Caesars Palace Online Casino has just been named in a lawsuit alleging that its promotions and advertising strategies are deceiving consumers. The lawsuit was filed by the Public Health Advocacy Institute last week, and it states that Caesars Entertainment, Caesars Interactive Entertainment, and Caesars Palace Online Casino's land-based Pennsylvania partner, Harrah's Philadelphia Casino and Racetrack, which were advertising a 100% deposit match of up to $2,500, were misleading and dishonest. The advocacy group suggested that in order for consumers to get back their deposit, they would have to gamble excessively for just a short timeframe.

Caesars Palace Online Casino is under legal fire after the Public Health Advocacy Institute filed a lawsuit accusing the gambling giant of deceptive advertising. The complaint centers around a sign-up promotion that promises a 100% deposit match of up to $2,500 - an offer the advocacy group says is virtually impossible to claim without risking hundreds of thousands of dollars.

The lawsuit, filed in the First Judicial District of Philadelphia, names Caesars Interactive Entertainment, Caesars Entertainment (its parent company), and Harrah's Philadelphia Casino and Racetrack, its local partner. According to the filing, the promotion misleads consumers by hiding an extraordinary wagering requirement in the fine print, especially for table games like blackjack.

$2,500 bonus requires $375,000 in bets, complaint says

At the core of the complaint is the casino's 100% deposit match bonus. While advertised as a generous welcome incentive, PHAI contends that it misrepresents the reality faced by users who want to unlock the bonus. The promotional details, when scrutinized, reveal a significant caveat: the wagering requirement for table games such as blackjack is 75 times the combined deposit and bonus amount. This means that to fully access a $2,500 bonus, a new user would have to wager $375,000 within just seven days of signing up.

"Caesars and its partners are luring new customers with a false and misleading promise," PHAI stated in a release. "Only in the small-print terms and conditions is it disclosed that a new customer playing blackjack is required to gamble and risk $375,000 in the first week."

Advocates slam promotion as dangerous and irresponsible

PHAI, a nonprofit based in Boston dedicated to improving public health through legal action, has sharply criticized the promotion. The group focuses on industries it deems to pose health risks - including unhealthy food, tobacco, and gambling. "This is among the most egregious promotions we have seen," said Mark Gottlieb, Executive Director of PHAI.

Dr. Harry Levant, the Director of Gambling Policy for PHAI, echoed the concern. "It is unconscionable for a gambling company to knowingly require people to gamble excessively and put their mental health at risk just to cash out their winnings," he said. More importantly, nothing in Pennsylvania law allows a casino to withhold payment until a customer gambles to excess. This is dangerous, immoral, and just plain wrong, he added.

Caesars' wagering requirements under close scrutiny

An independent review of the promotional terms confirmed the steep wagering thresholds: 75x for other games, 15x for slots, and 30x for video poker. This system significantly affects games like blackjack, where the high wagering multiplier makes the bonus virtually inaccessible for the average player.

For example, to fully claim a $1,000 bonus with a $1,000 deposit while playing blackjack, a player would need to wager $150,000. And according to Caesars' terms, the entire bonus will be forfeited if the wagering requirement isn't met within seven days.

iGaming revenue surges as critics raise alarms

The lawsuit comes as Pennsylvania's iGaming market experiences rapid growth. In 2024 alone, players lost over $2.18 billion to online slots and table games - nearly double the $1.11 billion lost three years ago. This surge has raised concerns among gambling watchdogs, including the National Association Against iGaming, which argues that current regulations do little to prevent excessive gambling or protect vulnerable users from harm.

Following public scrutiny, Caesars Palace Online Casino quietly revised its Pennsylvania promotion, lowering the deposit match to 'up to $1,000.' However, the original offer - still promoted in some regions - remains a point of contention. Caesars Palace Online Casino is also active in New Jersey, Michigan, West Virginia, and Canada (Ontario). As its reach grows, so too does the scrutiny surrounding its advertising practices and consumer protections.