FanDuel DraftKings BetMGM Caesars under investigation for addictive app design
FanDuel, DraftKings, BetMGM, and Caesars are facing a class action investigation focused on allegations that certain app features may be intentionally engineered to keep users betting longer and more often than they otherwise would. The claims center on “addictive design” tactics commonly discussed in digital products—such as personalized promotions, rapid-fire wagering options (including in‑game or “micro” bets), push notifications, reward-like bonuses, and frictionless deposits—paired with data-driven targeting that can identify and re-engage high-intensity users. Investigators are examining whether these tools contributed to substantial financial losses for some consumers, particularly those vulnerable to compulsive gambling.
The investigation was initiated because if companies knowingly used behavioral design and analytics to encourage excessive gambling while downplaying risks or failing to implement meaningful safeguards, that could raise consumer-protection and product-liability questions and potentially support damages on a classwide basis. Its significance extends beyond individual losses: it probes where the line sits between lawful marketing and potentially exploitative “dark patterns,” especially in an industry that has expanded quickly following the 2018 Supreme Court decision that enabled states to legalize sports betting. Regulators already require responsible-gambling measures in many jurisdictions—such as age verification, self-exclusion programs, deposit limits, clear disclosures, and restrictions on certain advertising—yet rules vary state to state, and this investigation echoes broader scrutiny seen in other sectors (social media, gaming “loot boxes,” and fintech) where engagement-optimizing design is alleged to amplify harmful or compulsive behavior
Defendant Companies: FanDuel, DraftKings, BetMGM, Caesar's
Alleged Violations: Intentionally designing online sports gambling apps to be addictive
Case Status: Under Investigation
Affected Product or Service: Online sports gambling apps
Eligibility Requirements: Used an online sports gambling app/sportsbook, Suffered significant financial losses allegedly tied to compulsive or addictive app design, Losses involved one or more of: FanDuel, DraftKings, BetMGM, or Caesars, Includes individuals directly impacted or family members/loved ones seeking help on their behalf
Source: https://injuryclaims.com/sports-gambling-addiction-lawsuit?aid=84&cid=64&subid2=join
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