Online Gambling Addiction Lawsuit

Last Updated: November 24th, 2025

Key Takeaways

Online gambling addiction lawsuits filed since February 2025 allege DraftKings and FanDuel used VIP programs and deceptive "risk-free" promotions to deliberately foster addictive behavior in users, particularly targeting young adults aged 18-25 showing signs of problem gambling.
Individuals who suffered financial losses of $10,000 or more on sports betting platforms and developed diagnosed gambling disorders may qualify for financial compensation, especially those recruited into VIP programs despite displaying clear addiction signs like frequent large deposits.
Plaintiffs seek damages for all gambling losses, mental health treatment costs, lost wages, and emotional harm from addiction, with settlement values projected between $50,000-$300,000+ based on loss amounts, age, and evidence of platform targeting.

What is the Online Gambling Addiction Lawsuit?

Question: What is the Online Gambling Addiction lawsuit?

Answer: The Online Gambling Addiction lawsuit encompasses a rapidly growing wave of individual and class action lawsuit claims filed against major sports betting platforms including DraftKings, FanDuel, BetMGM, and Caesars for allegedly causing gambling addictions through predatory business practices and deceptive marketing tactics.

These product liability and consumer protection lawsuits allege that online gambling companies deliberately designed addictive mobile apps using psychological triggers, gamification features, and real-time betting options that exploit human vulnerabilities while concealing true financial risks from users.

The litigation gained substantial momentum starting in February 2025 when Dr. Kavita Fischer filed the first major individual case against DraftKings, followed by the City of Baltimore’s landmark April 2025 lawsuit accusing DraftKings and FanDuel of systematic unfair trade practices harming residents.

More than 80 sports betting lawsuits have been filed across multiple jurisdictions, with cases pending in New York, Pennsylvania, Illinois, Kentucky, New Jersey, Maryland, and California alleging violations of state gambling laws, consumer protection statutes, and product liability principles.

On this page, we’ll discuss this question in further depth, major gambling companies facing lawsuits, the scope of online gambling addiction cases, and much more.

Growth and Scope of Gambling Platform Litigation

The litigation explosion reflects the rapid expansion of legalized sports betting following the 2018 Supreme Court decision striking down federal prohibitions, with platforms aggressively marketing in newly opened states without adequate addiction safeguards or meaningful age verification systems.

Individual cases document devastating personal stories: young professionals losing $50,000-$200,000 in months, college students gambling away tuition and taking out payday loans to fund bets, and recovered addicts relapsing after targeted VIP program recruitment.

Class actions pursue broader systemic claims that betting companies violated consumer protection laws by misrepresenting “risk-free” bets, failing to implement promised responsible gambling tools, and using algorithms designed to boost user engagement regardless of harm.

If you or a loved one has experienced severe financial losses, damaged relationships, or mental health crises due to online sports gambling platforms, you may qualify for legal action.

Contact TruLaw using the chat on this page to receive an instant case evaluation and determine whether you qualify to join others in filing online sports betting addiction lawsuits today.

Online Gambling Addiction Lawsuit Updates Timeline

November 19th, 2025: Gambling Addiction Rates Rise as Industry Revenue Climbs to Nearly $72 Billion

Record-breaking gambling revenues in 2024 have intensified scrutiny of rising gambling addiction in the United States, a central issue in the ongoing gambling addiction lawsuits.

New data indicates that U.S. casinos, online gambling operators, and sports betting platforms generated nearly $72 billion in gross revenue last year, marking the fourth consecutive year of record growth.

Attorneys note that many of these same platforms are now implicated in an increase in compulsive gambling cases brought against major industry operators.

Experts interviewed this week cite aggressive marketing as a major contributor to the trend, with gambling journalist Danny Funt explaining that companies have invested billions to convert casual sports fans into frequent bettors, widening the pool of at-risk users.

A recent analysis from the National Council on Problem Gambling estimates that up to 10 million Americans may be experiencing symptoms of gambling addiction or related harm.

These numbers mirror the stories shared by plaintiffs, including young adults who were exposed to sports-betting advertisements while still in high school.

November 14th, 2025: North Carolina Sports Betting Surges to Record $811 Million, Prompting Regulatory Concerns

North Carolina reported a record $811 million in sports wagers in October 2025, underscoring the rapid expansion of mobile betting throughout the state.

The sharp increase in wagering activity has raised legal and regulatory concerns, as higher betting volume often aligns with heightened risks of addiction, financial instability, and insufficient consumer protections.

The latest figures support growing claims that operators and state regulators should have anticipated escalating harms and implemented stronger safeguards.

Advocates cite the need for improved age verification, deposit and spending limits, and more effective responsible-gaming tools to protect vulnerable users.

November 13th, 2025: Rising Gambling Addiction Highlights Expanding Litigation Risks Amid Sports Betting Boom

A recent New York Times report points to a significant rise in gambling addiction as online sports betting continues to proliferate nationwide, signaling increased exposure for operators facing emerging litigation.

Clinicians and recovery professionals report a surge in severe gambling disorders—particularly among young men—driven by platforms that rely on constant promotional offers, push notifications, and rapid-fire betting features designed to maximize user engagement.

Individuals described spiraling financial losses, emotional distress, and compulsive behavior intensified by app design features.

