Key Moments:
- A New Jersey judge has denied BetMGM’s motion to dismiss a fraud lawsuit tied to a major online casino promotion
- The case involves claims that BetMGM altered its “$2 Million Dollar Super Series” mid-contest for the benefit of a high-roller
- The plaintiff seeks more than $2.5 million in damages, with the dispute now moving forward to discovery
Court Allows Fraud Action Against BetMGM to Proceed
A New Jersey Superior Court judge has declined to dismiss a lawsuit filed against BetMGM, clearing the way for legal proceedings regarding alleged misconduct during a significant online casino promotion. The court’s order is a setback for BetMGM’s attempt to close the matter prior to discovery.
Details of the Promotion Dispute
The legal complaint centers on the “$2 Million Dollar Super Series” promotion that ran for a month in May 2021. Laurence Murk, a Franklin Lakes resident, claims that BetMGM manipulated the contest’s rules in favor of a high-stakes participant. According to court documents, the promotion awarded a $500,000 bonus and daily free spins to the player ranking highest in total wagers on the event leaderboard.
Murk reports betting about $1.5 million across several weeks to hold the top position, only to see a user known as “Broker” surge to first place with approximately 800,000 points accumulated overnight on May 11. The lawsuit alleges that BetMGM’s staff manually boosted Broker’s leaderboard standing and admitted him into the competition despite not meeting eligibility requirements. Murk contends that this conduct was deceptive and that it prompted him to continue wagering under misleading circumstances.
Response and Legal Arguments
Upon raising his concerns with regulatory authorities, Murk was informed by the New Jersey Division of Gaming Enforcement that the situation was considered a promotional dispute, and so no intervention occurred. This led Murk to bring the action before the courts, asserting fraud, breach of contract, and violation of the New Jersey Consumer Fraud Act.
Court filings reference allegations that BetMGM made a special exception for Broker based on his status as a high-roller, without providing notification to other contestants. BetMGM countered that its standard terms and conditions give it discretion over promotions. However, the judge observed that there is no evident agreement from Murk to specific rules that would allow such modifications, and pointed to inconsistencies in BetMGM’s rationale.
Potential Implications for BetMGM
Since the judge found unresolved issues in the defense, the case will now move forward through discovery. Should Murk prevail in court, he stands to recover more than $2.5 million in damages, a sum which encompasses lost prizes as well as projected gains tied to the promotion. The latest legal development comes as BetMGM faces heightened attention over its promotional and contest practices amid a period of significant corporate transition.
| Event | Date | Key Detail |
|---|---|---|
| $2 Million Dollar Super Series Promotion | May 2021 | Murk wagered about $1.5 million |
| Court Ruling on Motion to Dismiss | Not specified | Motion to dismiss denied, case proceeds |
| Potential Damages Sought | Ongoing | More than $2.5 million |
- Author
Daniel Williams
