars Security. They are not understanding that someone in their Security Authorized my use to my Visa Card for the state of Alabama. I have a gambling problem and that should have never happen. All I WANT IS MY $383.77 BACK INTO MY ACCOUNT. Please help me. Attn: PokerStars In response to your investigation of my account is not correct, Somebody at PokerStars Security allowed for my Visa card to go through so you all could make money.I live in the state of Alabama and never should have been allowed to used my Visa card. I am going to file a Class Action Law Suit regarding this matter. Who do you think you are to throw me off your evil fraudulent Poker that you go after people that have nothing and just want to have fun. I want my $383.77 cent back into my account ASAP. Thanks, Queenjazze aka, Jasmine Mayo

  8. queenjazze says:

    Nobody cares about what Double Down Casino did to people monies. No Justice. Not right. Where;s my money?

  9. Jasmine Mayo says:

    HAVE YOU HEARD ANYTHING ON THIS LAWSUIT?

    1. Queenjazze MAYO says:

      WHY WON’T THEY PAY? NOT FAIR

  10. Angel Turchie says:

    Double Down Casino also cheats people in their tournaments, saying more people are entered in a tour. and then when you enter there is only half the amount of people which brings down the total prize in the end! I would not enter a tournament of 500 people paying 1,000,000. if only 15 people enter. not worth the final winnings.

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