For plaintiff attorneys, the expanding evidence linking mobile betting platforms to mental health harms strengthens arguments that operators failed to adopt reasonable safeguards despite knowing their products carried significant addiction risks.

Experts also warn that treatment and recovery resources remain inadequate as the industry grows rapidly, widening the gap between public health needs and corporate responsibility.

As states confront regulatory challenges and families face the consequences of gambling-related harm, litigation targeting deceptive marketing, insufficient safety measures, and negligent platform design is expected to accelerate.

November 6th, 2025: Growing Opposition to Online Sports Betting Amid Rising Gambling Addiction Lawsuits

A new Pew Research Center survey shows that public support for legal sports betting is declining as gambling addiction rises nationwide.

Nearly half of U.S. adults now say sports betting harms society, while fewer than 10% view it as beneficial.

The shift follows the U.S. Supreme Court’s 2018 decision in Murphy v. NCAA, which allowed states to legalize sports betting.

Since then, 39 states, the District of Columbia, and Puerto Rico have approved legalization measures, fueling a surge in advertising by companies such as FanDuel, DraftKings, BetMGM, and Caesars.

Health experts warn that the rapid spread of online gambling has outpaced regulatory oversight, leading to more cases of sports-betting addiction.

Clinics across the country report sharp increases in patients seeking treatment for compulsive betting, a condition doctors compare to substance use disorders due to its similar brain chemistry and relapse potential.

These gambling apps reportedly use design features like rapid betting cycles and variable rewards to encourage repetitive play and high-risk behavior.

Industry data shows that the U.S. sports betting market generated nearly $14 billion in revenue last year, with most profits coming from online wagering platforms.

October 20th, 2025: Former Allentown Title Agent Sentenced for Stealing $6 Million to Fund Gambling Addiction

An Allentown title agent has been sentenced to four and a half years in prison after stealing more than $6 million in client funds to fuel a severe gambling addiction.

Prosecutors say Louis Belletieri diverted escrow and business money from his title company between 2020 and 2023, using the stolen funds to place sports bets and finance personal expenses.

He also admitted to submitting a fraudulent federal loan application.

Belletieri pleaded guilty to wire fraud and was ordered to pay $6.1 million in restitution.

Investigators said his gambling began years earlier but escalated with the expansion of online and mobile sports betting in Pennsylvania.

The case underscores how digital gambling accessibility can intensify addiction, leading to serious financial crimes.

The sentencing also raises broader concerns about the responsibility of gambling operators and regulators to identify high-risk behavior and prevent addiction-driven misconduct.

As sports betting grows nationwide, such cases highlight the urgent need for stronger safeguards to prevent financial ruin linked to compulsive gambling.

October 18th, 2025: Teen Sports Betting Addiction Surges, Raising Public Health and Legal Concerns

A growing number of teenagers, particularly boys,are becoming addicted to sports betting, according to a recent New York Post report.

Many are using parents’ or friends’ accounts to place wagers online, with some starting as young as 11.

One New York high school senior estimated that nearly 80 percent of boys in his class have bet on sports, and roughly half do so regularly.

Experts warn that youth gambling rates have quadrupled in just two years, with an estimated five percent of kids aged 12 to 17 already showing signs of addiction.

The findings highlight serious public health and legal implications.

As sports betting becomes more accessible through mobile apps, critics argue that operators have failed to implement effective age verification systems or safeguards to prevent underage use.

Some experts suggest that the design of these platforms (featuring instant payouts and continuous engagement) may be intentionally addictive, raising potential product liability and negligence concerns.

With betting advertisements saturating social media and major sports broadcasts, lawmakers and regulators are facing renewed pressure to examine how the industry targets young audiences.

If gambling companies continue to overlook youth risks, they could face litigation over negligent marketing and failure to protect minors, similar to ongoing lawsuits against social media and gaming platforms.

October 10th, 2025: Advocates in North Carolina Press for More Resources as Sports Betting Expands

In North Carolina’s Triangle and Sandhills regions, advocacy groups are calling for increased funding and infrastructure to support problem gambling services as sports betting gains traction.

They emphasize that expanded access to gambling without parallel investment in prevention and treatment could amplify public health risks.

Supporters argue that as more residents begin wagering (with easier mobile and online options) state and local systems must scale up mental health services, hotlines, and educational outreach.

The push is emblematic of a broader nationwide tension: when states legalize or promote sports gambling, where does responsibility lie for mitigating addiction-related harm?

For litigation and regulatory observers, these developments spotlight potential liability exposure for operators and policymakers.

If jurisdictions allow betting infrastructure to advance without commensurate consumer protections, future claims could target gaps in duty of care, failure to warn, or defective system design.

The North Carolina advocates’ call underscores that as sports gambling proliferates, the legal stakes extend well beyond mere revenue.

October 6th, 2025: Survey Finds 1 in 4 Sports Bettors Miss Bill Payments amid Growing Debt Risk

A recent U.S. News survey of 1,200 Americans who placed sports bets in the prior six months reveals troubling financial impacts associated with gambling.

One in four bettors says they have missed a bill payment due to wagering.

Almost 30 percent attribute existing debt to betting, and over 50 percent of those say their gambling-related debt exceeds $500.

To bankroll wagers, many respondents reported risky borrowing behaviors: 15 percent took personal loans, 12 percent used payday loans, and about 24 percent tapped credit card advances.

