Overview
- U.S. District Judge Edward Davila in San Jose denied motions to dismiss class actions accusing the companies of profiting from casino-style apps.
- Davila held the firms were not acting as publishers when processing payments, so Section 230 does not shield their payment conduct.
- Most consumer-protection claims move forward, with some state-law counts dismissed and California consumer-law claims excluded.
- Plaintiffs allege the platforms promoted an 'authentic Vegas-style' experience and took roughly 30% from in-app purchases, estimated above $2 billion.
- The judge authorized immediate appeals to the 9th U.S. Circuit; the consolidated cases, filed since 2021, seek unspecified compensatory and treble damages.