Lawsuit over Google Play gift card scams dismissed
Judge rules Google not responsible for the fraud.
A federal judge has dismissed a proposed class-action lawsuit claiming Google illegally profited from scams involving Google Play gift cards. The plaintiff, Judy May, alleged she lost $1,000 after a scammer posed as a government official, instructing her to purchase Google Play gift cards to claim grant money. She argued that Google should have warned consumers about such scams on the card packaging.
However, Judge Beth Labson Freeman ruled that Google was not responsible for May’s losses, as the tech giant neither caused her financial harm nor knowingly benefited from the stolen funds. Freeman also dismissed claims that Google’s 15% to 30% commission on purchases using the gift cards was linked to the initial fraud.
The Federal Trade Commission reported that Americans lost $217 million to gift card fraud in 2023, with Google Play cards implicated in roughly 20% of reported cases. Though May’s case was dismissed, the judge allowed her the option to refile.
About author
DW Team
The GIP Digital Watch Observatory team, consisting of over 30 digital policy experts from around the world, excels in the fields of research and analysis on digital policy issues. The team is backed by the creative prowess of Creative Lab Diplo and the technical expertise of the Diplo tech team.