California Man Takes Sweepstakes Operator to Court

A Californian class action specialist has filed a lawsuit against a sweepstakes operator, arguing that its products constitute illegal gambling. As the pushback against the sweepstakes sector continues, the legal expert hopes to get the company banned in California.

Pulze Gaslit Users

The lawsuit was filed by Smith Krivoshey on behalf of Dennis Boyle and targets Pulze.com, an operator of sweepstake games. As mentioned, the lawsuit claims that Pulze is conducting illegal gambling, potentially exposing vulnerable players to gambling harm.

According to the complaint, Pulze’s owner, Yellow Social Interactive, has violated California’s unfair competition and customer protection laws.

In addition to that, the lawsuit accused Pulze of gaslighting its users by never describing its products as gambling. The complaint stated that the word “gambling” was not used a single time on the website, tricking users with “euphemisms like ‘social gaming’ and ‘sweepstakes.’”

While the site did have some basic warnings and safeguards, it warned about the dangers of “computer game behavior disorder” instead of what is, according to the plaintiffs, “gambling addiction.”

Pulze, for context, offers a variety of casino-style games, such as poker and slots, among many others.

As a result, the claimants hope to shut down Pulze’s operation in the Golden State. Additionally, the lawsuit asks for the disgorgement of ill-gotten money.

States Say No to Sweepstakes

Plaintiffs echoed claims that sweepstakes and other unlicensed gaming platforms have led to a spike in problem gambling. This comes amid recent criticism against the sweepstakes industry from safer gambling advocates and gambling industry stakeholders alike.

In California, the Indian Gaming Association has been very critical of the sweepstakes sector, which has undermined tribal companies’ market share. Elsewhere, both commercial and tribal operators have voiced similar concerns.

This has resulted in a broader pushback against the sweepstakes sector, which has seen some states issue cease-and-desist orders to prominent sweepstakes companies. Some customers, on the other hand, have tried to get their money back, alleging that the sweepstakes companies that took it were operating against the law.

The popularity of sweepstakes reached even the political sector as Elon Musk himself tried to launch a controversial sweepstakes game that would have offered huge prizes to Trump supporters. The game, however, attracted the ire of regulators and landed in court.