Agreed: Playtica will pay a total of NIS 550,000 to the donation organization

Posted on Apr 11, 2024 by Ifi Reporter

As part of a settlement in a class action lawsuit, it was agreed that the Playtica gaming group will pay and transfer a total of NIS 550,000 to the donation organization "Children of the War of All of Us", whose main goal is to provide immediate and long-term support to Israeli children who were orphaned following the October 7 terrorist attack and the Iron Swords War . About a month ago we published that 775 children and teenagers (up to the age of 18) were orphaned since the October 7 massacre.
Recently, a request was submitted to the Tel Aviv District Court to approve a compromise settlement as part of a request to approve a class action filed in 2022 against the gaming company Playtica Group Israel (which is also a sponsor of the Maccabi Tel Aviv basketball team). fun, Caesars slots, etc. As part of the approval request, the applicant, represented by attorney Lior Lahav, raised allegations in connection with online games by corporations in the group known as the Playtika group.
In summary, the request for approval was based on claims made according to which those games meet the definition of "forbidden games" according to the provisions of Israeli law since it is supposedly possible to win them money or the equivalent of money according to the results of the game and the results depend more on fate than on understanding or ability. It was also claimed by the applicant that the members of the group were deceived as consumers into thinking that the activity in the games is free and not addictive.
On the other hand, Pleitika rejected the allegations against her in the answer to the confirmation request. The company showed in its answer that the games in our case are no different from many other games that exist in the various app stores and are played by millions of users around the world. It is claimed that these are network games intended solely for the purposes of recreation, entertainment and amusement and that the games can be downloaded for free and played for free subject to the terms of use. It is also claimed that the vast majority of users choose to play games for free and they do not make purchases during the game. It is also claimed that there is no element of criminality or illegal play in the games, nor is there any possibility of cashing out winnings.
The parties held a mediation process with retired judge Hila Gerstel and reached a compromise settlement that is subject to court approval. Without admitting any claim against them, Playtica and the parent company Playtica Holding agreed to use commercially reasonable efforts from time to time in order to try to locate and prevent, as far as they are located, actions of users in the games in violation of the specific terms and obligations according to the terms of use (for example, not to carry out actions that may allow trading of virtual items outside to the game). For the purpose of implementing this commitment, the Playtica Group will be allocated a renewable total annual budget not less than a total of 100 thousand dollars per year and for a period not less than 7 years.
The parties agreed among themselves that if the request for approval were accepted, it would be impractical to provide financial compensation to the members of the group, and therefore on this background, as well as on the background of the difficult security events that recently occurred in Israel, and which led to the outbreak of the war, in the settlement it was also agreed upon to provide relief for the benefit of the public in such a way that on behalf of the group Playtica will be paid and a total of NIS 550,000 will be transferred in favor of the donation organization "Children of the War of All of Us". It was also agreed, among other things, that the group would take care of incorporating access to the Hebrew language translation of the terms of use and more.


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