Game developer Virtual Gaming Worlds, known for its free-to-play online games, is facing a class action lawsuit in Georgia alleging that the company’s websites are violating local gambling regulations.
Real-money online casinos have yet to be legalized in the Peach State, so players must visit social and sweepstakes casinos to play slots and table games online. VGW is one of the largest sweepstakes casino brands in the United States, operating brands like Chumba Casino, Luckyland Casino and Global Poker.
The plaintiff is Destiny Kennedy, a Georgia woman who claims that the dual-currency sweepstakes format distracts from the company’s illegal casino operation.
“VGW proactively defrauds Georgia citizens because VGW advertises that its operations are legitimate and legal when, in reality, VGW knowingly and willfully operates what constitutes an illegal gambling enterprise,” Kennedy said.
Kennedy is seeking to recover the money she lost while playing on the platform, which she claims was around $1,150. She argues that while free-to-play currency exists, the clear goal is to buy and accrue Sweeps Coins to exchange them for real money. She also noted within the complaint that she opted out of the arbitration clause via email when she set up her account so the suit does not appear eligible to be sent to arbitration.
She sued on May 17 in the state Superior Court, and the suit was sent to the Georgia Northern District Court. VGW has yet to file a response.
This year, VGW was among three online gaming companies that received cease-and-desist letters for operating illegally in Michigan.