Meanwhile, more than half say they carry a credit-card balance month to month, and 45 percent admit they lack emergency savings covering three to six months.

Beyond the financial stress, behavioral red flags abound.

Twenty-five percent of bettors worry they lack control over their gambling.

Around one-third have concealed their losses from loved ones, and nearly half say they’ve placed at least one bet they deeply regret.

From a liability and regulatory perspective, the survey underscores how rapidly accessible sports wagering can magnify consumer risk.

Platforms and regulators may face increasing scrutiny over duty of care, disclosures about addiction risk, and the adequacy of internal safeguards for vulnerable users.

February 10th, 2025: Legal Experts Warn Sports Betting Surge Creates New Behavioral and Regulatory Risks

Legal and public health experts are closely monitoring the rapid rise of sports gambling across more than 30 U.S. states.

With most platforms now operating online or via mobile apps, researchers warn that gambling is becoming easier to access—and harder to control.

A recent Lee Health report estimated that 60% of U.S. adults placed a bet in 2023, marking another record year for industry revenue.

Psychiatrist Dr. Rolando Gonzalez cautioned that constant access to digital betting reinforces addictive patterns by triggering dopamine responses tied to both wins and losses.

The article notes that even casual engagement—such as checking betting apps periodically—correlates with higher loneliness, stress, and impulsivity, especially among men aged 18 to 35.

Warning signs like chasing losses, lying about gambling, or using betting as an emotional escape mirror recognized gambling disorder criteria.

From a regulatory and litigation perspective, the expansion poses significant challenges.

Operators could face claims alleging inadequate disclosure of addiction risks, negligent algorithmic design, or predatory marketing practices targeting vulnerable users.

As states continue profiting from legalized sports gambling, balancing consumer protection with industry growth is expected to remain a key area of legal tension and reform.

February 10th, 2025: The Rise of Sports Gambling: A New Frontier for Behavioral Risk

Legal and public health observers are increasingly scrutinizing the rapid spread of sports betting across more than 30 U.S. states, noting that the shift to mobile and online platforms may be changing not just how people gamble, but how readily problem gambling can develop.

A recent Lee Health article highlights that in 2023, an estimated 60 percent of U.S. adults placed a bet, and industry revenue again broke records, underscoring how deeply sports wagering has penetrated mainstream culture.

Psychiatrist Dr. Rolando Gonzalez warns that the always-available nature of digital gambling can amplify risks for vulnerable individuals: dopamine responses triggered by both wins and losses may reinforce repeated bets, driving addictive behavior.

The article emphasizes that even infrequent “check-ins” with gambling apps can correlate with higher loneliness, stress, and impulsivity, particularly among high-risk groups like males aged 18–35.

Warning signs the piece lists, such as chasing losses, lying about gambling, or using it to escape emotional distress, mirror criteria for recognized gambling disorder.

From a regulatory and litigation perspective, this trend raises multiple points of exposure.

Platforms offering betting services may face challenges around duty of care, disclosure of addiction risks, and the adequacy of internal safeguards or warnings.

Enforcement actions or private suits could target failures in algorithmic design, user segmentation, or promotional practices that target vulnerable populations.

As states continue to legalize and monetarily benefit from sports gambling, balancing market interests with consumer protections will likely become a flashpoint for legislative reform and liability claims.

July 1st, 2024: North Carolina Advocates Call for Expanded Support as Sports Betting Grows

Advocacy groups across North Carolina’s Triangle and Sandhills regions are urging state leaders to allocate more resources for problem gambling services as sports betting continues to expand.

They warn that the rapid growth of gambling—especially with easy access through mobile and online platforms—risks outpacing the state’s prevention and treatment infrastructure.

Supporters of increased funding emphasize the need for expanded mental health care, public education, and 24-hour hotlines to mitigate potential addiction harms.

The call reflects a broader national concern: when states legalize or promote sports wagering, who bears responsibility for addressing its social and psychological costs?

For legal observers, the debate underscores potential future exposure for both operators and policymakers.

If gambling infrastructure continues to advance without parallel consumer safeguards, future claims could allege failures in duty of care, insufficient warnings, or negligent system design.

North Carolina’s current discussion highlights that the consequences of sports gambling extend well beyond revenue generation—touching public health and potential liability alike.

July 1st, 2024: How Sports Betting Rewires the Brain’s Reward System, APA Experts Warn

A report from the American Psychological Association highlights how sports gambling, particularly online and app-based betting, can trigger powerful changes in the brain’s reward circuitry, mirroring those seen in substance addictions.

Researchers note that sports betting’s fast-paced odds, real-time wagers, and near-constant game schedules create an ideal environment for compulsive reinforcement.

Each near-win or in-game “boost” releases dopamine, training the brain to crave the next bet.

Young men, the demographic most engaged with online sportsbooks, appear especially vulnerable.

Psychologists explain that repeated exposure to instant feedback loops (checking odds, placing parlays, and watching outcomes unfold live) strengthens neural pathways that associate gambling with excitement and control, even when losses dominate.

Over time, this cycle blunts the brain’s response to everyday rewards, increasing risk-taking and emotional volatility.

The APA review further warns that the illusion of skill in sports wagering may intensify risk, as bettors believe knowledge or intuition can overcome chance.

Combined with financial stress and social competition, this can accelerate the slide from entertainment to addiction.

