Drake is being sued by a Missouri man who claims the music superstar, along with influencer Adin Ross, received “unjust enrichment” from the purportedly “deceptive” sweepstakes casino Stake.us.
In a 34-page class action complaint obtained by Rolling Stone, plaintiff Justin Killham alleges Drake, Ross, and Stake.us actively misled consumers when they promoted Stake.us as a “harmless” social casino when, according to the lawsuit, it’s a “highly addictive” and “unlawful gambling platform.”
Filed Monday in Jackson County Circuit Court, the lawsuit accuses the defendants of “deceptive, fraudulent and unfair” practices that violate Missouri law and cause real-life gambling losses to at-risk users. “Stake’s deceptive trade practices have inflicted severe harm on the vulnerable in Missouri, and especially on individuals prone to gambling addiction and younger consumers targeted through Stake’s ‘free play’ marketing,” the lawsuit states.
The class action alleges Stake.us created a dual-currency system that bundles its virtual, purportedly non-redeemable “gold coins” with a second type of token, called “Stake Cash,” that can be wagered on casino games and cashed out for real money. This makes token transactions “a clear vehicle for real-money gambling,” the lawsuit states.
This type of dual-currency model is considered a loophole by critics and has faced backlash from legislators. California Gov. Gavin Newsom signed a bill earlier this month to address the problem. (Attempts to reach reps for Drake, Ross, and Stake were not immediately successful Tuesday.)
Drake and Ross have been high-profile promoters of Stake, receiving millions from the company to engage in livestream gambling promoting the platform. These streams are carried out “under deeply fraudulent pretenses,” the lawsuit claims.
“When Ross and Drake purport to gamble online with Stake.com, they often do not do so with their own money despite telling the public in Missouri and elsewhere the opposite,” the filing states. The complaint argues that “Stake’s influencer marketing, especially through Drake and Ross, is directed, among others, at teenagers in Missouri and in other states.”
The new class action was filed on the same day Drake posted video on his social media showing him running through a mansion to look at a new $1 million balance on his Stake.com account. The camera pans to show Drake viewing the balance with a stunned look on his face.
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“Money in the vault???????????? @stake are you trying to tell me we’re back?” his caption to the video said. The caption appeared to be a reference to Drake’s public fallout with Stake in August, when he accused the platform of blocking his attempts to withdraw money.
“We never left,” Stake wrote in a reply to Drake’s Instagram post on Monday, which was three days after Drake turned 39 on Oct. 24. “Happy birthday,” the reply said.
