Class action request against Babylon: "A feeling of a casino where the gamblers are children"

A request to approve a class action against the chain claims that payment in the complexes is made in "Babylon coins," which makes it difficult for consumers, especially minors, to understand the cost of each game, and that some machines simulate gambling. Babylon Park: "Categorically rejects the claims."

YnetAuthor: Lital Dobrovitsky
Source
Class action request against Babylon: "A feeling of a casino where the gamblers are children"
Photo: Ynet / צילום: מירב קריסטל

A request to approve a class action lawsuit, estimated at more than 2.5 million shekels, was filed this month in the Central District Court against Babylon Park Israel, which operates a wide network of game complexes under the brand Babylon Park. The request, filed by two minors through one of their parents, asks the court to order the company to display the equivalent price in shekels alongside every price denominated in Babylon coins, and to issue an injunction to cease the operation of "lottery machines, gambling games, and any other mechanism based on probability or luck."

Customers cannot pay for games directly in shekels, but must convert money into an internal currency called "Babylon coins." The lawsuit, filed by attorneys Dr. Hagai Kalai, Oz Pinhas, and Idan Ben David, claims that variable conversion rates make it difficult for consumers, especially minors, to understand the real cost. "The user must rely on the balance of coins on their card, which dulls the 'pain of paying'," the filing states.

According to the applicants, "price blurring is only one layer." Inspections revealed machines that mimic the language and experience of gambling: "The feeling in the complexes is like a casino in every respect. Only here, the 'heavy' gamblers are replaced by children and teenagers who pay in a flash for slot machines, roulettes, and wheels of fortune."

The lawsuit highlights three "improper arrangements":

  1. A pricing model based on virtual currency that violates the duty to display the total price.

  2. Operation of gambling-style machines without disclosing probabilities or providing warnings, even towards minors.

  3. Extensive collection and processing of personal data for profiling and targeted advertising without a real possibility to refuse.

Attorneys Shahar Conforti and Osher Sapir, representing the company, stated: "Babylon Park categorically rejects the claims, which present a partial and misleading picture. This is only a request that has no solid factual or legal basis. Babylon Park is a leading chain that has operated responsibly for years. We will provide our full response in court and are confident that the claims have no substance."

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