Experts call for increased education, mental health screening, and responsible gambling tools to counteract these brain-level effects and protect frequent bettors from long-term harm.

Major Gambling Companies Facing Lawsuits

The allegations against these platforms center on systematic exploitation enabled by data analytics.

Companies track loss-chasing behavior, late-night login patterns, deposit frequency, and reaction to promotional offers to create detailed user profiles.

Rather than using this information to protect vulnerable users – as responsible gambling principles require – lawsuits allege platforms weaponize the data to identify their most profitable customers: those with problem gambling behaviors.

DraftKings’ VIP program, called “Dynasty Rewards,” assigns personal account managers to high-value users who demonstrate the spending patterns characteristic of addiction.

These hosts provide opulent gifts including luxury vacations, high-end electronics, and exclusive event access.

The following online sportsbooks are currently under legal action and regulatory scrutiny:

DraftKings: Accused of operating VIP programs that target known addicts with personalized incentives, settling with a New Jersey family in July 2025 after the father lost nearly $1 million stolen from family bank accounts, and facing lawsuits from Dr. Kavita Fischer who lost over $150,000 in four months despite repeatedly signaling addiction
FanDuel: Defending against claims in California that daily fantasy sports contests violate state gambling laws, facing allegations from former Jacksonville Jaguars employee Amit Patel who embezzled nearly $20 million while FanDuel allegedly provided luxury incentives, and named in the Baltimore municipal lawsuit for exploiting vulnerable users
Caesars Sportsbook: Faced backlash for their controversial partnership with Michigan State University was terminated in 2023 after using aggressive promotional tactics and VIP program offerings targeted at college students on campus
BetMGM: Subject to lawsuits from self-identified compulsive gamblers alleging the platform encouraged tens of millions of dollars in wagers despite obvious addiction signs
Bet365, Fanatics, and ESPN Bet: Under investigation for marketing practices targeting college students and young adults, with concerns about youth gambling addiction

One plaintiff reported having four VIP hosts simultaneously encouraging compulsive betting, while his deposits reached 440% of his annual salary.

The question at the heart of litigation: Do companies have a duty to intervene when their own data reveals addiction, or can they legally profit from users’ inability to control their behavior?

The City of Baltimore’s lawsuit filed on April 3, 2025, represents a novel legal approach using municipal consumer protection ordinances.

The complaint alleges Marylanders placed over $457 million in bets on DraftKings and FanDuel in January 2025 alone, with the platforms collecting massive amounts of user data specifically to identify patterns like “loss chasing” and excessive betting behaviors.

The lawsuit seeks $1,000 penalties for each time the companies targeted users showing signs of problematic gambling.

This data collection directly correlates with a documented public health trend: A UC San Diego study published in JAMA Internal Medicine found a 23% increase in search data for gambling addiction assistance since the 2018 Murphy v. NCAA Supreme Court decision through June 2024.

The research analyzed internet searches for phrases like “am I addicted to gambling,” documenting approximately 6.5 to 7.3 million searches total for gambling addiction resources nationwide, with search volumes reaching a peak of 180,000 monthly searches.

If you lost substantial amounts of money on DraftKings, FanDuel, or other major gambling platforms while receiving VIP incentives or promotional offers, you may be entitled to pursue compensation.

Contact TruLaw using the chat on this page to receive a free consultation and determine whether you qualify to join others in filing a Gambling Addiction Lawsuit today.

Recent Settlements and Verdicts in Gambling Addiction Cases

These substantial legal resolutions demonstrate both the viability and value of gambling addiction claims:

DoubleDown Interactive: $415 million class action settlement (2022) resolved claims the social casino violated Washington gambling laws by selling virtual chips with real money, with settlement payments reaching nearly $6,000 for users who spent substantial amounts on free to play mobile games
DraftKings New Jersey settlement (July 2025): Confidential settlement with Lisa D’Alessandro after her ex-husband lost approximately $942,000 over four years, including money stolen from children’s savings accounts, while DraftKings provided VIP perks despite clear addiction signs and gambling debt
DraftKings Pennsylvania settlement: Dr. Kavita Fischer reached confidential settlement in July 2025 after losing more than $150,000 in four months while DraftKings continued offering incentives despite her expressing concerns about gambling within her means
VGW settlement: $11.75 million for Kentucky users of Chumba Casino and LuckyLand Slots social casinos
Zynga online casino: $12 million settlement for misleading virtual currency practices

These settlements establish precedent showing courts recognize gambling companies bear responsibility when they actively exploit addicted users rather than passively permitting them to legally gamble.

The settlements also reveal factors that increase case value: documented communication with VIP hosts showing company knowledge of addiction, dramatic escalation in deposits that should have triggered investigations, evidence of money obtained through theft or embezzlement to fund gambling, and severe consequences including relationship dissolution or suicide attempts.

Settlement amounts generally reflect the totality of losses plus compensation for emotional distress and life disruption.

While some cases settle for amounts approximating documented losses, others include substantial additional compensation when evidence shows particularly egregious conduct.

The presence of VIP host communications often strengthens cases substantially because they demonstrate the company’s active participation in fostering addiction rather than merely providing a platform.

The trajectory of litigation suggests increasing willingness to hold platforms accountable.

As more internal documents surface through discovery revealing executives’ knowledge about addiction risks and deliberate decisions to prioritize revenue over user protection, plaintiffs’ attorneys anticipate larger settlements and potential jury verdicts that include punitive damages.

