Big Fish Games Lays Off Staff as Judge Approves $155 Million Class Action Settlement for Former Players
Posted on: September 4, 2020, 07:02h.
Last updated on: September 4, 2020, 09:52h.
Social casino developer Big Fish Games is expected to lay off 250 staff members as part of a restructuring process as it downsizes, according to a staff memo dated Tuesday, Sept. 1.
This is the second round of layoffs in as many years. The new cutbacks, which mainly affect its Seattle office, come just 24 hours after a federal judge issued preliminary approval of two class-action settlements.
These will see Big Fish owner Aristocrat Technologies, and former owner Churchill Downs Inc, cough up $155 million to compensate former customers who lost money via the Big Fish app.
The lawsuits stem from an initial case against Big Fish brought in 2015 by former player Cheryl Kater.
Shock Ruling
Kater argued that Big Fish Games constituted illegal gambling in Washington State and claimed she was entitled to recoup her losses under an antiquated law called the Recovery of Money Lost at Gambling Act.
The district court tossed the case. But in 2018 a federal appellate judge sensationally sided with Kater. Thus, Washington became one of a very few jurisdictions in the world that considers games played with virtual ‘play-money’ chips to be bona fide gambling games.
Washington defines gambling as “risking something of value on the outcome of a contest of chance or a future contingent event not under the person’s control or influence to receive something of value in the event of a certain outcome.”
Judge Milan D. Smith ruled the virtual play chips used in Big Fish’s Casino games constituted “something of value,” despite their lack of direct monetary worth – a ruling with huge ramifications for the social games industry.
Lawmakers Batting for Big Fish
Copresidents Andrew Pedersen and Jason Willig made no mention of the settlements in the staff memo. Rather, the layoffs were part of a strategy to pivot from a multi-platform provider to a mobile-focused operation.
“The scale that Big Fish developed over many years as a multi-platform publisher has made it difficult to successfully lead in mobile, which requires greater agility and different operating and creative capabilities,” they wrote. “By pivoting how we operate and sharpening focus, we will gain increased flexibility to engage players more effectively today and invest more for the future.”
Two bills introduced in the Washington legislature in February look to safeguard the state’s gaming industry. An estimated 20 percent of the global video game development industry is now based in Washington.
The bills, sponsored by State Rep. Zach Hudgins (D-11th) and State Sen. Mark Mullet (D-5th), would modify state gambling law to exempt games where players do not cash out for real money in order to protect the industry from more lawsuits.
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Last Comments ( 28 )
How do we continue this lawsuit? BF games is a total scam. They should be shut down or at least regulated. The manipulate the games in their favor. This is robbery.
Big Fish Games and Jackpot Magic slots are a total scam. They should be shut down permanently. Thieves!!!!!
It depends on how many people filed a claim if 50000 people filed well 3000 a piece is 150 million so it just depends
I’ve been playing this app since it started and I can honestly attest that it is addictive. The game itself is a great concept (from an entertainment perspective). The problem is that there are no safeguards in place to help you control your spending. That’s really where the problem is here. If they had better safeguards from exploiting money from their players, then this class action wouldn’t exist. If they had better conflict resolution with their customer support & people felt they were being heard & not dismissed, there would be no class action. They have exhibited behaviour enticing you to spend your hard earned money with their constant sales, piggy bank sales, enticing promos all saying one thing “buy, buy, buy - spend, spend, spend“ So yes they are coercing you to part ways with your money, & some people just cannot control themselves - like me. Been there, done that!! I cannot even claim my share of the class action suite as I live outside the USA. Having said that, at least others who have lost tens of thousands can be reimbursed. It won’t help me to recover my money, but something is being done about it and they are being held accountable. For those in the comments asking “where is my money?” Payout will be made roughly 60 days after the 11th Feb 2021 (Date of finalisation). You would’ve needed to submit a written claim to be eligible for reimbursement. Reimbursement will be calculated according to the number of claims vs money spent divided by the settlement amount awarded by the court.
Has anyone received any money from the settlement yet? Curious because I filed a claim and the case was settled feb11 but it is now March 5 and I have not heard anything.
I too have lost thousands more like over 80k over the past 3 years. I have requested they delete my profile only for them to offer A LOT of coins ( which worked) and I played longer. I am a work in progress.....I am truly embarrassed but between a divorce and issues at work it took my mind off things for a short time only to manifest into bills of all sorts which made me feel down and out especially during this pandemic. I do feel we deserve some of our money back. Personally they have gotten enough of my money and I plan to stay off the site. Good luck regardless of your choices.
Today is February 11, 2021... COURT DAY! I hope the courts see all the people that were taken advantage of in this app. I have spent over 45k and at the end of the day all I have is a tier level and do not get what I paid for. I get disconnected daily, reels rolling, cannot join, disconnected again. I do not get my win and the WORST THING!! is..... THEY NEVER RESOLVE ISSUES, I just get automated emails even after responding to ALL MY OPENED TICKETS!
I just added up all of the money I spent last year on big fish, unfortunately laid up due to illness, I enjoyed playing, $30,000.00 later, I have nothing to show for it and now almost broke too. SHAME on you BIG FISH. Please refund me Please people , quit paying and playing this game!!!!!!!!!!!!
Spent thousands $$$$$$$ in this app
I think I've spent over $50,000 playing BigFish Casino. I've also hit the Grand Jackpot in Raging Reels Jackpot Party and I didn't get my chips. I contacted support, and they refuse to credit me for my win. Well, I'll be getting a nice chunk of change back! for once, I can say, Thanks BigFish. Nice doing business with you. lol
Sadly. I too have spent and lost thousands.
It's definitely very rigged, apparently slot game apps aren't bound by the same laws as real casinos to make the slots play with a certain win percentage. That seems to be a problem considering people are putting more than they would spend in a casino into buying fake coins that spin endless zero's. So many people like the game but end up quitting because you don't win if you don't spend, and if you spend you don't win as it's algorythym is set to keep you buying. Game slot apps should be bound by law to the same rules as real casinos in regard to win lose ratios, if they are receiving real money from customers.
You better have filed a claim I think the end date for filing is the 4th of Jan 2021.. Then I believe they will have to have the list of people that have claim. Then the court will determine how much everyone gets by taking the 155million ÷number of claims = payment. somewhere around Feb. I think. Yes I have lost 1000.00 thankfully I walked away years ago but not soon enough. I however have gotten my name on that list. I was contacted by Google Play and an attorney so I know I'm in there.. GIVE ME MY MONEY!!!!