An arbitrator has ruled that over 100 casinos can proceed with a class action lawsuit against gaming device manufacturer Light & Wonder regarding alleged monopolistic practices in the card-shuffling machine market.

American Arbitration Association (AAA) arbitrator John Wilkinson determined that class arbitration is the most efficient and fair method for resolving the antitrust claims. The ruling rejected Light & Wonder's argument that individual plaintiffs' claims were too diverse for class certification.

The case originated in 2020 when the Tonkawa Indians of Oklahoma filed litigation against Scientific Games Corp. (now Light & Wonder), claiming the company overcharged casino operators for card-shuffling devices while maintaining a monopoly that eliminated competition.

Wilkinson emphasized that managing 112 separate arbitrations would be impractical, noting that Second Circuit courts typically presume numerosity for classes larger than 40 members. He also determined that any individual issues among class members could be effectively addressed within the class action framework.

Light & Wonder faces a similar federal lawsuit in Chicago, where over 1,000 casinos have filed antitrust claims. The company entered the card-shuffling device market through its $5.1 billion acquisition of Bally Technology in 2014, which had previously acquired SHFL Entertainment, the original Shuffle Master manufacturer.

SHFL Entertainment had a history of aggressive patent defense and was previously ordered to pay $315 million to competitor Shuffle Tech, which claimed SHFL's practices forced them out of business after becoming part of Scientific Games.

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