The next wave of cases may benefit from established precedent and discovery findings that expose industry-wide practices.

Free Consultation

(888) 878-5295

How Online Gambling Platforms Fuel Addiction

Gambling platforms engineer addiction through deliberate psychological manipulation, technological design choices, and exploitative business practices that transform recreational betting into compulsive behavior.

Your gambling problems weren’t personal weakness or bad decision-making – they were the predictable outcome of systems specifically designed by behavioral psychologists and data scientists to override rational thought and exploit vulnerability.

These platforms differ fundamentally from traditional casinos by operating 24/7 on your smartphone, eliminating all friction from the betting process, and using real-time behavioral data to identify moments of maximum susceptibility.

Current litigation exposes how companies knowingly deployed tactics that promote compulsive betting despite recognizing they would create addiction, prioritizing revenue extraction over user welfare.

Deceptive Marketing and Promotional Tactics

A Pennsylvania class action filed in July 2025 alleges these promotions violate state Unfair Trade Practices and Consumer Protection Law.

The lawsuit states: “DraftKings attracts new customers and keeps existing customers coming back by advertising an all-upside gambling experience, falsely promising customers that they will get free money that they can wager without any risk.

In reality, DraftKings has created an all-upside opportunity only for itself.”

The mathematical deception becomes clear when examining actual promotional terms.

A “Casino Deposit Match” promotion might advertise matching a $500 deposit with $500 in bonus funds, but the fine print requires wagering both amounts multiple times before withdrawal.

Most users exhaust their original deposit attempting to unlock the “free” money, then continue chasing losses with additional deposits – exactly as platforms designed.

Lawsuits identify several sophisticated promotional strategies that sports betting apps use to deliberately mislead consumers:

“Risk-free” and “no sweat” bet promotions: Advertised as safe wagering opportunities but actually require users to deposit real money upfront, return only site credits (not cash) when bets lose, and force users to gamble additional funds to access promotional value – one Pennsylvania lawsuit notes these credits cannot be withdrawn and must be wagered through intricate requirements
Deposit match bonuses: Promoted as generous rewards but bury requirements in fine print that users must wager 10-30 times the bonus amount before withdrawing anything, creating mathematical certainty of losing money for most sports bettors
Hidden wagering requirements: A “$1,000 risk-free bet” typically requires wagering $10,000-$30,000 in a compressed timeframe to actually receive the benefit, with DraftKings taking 9% of all winnings, ensuring users never recoup their full deposits
Time-sensitive offers: Create artificial urgency and FOMO (fear of missing out) that triggers impulsive betting without rational analysis of odds or financial capacity

These promotions deliberately structure incentives to trigger loss-chasing behavior, a hallmark symptom of gambling disorder.

When users lose their initial “risk-free” bet and receive site credits, the promotional design pushes them to immediately bet again rather than walking away.

This pattern repeats until users have deposited far more than intended, trapped in a cycle where previous losses psychologically compel continued gambling to recover financial losses.

Ohio has recognized the inherently deceptive nature of these terms by banning the marketing phrases “free bets” and “risk-free,” acknowledging that the terminology itself misleads consumers about the true financial risks and obligations involved.

Addictive App Design Features

A 2022 audit of 10 online gambling apps in the United Kingdom identified these as “dark patterns” – design elements that exploit cognitive biases to act against users’ best interests.

The features include deposits and bets placeable with one click, safety tools deliberately hidden or difficult to access, prompts to place another bet appearing immediately after previous wagers, and the absence of loss displays during gameplay.

Dr. Jamie Torrance, a psychologist at Swansea University studying gambling, explains that sports betting “is becoming far more rapid.

It’s not as harmful as a slot machine, but it’s moving in that direction.”

These technological features are specifically engineered to create compulsive gambling behavior:

One-click betting: Eliminates all friction from wagering process, allowing users to place bets in seconds without deliberation about financial consequences, mimicking slot machines’ rapid-fire gameplay that research identifies as most addictive gambling format
Live in-game betting (micro-betting): Creates constant wagering opportunities during sporting events on outcomes like next score, missed free throw, or play-by-play occurrences, transforming single-game bets into dozens of rapid decisions that produce continuous dopamine hits
Strategic push notifications: Timed to coincide with sporting events, sent after losses to encourage immediate “recovery” betting, deployed when algorithms detect users haven’t wagered recently, and personalized based on betting history to boost engagement
Slot machine-style rewards: Visual celebrations and sound effects for small wins even when overall session results in net losses, creating “loss-disguised-as-win” experiences that psychologically feel like success despite financial harm
24/7 smartphone accessibility: Eliminates physical barriers traditional casino games provided, making it impossible to escape gambling triggers and allowing betting in bed, at work, during family events, or any moment of weakness

The pace of betting has accelerated from wagering on game outcomes once per event to placing dozens of micro-bets throughout a single contest, with only seconds between decisions.

Push notifications and gambling ads function as particularly powerful addiction triggers.

Research published in academic journals found that notifications serve as “cues” prompting gambling even when users weren’t initially thinking about betting, are especially risky when promoting “free bets” or time-sensitive offers, substantially increase impulsive waging behavior, and result in measurably higher betting frequency on days users receive them.

Problem gamblers are more likely to enable notifications and less likely to disable them even when recognizing the harm.

