A coalition of organizations, including the American Civil Liberties Union (ACLU) and the Association of National Advertisers, whose members include Google, NBCUniversal, and other Fortune 500 companies, has joined the Social and Promotional Games Association (SPGA) in opposing California Assembly Bill 831.
California AB 831 Would Ban Sweepstakes Casinos, Promotions
AB 831 would outlaw online sweepstakes casinos and sweepstakes promotions by companies such as Marriott, Microsoft, and Starbucks. Lawmakers advanced the bill beyond the Senate Governmental Organization committee last week, and the next hearing is scheduled for July 15 in the Senate Public Safety Committee.
“Originally introduced through a “gut-and-amend” process, the bill’s broad language has created uncertainty around the legality of common sweepstakes and promotional programs,” the SPGA stated in its news release.
“Consumer advocates and business leaders alike are urging lawmakers to revisit the proposal and clarify its intent to avoid unintended consequences for lawful marketing practices.”
AB 831 Revises Definition Of Gambling-Themed Game
According to the Legislative Counsel’s Digest, California’s existing law “prohibits specified unfair acts or practices undertaken or committed by any person in the operation of any contest or sweepstakes.”
This includes “using or offering for use any method intended to be used by a person interacting with an electronic video monitor to simulate gambling or play gambling-themed games in a business establishment that directly or indirectly implements the predetermination of sweepstakes cash, cash-equivalent prizes, or other prizes of value.”
AB 831 would specify that “using or offering for use any method, including an internet website or an online application, in the manner described above is prohibited, and would make conforming changes.”
The bill would revise the definition of “gambling-themed game” to include examples, such as “lottery games, bingo, sports wagering, or any game that mimics or simulates similar games, as specified.”
Several Groups Oppose Bill
Simply put, AB 831 would negatively impact California’s digital entertainment industry.
“The SPGA is proud to stand alongside the ACLU, the Association of National Advertisers, and other partners in voicing concerns about AB 831,” said an SPGA spokesperson.
“This diverse coalition, including civil liberties advocates, leading businesses, and industry groups, reflects a shared belief that the bill, as written, could have unintended consequences for lawful promotional practices without offering clear consumer protections.”
Groups in opposition to AB 831 include:
- ACLU California Action
- American Transaction Processors Coalition
- Association of National Advertisers
- Californians United for a Responsible Budget
- Social and Promotional Games Association (SPGA)
- Social Gaming Leadership Alliance (SGLA)
- Virtual Gaming World (VGW)
The California legislative session runs until Sept. 12, but bills can carry over to the 2026 session.