Illinois court says legal remedies for recovering gambling losses a “lost cause”

Some Illinois grifters have lost their latest bid to recover money lost on online gambling sites owned by Canada’s Amaya Gaming.

On Friday, the Seventh Circuit Court of Appeals upheld an Illinois lower court’s ruling rejecting a bid by Kelly Sonnenberg and her son Casey and Judy Fahrner and her son Daniel to recover moneys lost gambling on PokerStars and Full Tilt before the two sites left the US market following the 2011 Black Friday indictments.

The mother-and-son tandems filed their suits in 2012 under the Illinois Loss Recovery Act (ILRA), one of those archaic nineteenth century statutes that allow individuals to sue to recover “illegal gambling” losses, including other gamblers’ losses. This nuisance suit used to be Isai and Mark Scheinberg’s problem, but Amaya acquired the Stars and Tilt operations in 2014, and here we are.

Lower courts rejected the sons’ ILRA claims because they’d failed to file within the six-month window for gamblers seeking to recover their own losses. The mothers were allowed to pursue their claims on behalf of their sons’ losses, but courts ruled that a poker operator was merely the keeper of the house, not the individual who won the sons’ money.