Settlement Claims Initiated for Interactive DoubleDown Corporation Amounting to $415 Million
Let's Scoop the Details on the DoubleDown Interactive Settlement
In a jaw-dropping agreement, DoubleDown Interactive and International Game Technology Plc (IGT) agreed to fork over a staggering $415 million in a class-action lawsuit. The lawsuit revolved around the sale of virtual chips in several social casino-style games, such as DoubleDown Casino and related brands. If you've played these games and shelled out some hard-earned cash for virtual chips, you might be able to pocket a piece of that pie!
The settlement was reached in August 2022, and now, it's up to you to file a claim if you want a slice of that cash. But remember, the defendants deny any wrongdoing, so they're just trying to avoid further legal chaos and expenses.
Who Can Cash In on the DoubleDown Settlement?
Although the case was settled in Washington, it's not just Washington residents who are potentially eligible. If you've lived in the good ol' USA and played one or more of the following games on or before Nov. 14, 2022, then you may qualify:
- DoubleDown Casino
- Ellenβs Road to Riches
- DoubleDown Fort Knox
- DoubleDown Classic
The claims process is open until April 11, 2023. Once the deadline passes, JND Legal Administration will calculate how much each eligible party is owed. The calculation will consider the number of people filing a claim and the amount each individual spent on in-app purchases.
How Much Green Will DoubleDown Settlement Claimants Receive?
If you've wasted countless hours playing these games and spent a small fortune on virtual chips, you might be wondering how much you'll score. Well, the payout is based on your expenditures, so anyone who played for free and didn't buy chips won't receive a dime.
The payment estimate calculator on the website suggests that individuals who dropped less than $1000 on the games might receive 10% to 30% of their lifetime purchases. High rollers, though, can expect a larger chunk. The calculator maxes out at $100,000, so if your lifetime purchases were that much, you could score between $33,000 to $83,000.
If you'd rather not take part in the class action, you can opt-out by April 11, 2023. Doing so means you won't receive a payment, but you'll maintain the right to sue the defendants separately.
Now, it's time to decide if you want some of that sweet, sweet settlement money. If so, get ready to file your claim!
A Brief History of the Lawsuit
In April 2018, Adrienne Benson and Mary Simonson filed a lawsuit in Washington State. They argued that the defendants' games were illegal gambling, despite not awarding cash payouts. They claimed compensation for themselves and other class members under Washington's Recovery of Money Lost at Gambling Act (RMLGA), the Consumer Protection Act (CPA), and unjust enrichment laws.
According to Washington's RMLGA, residents who've lost money from illegal gambling have the right to seek and recover their losses. Meanwhile, the state's CPA protects individuals from unfair business practices. The plaintiffs believed advertising the casino as "free" but requiring players to purchase extra chips constituted an unfair business practice.
IGT owned DoubleDown from 2012 to 2017 and agreed to pay $269.75 million to cover that period. DoubleDown directly contributed the remaining $145.25 million.
As part of the settlement, DoubleDown agreed to implement responsible gaming practices, such as a self-exclusion option and updated language. They also agreed to adjust the games to allow players to buy additional free chips to continue playing. A key argument in this and similar lawsuits has been that the ability to extend play time by winning chips constitutes a "thing of value," which is a necessary component of legal definitions of gambling.
Another recent example was a class action suit against VGW, the owner of social casinos Chumba Casino and LuckyLand Slots. That case also ended in a settlement (for a smaller amount of $11.75 million) and focused on players in Kentucky. The terms of that settlement similarly included the addition of responsible gaming features and changes to the games to remove the need to buy or win chips to keep playing.
DoubleDown and IGT: Who Are They?
DoubleDown Interactive is a social gaming company that creates social casino games, including slots, poker, blackjack, and more. While not required, players can buy extra chips beyond the free ones. The social or sweepstakes casino format uses free chips instead of real money, with players winning prizes and gifts. Games are available on desktop, iOS, Android, and Facebook.
DoubleDown was founded in 2010 and was purchased by IGT in 2012 for $500 million. In 2017, IGT sold DoubleDown to South Korean social casino gaming company DoubleU Games for $825 million.
IGT is a large B2B supplier of games and technology for retail casinos, online gambling sites, and lotteries. Their products include slot machines, table games, video poker machines, online gaming platforms, and mobile gaming apps. Due to its relationship with IGT, DoubleDown offers many games that share themes with IGT's real money slots, such as Cleopatra, Wolf Run, Da Vinci Diamonds, and Wheel of Fortune.
- If you've played games like DoubleDown Casino, Ellenβs Road to Riches, DoubleDown Fort Knox, or DoubleDown Classic on or before Nov. 14, 2022, and spent real money on virtual chips, you might be eligible for a portion of the $415 million DoubleDown Interactive and International Game Technology Plc (IGT) settlement.
- The payment estimate calculator suggests that individuals who spent less than $1000 on the games might receive 10% to 30% of their lifetime purchases, while high rollers with lifetime purchases of $100,000 or more could receive between $33,000 to $83,000.
- DoubleDown Interactive, a social gaming company that offers casino-style games such as poker, blackjack, and slots, was purchased by IGT in 2012. After a class-action lawsuit over the sale of virtual chips in several social casino-style games, they agreed to implement responsible gaming practices and adjust the games to allow players to buy additional free chips.