News Summary

The Michigan Supreme Court has ruled that Jacqueline Davis can continue her lawsuit against BetMGM over a disputed $3 million in winnings. The case arose from an alleged software glitch that credited her account with an astronomical balance after a small deposit. The court’s decision opens the door for Davis to seek damages, marking a potential shift in how disputes with online gambling operators may be handled under Michigan law.

Detroit — The Michigan Supreme Court ruled on July 22, 2025, that a woman by the name of Jacqueline Davis can proceed with her lawsuit against BetMGM, a major online gambling operator. This decision permits her to seek damages related to over $3 million in winnings that BetMGM asserts were mistakenly credited to her account due to a software glitch.

The case, filed as Davis v. BetMGM, centers on an unusual situation where Davis’s online gambling activities resulted in an astronomical account balance of $3,289,500.75. This remarkable total was reached after she initially deposited $50 into her BetMGM account on March 18, 2021, and began playing a game called “Luck O’ the Roulette.” Over the span of five days, she increased her bets to as much as $5,000 per play. Davis’s journey took a significant turn when she withdrew $100,000 from her account on March 21, which was approved by BetMGM before the company flagged her account for “unusual activity” the following day.

On March 22, 2021, BetMGM suspended Davis’s account after an internal review suggested that a malfunction began shortly after her 28th play. The review indicated that her account should have reset to zero by the 368th play. Following this suspension, Davis initiated a dispute with both the Wayne County Circuit Court and the Michigan Gaming Control Board (MGCB).

Legal Journey and Court Rulings

The MGCB determined that BetMGM had failed to notify them about the suspected malfunction within the mandated time, though they chose not to advance formal disciplinary actions against the company. Initial decisions from lower courts indicated that any disputes regarding gambling winnings should be addressed through the MGCB under Michigan’s Lawful Internet Gaming Act (LIGA).

A split decision by the Michigan Court of Appeals maintained that jurisdiction belonged to the MGCB, but the recent unanimous ruling from the Michigan Supreme Court has dramatically altered the case’s trajectory. The Supreme Court concluded that the LIGA does not obstruct a player’s right to file common law claims against a gambling operator, establishing a precedent that may influence how user disputes with online gambling platforms are handled.

Implications of the Ruling

This judicial decision has allowed Davis’s case to move forward in the Wayne County Circuit Court, presenting her with the opportunity to pursue the claimed winnings. Justice Brian Zahra, in his opinion, pointed out that existing common-law principles could be adjusted to deal with problems arising from the LIGA.

David Steingold, Davis’s attorney, expressed that the ruling was an important milestone, although it raised concerns regarding the transparency of dispute resolution processes between gamblers and casinos. This aspect of the ruling reflects a larger conversation about the accountability of online gaming operators.

Market Response and Future Considerations

In the wake of the incident related to “Luck O’ the Roulette,” the game has since been removed from the Michigan market. BetMGM has not provided comments about the ongoing litigation, indicating a potentially cautious approach to the media in light of the ruling.

The attorney for BetMGM argued that company policies explicitly state that any malfunction voids all winnings, suggesting that the MGCB should oversee such disputes rather than the courts. This perspective may influence future cases as the legal landscape surrounding online gaming operations continues to evolve.

The Michigan Supreme Court’s recent action provides Jacqueline Davis with renewed hope in her pursuit to claim her winnings, marking a significant episode in the ongoing development of legal frameworks governing online gambling in Michigan.