DraftKings Hit With Class Action Over Casino Bonus Conditions

DraftKings Hit With Class Action Over Casino Bonus Conditions

promotional practices related to its casino deposit bonuses. The suit, filed on April 18, 2025, accuses DraftKings and associated parties, including Crown PA Gaming, Inc. and Golden Nugget Online Gaming, LLC, of misleading advertising practices, especially around “risk-free” offers and deposit matches.

Lawsuit Challenges DraftKings’ Bonus Playthrough

According to the complaint, five customers – Kenneth Macek, Matthew Harner, Avi Setton, Lionel Alicea, and Robert Walker – allege that DraftKings’ casino promotions are structured to deceptively require players to risk their own funds under confusing and burdensome . Central to the case is the requirement that s must wager both their deposit and bonus amounts 10 to 15 times within a limited timeframe, often just seven days.

The lawsuit specifically highlights the difficulty of meeting these requirements. For example, in a 2023 promotion offering a $2,000 deposit match at DraftKings Casino, players would need to wager substantial amounts in a short period. The complaint outlines that a player betting $50 per hand at blackjack, where only 20% of bets contribute to the playthrough, would need to play for over 66 hours in a single week — nearly 10 hours each day — to fulfill the conditions.

Furthermore, if s cannot meet the playthrough obligations or choose to opt out, they risk forfeiting not only the bonus but their original deposit as well. The plaintiffs assert this structure leaves many s with nothing, despite active wagering.

Promotion Practices Under Scrutiny

Attorneys representing the plaintiffs argue that DraftKings’ promotions, d as “Risk-Free” and deposit matches, were anything but. The lawsuit claims, “DraftKings attracts new s and keeps existing s coming back by advertising an all-upside gambling experience, falsely promising s that they will get free money which they can wager without any risk. In reality, DraftKings has created an all-upside opportunity only for itself: the hidden of its promotions require s to deposit and gamble almost exclusively with their own money, which they almost always lose.”

The filing further criticizes how DraftKings issues bonus bets instead of cash when players lose initial wagers. These bonus bets come with expiry dates, cannot be withdrawn, and return only the net winnings minus an approximate 9% vig. This means a $100 winning bonus bet nets the player around $91 rather than a full payout.

Allegations of Targeting Vulnerable Gamblers

Adding another layer to the case, the complaint alleges that DraftKings mines data to identify high-risk and problem gamblers, even those on self-exclusion lists. It is claimed that the company assigned VIP hosts to such individuals, offering personalized promotions to encourage continued gambling.

Among the plaintiffs are individuals with a range of experiences: a self-excluded player who managed to gamble tens of thousands of dollars in 2024, another who requested closure in 2020 but continued betting until 2024 with losses exceeding $350,000, and a new enticed through social media ads who now struggles with gambling addiction.

The plaintiffs seek class certification, restitution, injunctive relief, and damages under federal and Pennsylvania consumer protection laws. The lawsuit accuses DraftKings of negligence, unjust enrichment, intentional misrepresentation, and violating state consumer laws.

DraftKings Faces Growing Legal Pressure

This lawsuit is the latest in a series of legal actions DraftKings faces across the U.S., including pending cases in Kentucky, Illinois, New Jersey, New York, and Massachusetts. Baltimore also filed a separate case against DraftKings and FanDuel earlier this month, alleging that the companies prey on vulnerable individuals with gambling problems.

While most actions remain in preliminary stages, the Massachusetts lawsuit has progressed after a judge denied DraftKings’ motion to dismiss.

Source:

New DraftKings lawsuit scrutinizes casino deposit playthrough requirements, sbcamericas.com, April 23, 2025.

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