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Read Full BioOnline sweepstakes sportsbook Thrillzz is facing a lawsuit in California over allegations that the company is operating an illegal sports betting platform.
The lawsuit, co-authored by seven law firms, seeks restitution for California class members. It states that Thrillzz has violated various aspects of the California penal code, including section 337(a), which prohibits accepting bets on the result of “any trial, or purported trial, contest, or purported contest, of skill, speed or power of endurance of man, beast, bird, or machine.”
Violators can be charged with a misdemeanor or a felony, depending on circumstances and prior record. A misdemeanor carries penalties of up to one year in jail and/or a fine of up to $5,000. If charged as a felony, it can result in a prison term of up to three years.
The lawsuit, highlighted by gaming lawyer Daniel Wallach on X, is seeking a jury trial in the case. It has been filed in the U.S. District Court for the Southern District of California.
Thrillzz Exits Arizona After Cease-and-Desist Order
Thrillzz has also exited Arizona after the Department of Gaming (ADG) issued a cease-and-desist letter to the company last month. Similar to the lawsuit, the ADG accused Thrillzz of violating state gambling laws.
Like California, Arizona has been clamping down on sweepstakes casinos. Carnival Citi exited both states last week amid the increased pressure from state regulators.
Thrillzz now excludes users from 16 states, including those that have explicitly banned sweepstakes casinos and sportsbooks. That includes Montana, New Jersey, New York, Nevada, and Connecticut.
Despite a crackdown on the company’s sweepstakes model, Thrillzz continues to insist it is legal. Its website emphasizes the free-to-play nature of the platform, stating, “Here at Thrillzz we’re delighted to bring a new way to enjoy a FREE sportsbook, with the excitement of getting great rewards.”
The prospect of getting rewards has led to states such as Arizona and California claiming the site violates gaming laws.
California on Verge of Criminalizing Sweepstakes
California is on the cusp of making sweepstakes gambling platforms explicitly illegal in the state. Bill AB 831 only needs Governor Gavin Newsom‘s signature to become law.
Some have suggested Newsom may refrain from signing to avoid angering young voters. Victor Rocha of the Indian Gaming Association said that Newsom’s ambitions to be president could influence his actions.
Nevertheless, the bill will become law automatically if Newsom takes no action. Sweepstakes advocate groups have called on him to veto the legislation, and have gained some support from tribal groups.
However, many companies have already exited the state, and there have also been lawsuits filed against other operators, including Stake.
Whether Newsom signs the bill or not, the days look numbered for sweepstakes casinos and sportsbooks in California.
