Bovada targeted in Kentucky illegal gambling lawsuit
Class action lawsuit launched against offshore sportsbook and casino website under Kentucky’s Loss Recovery Act
Offshore gambling website Bovada is the target of a new $5m class action lawsuit in Kentucky over illegal gambling in the Bluegrass State.
The suit, filed last week by lead plaintiff Billi Jo Woods, exists under the auspices of Kentucky’s Loss Recovery Act (LRA) which allows losing gamblers to reclaim losses by direct legal action against the operator involved.
Under the LRA, any Kentucky resident who loses more than $5 over a 24-hour period with a gambling operator may sue to reclaim those losses within a five-year period.
If the affected gambler fails to bring legal action against the operator involved within six months of the loss, a third party can file a civil lawsuit which allows for the initial damage claim to be trebled.
Woods has launched a class action lawsuit against Bovada’s owners, the Morris Mohawk Gaming Group and its CEO Alwyn Morris, as well as Curacao-based media firm Harp Media BV.
The Bodog business is named as providing affiliate-style services via the “Bodog Network” with Bodog websites encouraging users to “try visiting our partners at bovada.lv.”
A part owner of the Bovada website, Harp Media BV collects a portion of the gambling profits from bets that are made on www.bovada.lv and www.bovada.com.
The suit argues the defendants have “illegally profited from tens of thousands of consumers” and therefore violates Kentucky law.
“Bovada has evaded the laws of Kentucky and other states. Bovada has advertised and presented itself to consumers in Kentucky as a legitimate online business. But this is false,” the lawsuit states.
“In fact, Bovada is an illegal enterprise. Bovada’s online presence and advertising provided an aura of legitimacy and legality to plaintiff and class members,” it adds.
The lawsuit seeks an order forcing Bovada to cease all operations in the state, as well as enforcing the recovery of all lost monies, interest, and reasonable attorneys’ fees, expenses, and costs to the extent allowable.
It also demands a jury trial to decide the outcome of the class action.
In a similar case, Flutter Entertainment was forced to pay $1.3bn to the state of Kentucky in a regulatory settlement in 2021 over historical illegal gambling related to the PokerStars brand, which both operated in the state between 2007 and 2011 under previous owners, The Stars Group.
The Stars Group was initially ordered to pay damages to the state, damages which were later trebled under the LRA.