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Judge Allows ‘Social Casino’ Suits Against Apple, Google, Meta After Section 230 Defense Fails

Immediate 9th Circuit review now centers on whether payment processing lies outside Section 230.

Overview

  • U.S. District Judge Edward Davila denied the companies’ motions to dismiss, ruling they were not acting as publishers when they processed payments for casino-style apps.
  • He rejected arguments that providing neutral platform tools restored immunity, emphasizing that the alleged misconduct is the payment processing itself.
  • Most consumer-protection claims may proceed except those under California law, and some other state-law claims were dismissed.
  • Plaintiffs allege the platforms promoted addictive slot-machine apps and took 30% commissions estimated at more than $2 billion, and they seek compensatory and treble damages.
  • Davila authorized an immediate appeal to the 9th U.S. Circuit Court of Appeals; the multi-district litigation, filed in 2021 in the Northern District of California, remains active.