Class Action Lawsuit Filed Against Babylon Park Over Pricing and Gambling-Like Games

A class action lawsuit, valued at over 2.5 million shekels, has been filed against Babylon Park Israel, the operator of a chain of entertainment centers under the Babylon Park brand. The lawsuit, submitted to the Central District Court by two minors through a parent, seeks an order for the company to display the shekel equivalent alongside prices listed in its internal currency, "Babylon coins." It also requests an injunction to halt the operation, marketing, or use of "lottery machines, games of chance, and/or any other mechanism based on probability, luck, and/or randomness."

Customers cannot pay for games directly in shekels but must convert their money into Babylon coins. The lawsuit alleges that game prices are displayed only in these coins, with variable exchange rates depending on the package purchased. This practice, the plaintiffs argue, makes it difficult for consumers, especially minors, to understand the actual cost of each game. For instance, prices like 25.60 coins are shown without a corresponding shekel value, forcing users to rely on their existing coin balance without a clear understanding of the real price at the point of purchase, thereby diminishing the "pain of payment."

The plaintiffs further contend that the company's venues create a casino-like atmosphere, featuring machines that mimic gambling, including roulette and slot machines, but with children and teenagers as the primary users. They claim this is facilitated by a three-pronged "flawed system": a virtual currency pricing model that obscures the true cost, the operation of gambling-like machines in violation of the law, and extensive collection and sharing of personal user data for profiling and targeted advertising without a genuine opt-out option.

Babylon Park has vehemently denied the allegations, calling the lawsuit's claims partial, biased, and misleading. The company stated that the lawsuit is an unproven request containing baseless factual and legal claims. Babylon Park asserts it is Israel's leading family entertainment center, operating responsibly with high standards of service, operation, and safety. The company plans to submit its full response in court, confident that the facts will prove the claims unfounded.