Internet Companies Slapped With Suit Over Gambling Ads

SAN FRANCISCO — Sex.com is among a list of Internet firms named in a class-action suit filed Tuesday that claims the companies sell rights to web advertisements that are illegal in California.

The suit demands that the companies stop accepting the advertisements based on searches for terms such as "illegal gambling," "Internet gambling" and "California gambling." It also asks for the companies to give consumers in California "millions of dollars in ill-gotten gains," according to attorney Ira Rothken, who is representing plaintiffs Mario Cisneros and Michael Voight.

The 60-page suit, filed in San Francisco Superior Court, also claims the Internet companies use geotracking software to target certain regions or illegal gambling ads.

More than a dozen high-profile online companies are named as defendants, including Google, Alta Vista and Overture. The suit also names 100 John Doe defendants, which could include other online adult companies.

“Defendants obtain revenue from these websites when they convince users to ‘click-through’ to the advertisers’ websites,” the suit says. “In the case of illegal gambling, this ‘click-through’ directs California users to Internet gambling websites where persons in California are enticed to gamble away their hard-earned savings using their home and work computers.”

The plaintiffs of the suit, acting for all Californians, say the companies raked in a majority of the millions of dollars gambling firms spent on advertising, despite the fact that it is illegal in the state.

Sex.com, the suit says, uses paid advertisement listings for Casino Tropez, Showdown online casino and Lucky Nugget Casino.

Sex.com also operates a directory service with special websites for casinos called Casino.sex.com, the suit says. That site provides paid advertising content for numerous Internet gambling sites. Results from Sex.com note that the search is being conducted in the United States by using the notation “(US)” with its search results.

Calls to Gary Kremen, owner of Sex.com, were not returned to XBiz at posting time.

Voight of Scotts Valley, Calif., one of the lead plaintiffs in the case, said he used search engines in the state to find Internet gambling websites, and as a result lost over $100,000 in Internet bets.

The plaintiffs, led by the class-action specialist William Lerach of San Diego, seek restitution, forfeiture and disgorgement of illegal gambling proceeds.

The suit asks that proceeds be distributed to spouses of gamblers who have had community property taken from them as a result of the gambling, as well as to California Indian Tribes, other licensed gambling businesses and to the state treasury.

In its complaint for violations of California’s Business and Professions Code Sections 17200, the plaintiffs also seek to enjoin the online firms from participating in, and continuing to market, sell, and display advertising for Internet gambling in California.

Tuesday’s lawsuit is the latest to involve online gambling, which has become a multibillion-dollar-a-year industry and is usually focused on online poker or blackjack.

Wireless interests, including some Western European cell phone service providers, also offer gambling opportunities to their subscribers.

Copyright © 2026 Adnet Media. All Rights Reserved. XBIZ is a trademark of Adnet Media.
Reproduction in whole or in part in any form or medium without express written permission is prohibited.

More News

SWR Data Publishes 'Clip Trend' Report

Adult industry market research outfit SWR Data has published a report on the performance of clip platforms and sales.

Another German Court Rejects Blocking Orders Against Pornhub, YouPorn

A German court has blocked the Rhineland-Palatinate Media Authority (MA RLP) from forcing telecom providers based within the court’s jurisdiction to cut off access to Aylo-owned adult sites Pornhub and YouPorn.

Ofcom Fines Kick Online Entertainment $1 Million for AV Noncompliance

U.K. media regulator Ofcom on Thursday fined Kick Online Entertainment 800,000 pounds (more than $1 million) for failing to implement age checks as required for compliance with the Online Safety Act.

FSC Details Legislative Outlook for 2026

The Free Speech Coalition (FSC) has laid out the legislative outlook for the industry in 2026.

AEBN Publishes Popular Searches by Country for December, January

AEBN has released the list of popular searches from its straight and gay theaters, by country, for December and January.

Jim Austin Joins CrakRevenue Team

Strategist Jim Austin has been hired by CrakRevenue.

Judge Dismisses NCOSE-Backed Suits Against Adult Sites Over Kansas AV Law

A federal judge on Tuesday dismissed lawsuits brought against two adult websites in Kansas for alleged violations of the state’s age verification law.

Aylo/SWOP Panel Spotlights Creators' Struggle for Digital, Financial Rights

Aylo and Sex Workers Outreach Project (SWOP) Behind Bars presented, on Tuesday, an online panel on creators’ rights, debanking and deplatforming.

AV Bulletin: Canada, Italy, Australia Updates

Since the Supreme Court’s decision in Free Speech Coalition v. Paxton, more state age verification laws have been enacted around the United States, as well as proposed at the federal level and in other countries. This roundup provides an update on the latest news and developments on the age verification front as it impacts the adult industry.

Holly Randall Soft Launches 'Wet Ink' Magazine

Holly Randall has officially soft-launched the creator-focused publication Wet Ink Magazine.

Show More