Mobile App Games of Chance Not Gambling, Courts Agree

Mobile app developers can breathe easier that their games of chance don’t run afoul of state gambling laws and subject them to class and other suits in light of a growing consensus among courts, so long as the prizes they offer are merely virtual, industry observers told Bloomberg BNA.

Three times federal courts have ruled that in-app games—which allow users to spend real money to play to win virtual prizes—aren’t unlawful gambling devices.

Many mobile apps offer “free-to-play games,” games that are free of charge but offer users the opportunity to spend money at various stages of gameplay. Some ...