Federal Judge Rejects VGW's Bid to Force Arbitration in Spouses' Chumba Casino Lawsuit

A federal judge in California's Northern District denied VGW Holdings' bid to force arbitration in a lawsuit brought by spouses of people who lost money on Chumba Casino, LuckyLand Slots, and Global Poker, according to an October 22, 2026 report from Deadspin covering a September 18, 2026 order. U.S. District Judge Araceli Martínez-Olguín ruled that the plaintiffs - who never signed VGW's arbitration agreements themselves - can't be bound by terms their partners accepted.

The case, Brown v. VGW Holdings US Inc., was filed as a putative class action in August 2025 by four remaining plaintiffs - John Brown, Trena Ostlund, Zachary Parker, and Eve Fields - who are suing under state gambling-loss recovery statutes and California's Unfair Competition Law to recover money their spouses lost on VGW's apps. VGW argued that equitable estoppel should bind the plaintiffs to the arbitration clauses anyway, but the court found their claims arise from state statutes rather than from the user agreements, so they never "knowingly exploited" those contracts.

The judge also found specific jurisdiction over VGW's U.S. entities based on their alleged ongoing contracts with four co-defendants - payment and verification vendors Trustly, Jumio, and Yodlee, plus streamer Brian Christopher Misfud - which the order describes as California-based. VGW filed a notice of appeal with the Ninth Circuit on October 6, 2026; orders denying arbitration can be appealed immediately under federal law, and the opening brief is due December 24, 2026.

This is a separate case from the $8 million settlement VGW reached with New York in September or the Arizona shutdown order it's still facing, and it's part of a broader pattern of litigation following the company's three sweepstakes brands. Chumba Casino is listed on this site without an affiliate relationship, and Global Poker isn't one we currently cover.