Roblox to face negligence, unfair competition claims it facilitated gambling for children

Roblox to face negligence, unfair competition claims it facilitated gambling for children

Article brief provided by Courthouse News Service
  • Michael Gennaro, Courthouse News Service
March 28, 2024 1:28 PM
  • Michael Gennaro, Courthouse News Service

A federal judge ruled Tuesday that popular online gaming platform Roblox negligently allowed minors to use in-game currency in online casinos, but won’t advance racketeering claims against the game.

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A class of parents sued in August 2023, claiming that the game acts as an illegal gambling ring for children. According to the parents in their complaint, their children lost money when they wagered Roblox’s in-game currency, Robux, on third-party gambling websites.

The parents claim that Roblox knowingly allowed these third-party gambling websites to accept wagers using Robux, and that Roblox made millions of dollars in the process since it charges a 30% fee on the gambling websites’ conversion of Robux back into dollars.