South Carolina Lawsuit Challenges Dave & Buster’s Arcade Game Model
South Carolina’s latest gambling challenge has put Dave & Buster’s arcade-and-prize model under fresh legal scrutiny.
- A lawsuit claims Dave & Buster’s games function as unlawful gambling under South Carolina law.
- The case targets multiple stores and seeks damages and legal declaration.
- Recent enforcement actions indicate increased scrutiny on gambling activities in the state.
A state advocacy group filed a suit in federal court arguing the chain’s games function as unlawful gambling rather than entertainment.
According to the complaint, SC Citizens for Equal Enforcement of Gambling Laws says customers load money onto a Power Card, play for tickets, and exchange those tickets for merchandise ranging from small items to electronics.
The group argues that the structure invites patrons to risk money for a chance at a larger reward, which it says fits South Carolina’s gambling definition.
The filing also claims a customer who loads $55 onto a card typically loses most of that amount on a single visit.
What the Lawsuit Seeks
The case targets stores in Myrtle Beach, Columbia and Greenville and seeks triple damages, fees and a declaration that the model is illegal.
It also relies on a South Carolina appeals ruling that broadened the reach of the state’s anti-gambling law to cover machines tied to money and prizes, whether the outcome turns on skill, chance or both. In the complaint, the group quotes the company’s own language describing the “opportunity to win” as part of the in-store experience.
The suit lands against a backdrop of active enforcement in South Carolina.
Federal prosecutors have recently pursued illegal gambling cases in the state, including a 2022 action against Bubba Technology Group and earlier gambling prosecutions tied to Myrtle Beach and other parts of the state.
Dave & Buster’s has not publicly responded to the allegations.
