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Online sports betting companies often claim that their VIP programs are simply a way of rewarding loyal users, something common in sports culture.
However, recent lawsuits and investigations have found that these programs are targeting users with high spending and huge losses.
Instead of identifying warning signs of problem gambling, companies like DraftKings used their VIP programs to encourage users to place more bets. If you had been in a similar situation or been harmed by using these platforms, you may be eligible for a sports betting addiction claim.
A psychiatrist from Pennsylvania has filed a lawsuit against DraftKings for negligence and 'infliction of emotional distress'. The complaint was filed in New York, alleging that the company's VIP program is targeting gambling addicts.
The plaintiff stated that her transaction history showed how she deposited more and more money, and more frequently, showing glaring signs of gambling addiction. Instead of staging an intervention, the company upgraded her to the VIP program. After the upgrade, the plaintiff made 446 more deposits that reached a sum of over $200,00, around $150,000 of which she ended up losing.
In the plaintiff's case, the VIP host not only ignored the warning signs of her exponentially growing deposits. The host also ignored her after she admitted to her gambling addiction and even sent her casino credits after the conversation. Within three months, the VIP host only sent a message about 'responsible gambling' when the plaintiff asked DraftKings for a loan for her mortgage.
Reports on the VIP programs of sportsbook companies are not limited to one case. In fact, reports reveal that they're highly personalized and locked onto losing bettors who are frequently encouraged to chase their losses. A 25-year-old sports bettor, who is a VIP program member of at least three sportsbooks, found that there are little to no benefits to VIPs who have been winning. Meanwhile, bettors with huge losses will be given bonuses and rewards to incentivize them into depositing more money to recover their losses.
Another sports bettor in Arizona was a recovering gambling addict when online sports betting was legalized in the state in 2021. He was invited to FanDuel's VIP program a day after he deposited $30,000 into his account. Through the program, he received concert tickets, courtside game tickets, and entry to a football luxury suite. While the VIP program gave him tens of thousands in free credits, his total loss to FanDuel amounts to about $400,000 in four years of online sports betting.
If these stories are similar to how online sports betting has caused you harm, you have several legal options to recover financial losses and medical costs. Bettors who have been hospitalized or diagnosed with gambling problems or have suffered huge financial losses may qualify, but it's best to call us immediately to relay your situation. Atraxia Law's legal team has been assisting victims of similar cases, and we can assess your case to check your eligibility. If you're eligible, your case will be forwarded to a competent lawyer who can file the claim on your behalf.