Modo.us Adds Legal Language to Terms & Conditions for California

Modo.us, a sweepstakes casino operator, has updated its terms and conditions to include a legal waiver regarding players in California. This comes as Assembly Bill 831, which would outlaw sweepstakes casinos, has advanced rapidly and will be heard before the Senate Appropriations Committee on Aug. 18. 

The terms and conditions reference California Civil Code, and more specifically, sections 1541 and 1542. These laws aim to protect consumers from unknowingly giving up claims against a company. Now, by agreeing to these new terms, players in California will waive these protections, which will prevent any potential lawsuits. 

Why Add The Waiver? 

Per California Civil Code section 1542, it states: 

“A general release does not extend to claims that the creditor or releasing party does not know or suspect to exist in his or her favor at the time of executing the release and that, if known by him or her, would have materially affected his or her settlement with the debtor or released party.”

So, in essence, Modo.us is making California residents agree to waive that right before doing anything else.

This serves two purposes: Limits lawsuits in CA for now, protects the company in the event AB831 passes and forces Modo.us to shut down, and avoids potential disputes. 

VGW Did the Same Thing

In July, Virtual Gaming Worlds, the company behind Chumba Casino, LuckyLand Slots, and Global Poker, added similar language to its terms. It came just after VGW began charging sales tax in several states, including California. It did this in a show of good faith to lawmakers. 

Per Sweepsy, only 17.5% of the 40 reviewed sweepstakes casinos have the waiver. 

Next Up for AB831 and More

As mentioned, AB831 will be heard before the Senate Appropriations Committee on Aug. 18. 

If it passes there, it’ll go to the Senate for a vote, then back to the Assembly for re-approval due to changes that have been made. 

The current legislative session ends on Sept. 12, but it could be carried over to 2026 as California has a two-year cycle. 

As for what operators are doing, platforms like MegaBonanza, Hello Millions, PlayFame, and SpinBlitz have stopped CA-targeted promotions. 

Speaking of Hello Millions, their parent company, B-Two Operations, has reopened McLuck, Hello Millions, PlayFame, and SpinBlitz in Georgia and Alabama.