High 5 Entertainment Faces New Federal Class Action Suit in Mississippi

High 5 Entertainment, the owner and operator of High 5 Casino, is facing another legal challenge, this time in Mississippi. In Case No. 3:26-cv-132-TSL-RPM, plaintiff Bruce Goodwin argues that High 5 Entertainment operates as “an illegal online casino”, rather than offering a lawful sweepstakes or social gaming platform. The case was filed on February 27th in the Southern District of Missisippi seeks a jury trial, and it reserves the right to amend to “pierce the corporate veil”. 

Unlike other previous class action suits, Goodwin’s complaint targets the company’s owners in case the judgment isn’t satisfactory.

This new complaint follows directly on the heels of High 5 Entertainment’s major setback in Washington, where the federal jury awarded the plaintiff/players with nearly $25 million after the court ruled that High 5’s apps operate illegal gambling activities.

What’s Included in the New Mississippi Suit?

The plaintiff, Bruce Goodwin, argues that High 5 Entertainment is operating an illegal online sweepstakes casino in Mississippi. This popular gaming platform operates using the dual-step pay-to-play model that sells chances to players to win more prizes. 

The complaint adopts the same theory applied to the Washington case: that players must continuously buy virtual/gold coins to continue playing casino-style games like slots and table games. So, the no-purchase requirement or even the “free-to-play” model is misleading, and its products satisfy the elements for illegal gambling.

High 5 Hits a Roadblock, With Broader Implications to the Sweepstakes Casino Industry

The Goldwin complaint is the 10th sweeps-related suit against High 5, and the second one filed this week. High 5 is coming off a major setback in Washington (Larsen v. PTT/High 5), where the court ruled that its gaming apps violated the state’s Consumer Protection Act and Recovery of Money Lost at Gambling Act, resulting in nearly $25 million in damages. This new Mississippi complaint mirrors the Washington ruling as a template, and could be used by other states.

Also, the fresh complaint could trigger a wave of similar suits targeting social and sweepstakes casinos. Popular operators, such as Stake, Fortune Coins, and Chumba, are potentially the next targets. If Mississippi allow the complaint to proceed, the lawyers of other plaintiffs may adopt the same strategy, file cases, especially in states where loss-recovery laws exist. And if the courts ruled against High 5, the operator could face exposure akin to a refund, which could be expensive.

Aside from the financial strain, High 5 and other operators are now pushed to re-evaluate their business models.

For example, they can alter mechanics and boost their platforms’ disclosures and responsible gambling tools. In short, High 5 Entertainment has its back against the wall and is facing multiple legal challenges as states continue to tighten their rules on the industry.

REFERENCES

• Daniel Wallach's LinkedIn page