One problematic DraftKings notification from June 2024 read: “The NYM are 6-0 since Grimace threw out the first pitch! They’re -125 to make it 7 tonight. Let’s go.”

The reference to McDonald’s mascot Grimace was entirely irrelevant to game outcomes but designed to create false pattern recognition and emotional connection that encourages betting.

These features work synergistically to override rational decision-making.

The combination of one-click betting, continuous opportunities, dopamine-triggering rewards, and strategic notifications creates what researchers call “dark flow” – a trance-like state where users become completely absorbed in gambling activity, losing awareness of time passage and financial losses mounting.

The constant smartphone accessibility represents perhaps the most dangerous innovation.

Unlike traditional casinos requiring physical presence, online platforms eliminate all barriers to gambling.

Users report placing bets at stoplights, in bathrooms at work, while lying in bed unable to sleep, and during family gatherings.

The inability to escape these triggers makes recovery far more difficult than addiction to substances or location-based gambling.

VIP Programs and Targeted Exploitation

The City of Baltimore’s April 2025 lawsuit alleges that VIP programs “are used to personalize the inducements to gamble, and proprietary algorithms help identify just the kind of push-notification that is most likely to induce the next bet.”

The complaint states: “The platforms are designed to create disordered gamblers and then exploit them.”

Lisa D’Alessandro’s lawsuit against DraftKings provides a detailed case study of VIP exploitation.

Her ex-husband – identified in court documents as “Mdallo1990” – saw his average monthly deposits increase from $2,000 in 2020 to $64,715 in 2023, despite earning only $175,000 annually.

By 2023, he was making 80-100 transactions daily and placing over 14,000 bets per year.

Rather than investigating this obvious pattern of problem gambling, DraftKings assigned him to their VIP program, provided multiple hosts, and sent luxury merchandise including hand-signed postcards, whiskey glasses, and a trophy inscribed “the crown is yours.”

Current litigation exposes VIP host programs as the most predatory practices in the gambling industry:

Data-driven identification: Platforms use algorithms analyzing deposit frequency, session duration, loss-chasing patterns, and late-night gambling to identify users who developed gambling addictions, then specifically target these vulnerable individuals for VIP recruitment
Personal account managers: Assign “hosts” who establish quasi-intimate relationships with high-value customers, send personalized messages, texts, and emails up to 100 times per day in documented cases, and provide direct phone contact unavailable to regular users
Luxury incentives: Offer free tickets to NFL, NBA, and MLB games, all-expense-paid vacations including Formula One events and championship games, high-end electronics and merchandise, cash bonuses and deposit matches, and exclusive access to celebrity events
Deliberate exploitation of known addiction: Continue aggressive marketing even after users explicitly request account closure, mention financial problems, admit gambling with stolen money, or display exponential increases in betting that should trigger anti-money laundering investigations

Attorney Matthew Litt, representing multiple plaintiffs in VIP-related lawsuits, describes the host-player relationship as “quasi-intimate” and states: “You just don’t get to these catastrophic levels without it.

Once the VIP has their hooks in them it then goes to those astronomical levels.”

One plaintiff reported their VIP host contacted them up to 100 times per day between 2021 and 2023, including on days the user didn’t gamble, actively working to re-engage someone attempting to break free from addiction.

Another plaintiff, former Jacksonville Jaguars employee Amit Patel, alleges his FanDuel VIP host provided over $1.1 million in credits, luxury trips, and exclusive event access while knowing Patel was embezzling money from his employer to fund gambling.

Research shows that as few as 20% of all bettors generate approximately 80% of sportsbooks’ profits, with many in this high-value category struggling with addiction.

A 2024 Connecticut study found that more than half the state’s sports betting revenue came from people with gambling problems.

Rather than protecting these vulnerable users, platforms allegedly weaponize their behavioral data to extract maximum lifetime value.

The inverted customer service model becomes apparent when examining compensation structures.

While companies claim VIP hosts aren’t incentivized by customer betting activity, job advertisements reveal hosts must “exceed engagement and service level performance targets” and “assist in reactivation efforts to re-engage inactive users.”

The documented behavior patterns – increased contact after losses, aggressive re-engagement of users attempting to quit, and continued promotional offers despite obvious financial devastation – suggest hosts are evaluated on their ability to increase customer gambling regardless of harm caused.

If you were assigned a VIP host who continued targeting you with luxury gifts and promotional offers despite obvious signs of gambling addiction, you may have a strong legal claim.

Contact TruLaw using the chat on this page to receive a free case review and determine whether you qualify to join others in filing an Online Gambling Lawsuit today.

Free Consultation

(888) 878-5295

How Can An Online Gambling Addiction Attorney from TruLaw Help You?

Our Online Gambling Addiction attorney at TruLaw is dedicated to supporting clients through the process of filing an Online Gambling Addiction lawsuit.

With extensive experience in product liability cases, Jessica Paluch-Hoerman and our partner law firms’ legal team work with litigation leaders and addiction specialists to prove how online gambling platforms with manipulative features caused you harm.

TruLaw focuses on securing compensation for financial losses, mental health treatment expenses, addiction therapy costs, and other damages resulting from your online gambling addiction injuries, including out of pocket costs for counseling and rehabilitation.

We recognize the financial and psychological toll that Online Gambling Addiction has on your life and provide the personalized guidance you need when seeking justice.

