The Quinault Indian Nation, a federally recognized self-governing tribe in Washington state, is suing Valve over gambling rights. The lawsuit, filed in Grays Harbor Superior Court, alleges that Valve runs the equivalent of an unlicensed virtual gambling outfit through Steam via skin and loot box purchases. The nation’s lawyers further accuse Valve of benefiting from third-party trading sites and purposefully acting slowly and ineffectually to combat those sites’ exploitation of children. More pragmatically, the Quinault Indian Nation says Valve is cutting into their legal casino business.
“By providing Washington residents with an illegal, online form of gambling, Valve offers unlawful alternatives to gambling at the lawful and highly regulated Quinault Casino, which takes away revenue from both Quinault and local governments.”
The Quinault Indian Nation wants Valve to cease its online gambling business, and asks the Washington Gaming Commission to regulate the practice, or shut it down permanently. You can read a copy of the filing here.