Meet the Lead Online Gambling Addiction Attorney at TruLaw

Meet our lead Online Gambling Addiction attorney:

Jessica Paluch-Hoerman: As founder and managing attorney of TruLaw, Jessica brings her experience in product liability and personal injury to her client-centered approach by prioritizing open communication and personalized attention with her clients. Through TruLaw and partner law firms, Jessica has helped collect over $3 billion on behalf of injured individuals across all 50 states through verdicts and negotiated settlements.

How much does hiring an Online Gambling Addiction lawyer from TruLaw cost?

At TruLaw, we believe financial concerns should never stand in the way of justice.

That’s why we operate on a contingency fee basis – with this approach, you only pay legal fees after you’ve been awarded compensation for your injuries.

If you or a loved one experienced gambling addiction, financial devastation, depression, anxiety, or other harm from online gambling platforms designed with addictive features, you may be eligible to seek compensation.

Contact TruLaw using the chat on this page to receive an instant case evaluation and determine whether you qualify to join others in filing an Online Gambling Addiction lawsuit today.

Free Consultation

(888) 878-5295

TruLaw: Accepting Clients for the Online Gambling Addiction Lawsuit

Online gambling addiction lawsuits are being filed by individuals and families across the country who suffered financial ruin and mental health problems from gambling platforms designed with deliberately addictive mechanisms and insufficient safeguards.

TruLaw is currently accepting clients for the Online Gambling Addiction lawsuit.

A few reasons to choose TruLaw for your Online Gambling Addiction lawsuit include:

If We Don’t Win, You Don’t Pay: The Online Gambling Addiction lawyers at TruLaw and our partner firms operate on a contingency fee basis, meaning we only get paid if you win.
Expertise: We have decades of experience handling product liability cases similar to the Online Gambling Addiction lawsuit.
Successful Track Record: TruLaw and our partner law firms have helped our clients recover billions of dollars in compensation through verdicts and negotiated settlements.

If you or a loved one suffered gambling addiction, severe financial losses, or mental health problems from online gambling platforms, you may be eligible to seek compensation.

Contact TruLaw using the chat on this page to receive an instant case evaluation that can determine if you qualify for the Online Gambling Addiction lawsuit today.

Free Consultation

(888) 878-5295

Frequently Asked Questions

Yes, you can sue gambling platforms if they exploited your addiction through VIP programs, deceptive promotions, or failure to intervene despite behavioral data showing problem gambling patterns.

Lawsuits against companies like DraftKings and FanDuel allege they deliberately identified and targeted addicted users with incentives rather than implementing responsible gambling safeguards, with legal claims including negligence, fraud, consumer protection violations, and product liability.

Free Consultation

(888) 878-5295
Major platforms facing legal action include DraftKings, FanDuel, Caesars Sportsbook, BetMGM, Bet365, Fanatics, and ESPN Bet for alleged exploitation of addicted users.

The City of Baltimore filed a municipal lawsuit in April 2025 against DraftKings and FanDuel for consumer protection violations, while social casino apps including DoubleDown Casino, Chumba Casino, and LuckyLand Slots have already settled lawsuits totaling hundreds of millions of dollars.

Free Consultation

(888) 878-5295
Most attorneys evaluate cases involving $10,000 or more in gambling losses or debt, with some reviewing cases at $50,000 or higher.

Lower losses combined with factors like young age (18-30), VIP host involvement, ignored account closure requests, or severe psychological consequences including suicide attempts can strengthen cases with smaller financial thresholds, as attorneys evaluate the totality of harm rather than just dollar amounts alone.

Free Consultation

(888) 878-5295
Statute of limitations typically ranges from one to six years from when the addiction or harm occurred, varying by state.

These strict legal deadlines absolutely bar claims filed after expiration, and waiting risks losing platform communications, VIP host messages, and transaction records that may be deleted over time.

Some states may extend deadlines for minors or delayed psychological injuries, though relying on extensions risks losing compensation rights.

Free Consultation

(888) 878-5295
Bankruptcy may affect your ability to file depending on timing and circumstances, but doesn’t automatically prevent legal action against gambling platforms.

Attorneys evaluate whether losses were disclosed in bankruptcy proceedings and if pursuing a lawsuit violates court orders or trustee authority, with some individuals needing to coordinate claims with bankruptcy trustees.

Importantly, bankruptcy doesn’t eliminate the platform’s liability for exploiting your addiction – it just complicates the recovery process.

Free Consultation

(888) 878-5295
While direct proof strengthens cases, attorneys can establish platform knowledge through circumstantial evidence including dramatic deposit escalations, transaction data showing late-night gambling and loss-chasing patterns, communications mentioning financial problems, and VIP program assignment.

Platforms possess sophisticated behavioral analytics specifically designed to identify addiction patterns, creating a legal duty to intervene rather than exploit vulnerable users – one plaintiff deposited $777,000 despite earning only $175,000 annually.

Free Consultation

(888) 878-5295
Yes, platforms that ignored account closure requests face particularly strong liability claims for continuing to target users who explicitly sought to stop gambling.

One plaintiff sued DraftKings after spending $350,000 following multiple requests to close his account that the platform allegedly ignored for four years.

Self-exclusion violations represent clear evidence that platforms prioritized profits over user welfare, with such circumstances demonstrating conscious disregard for responsible gambling obligations.

Free Consultation

(888) 878-5295
Using several platforms doesn’t disqualify you from filing claims – in fact, platform-hopping can demonstrate addiction severity and industry-wide practices rather than isolated company behavior.

You may have separate legal claims against each platform where you experienced substantial losses, particularly if each assigned VIP hosts or sent deceptive promotions, with attorneys pursuing claims against multiple defendants simultaneously or prioritizing platforms where losses were greatest or exploitation most egregious.

Free Consultation

(888) 878-5295
No, gambling addiction lawsuits are handled on contingency fee basis, meaning you pay nothing upfront and attorneys only receive fees if compensation is recovered.

This arrangement ensures access to experienced legal representation regardless of financial situation – particularly important given that gambling addiction typically causes severe financial devastation.

Attorneys cover investigation costs, expert witness fees, and litigation expenses, which are reimbursed from any settlement or verdict obtained.

Free Consultation

(888) 878-5295
Yes, family members may pursue wrongful death claims when suicide resulted from gambling addiction that platforms allegedly caused or exacerbated through exploitation.

Wrongful death claims seek compensation for funeral expenses, loss of financial support, loss of companionship, and survivors’ emotional distress, with families potentially having additional claims if they witnessed severe emotional deterioration or suicide attempts tied to compulsive gambling – cases often including punitive damages given the extreme harm caused.

Free Consultation

(888) 878-5295
Yes, individuals can report suspected illegal sports betting operations to state gaming commissions or the American Gaming Association, which maintains resources to combat unregulated gambling operations that fail to implement responsible gambling safeguards.

Reporting helps protect others from unlicensed platforms lacking consumer protections, though legal action typically focuses on licensed operators who violated their duties rather than underground operations.

Free Consultation

(888) 878-5295
Yes, the National Problem Gambling Helpline (1-800-522-4700) provides free, confidential support 24/7 for individuals and families affected by gambling addiction, offering crisis counseling, referrals to treatment programs, and support resources.

Many states also offer self-exclusion programs allowing individuals to ban themselves from all gambling platforms, though lawsuits often arise when platforms fail to honor these exclusions and continue targeting users seeking help.

Free Consultation

(888) 878-5295
Yes, cases involving underage gambling carry particularly strong liability claims as platforms are legally required to prevent minors from accessing their services through effective age verification systems.

Parents may pursue claims on behalf of minors who accessed gambling platforms before age 21 (or 18 in some states), with enhanced damages possible when platforms failed to implement adequate age checks despite legal obligations to protect youth from gambling harm.

If you have questions about your eligibility for legal action against online gambling platforms or want to recover your losses, TruLaw can provide immediate answers.

Contact TruLaw using the chat on this page to receive an instant case evaluation and determine whether you qualify to join others in filing an Online Gambling Addiction Lawsuit today.

Free Consultation

(888) 878-5295

Published by:

Jessica Paluch-Hoerman

Attorney Jessica Paluch-Hoerman, founder of TruLaw, has over 28 years of experience as a personal injury and mass tort attorney, and previously worked as an international tax attorney at Deloitte. Jessie collaborates with attorneys nationwide — enabling her to share reliable, up-to-date legal information with our readers.

Legally Reviewed

This article has been written and reviewed for legal accuracy and clarity by the team of writers and legal experts at TruLaw and is as accurate as possible. This content should not be taken as legal advice from an attorney. If you would like to learn more about our owner and experienced injury lawyer, Jessie Paluch, you can do so here.

Fact-Checked

TruLaw does everything possible to make sure the information in this article is up to date and accurate. If you need specific legal advice about your case, contact us by using the chat on the bottom of this page. This article should not be taken as advice from an attorney.

Additional Online Gambling Addiction Lawsuit resources on our website:

You can learn more about this topic by visiting any of our Online Gambling Addiction Lawsuit pages listed below:

Bet365 Lawsuit for Gambling Addiction

BetMGM Lawsuit for Gambling Addiction

Do I Qualify for a Gambling Addiction Lawsuit?

DraftKings Lawsuit for Gambling Addiction

Fanatics Sportsbook Lawsuit for Gambling Addiction

FanDuel Lawsuit for Gambling Addiction

Gambling Addiction Lawsuit Settlement Amounts

How to Hire A Gambling Lawyer for Gambling Addiction Claims

Online Gambling Addiction Lawsuit

Sports Betting Lawsuit for Gambling Addiction

Were you or a loved one injured?

A serious injury can have life-altering results.

Don’t settle for less than you deserve. Speak with an experienced injury lawyer from TruLaw today.

Google Business Rating

•

8 Reviews

4.9

★★★★★

Recovered damages

$3 Billion+

100% free consultation

No out-of-pocket costs

No fee unless we win

Practice Areas

GalaFlex Mesh Lawsuit

Breast Mesh Lawsuits

Fanatics Sportsbook Lawsuit for Gambling Addiction

Medtronic Spinal Cord Stimulator Lawsuit

Do I Qualify for a Gambling Addiction Lawsuit?

About TruLaw

At TruLaw, we fiercely combat corporations that endanger individuals’ well-being. If you’ve suffered injuries and believe these well-funded entities should be held accountable, we’re here for you.

With TruLaw, you gain access to successful and seasoned lawyers who maximize your chances of success. Our lawyers invest in you—they do not receive a dime until your lawsuit reaches a successful resolution!