The reality star promoted the business on Instagram.
The reality star promoted the business on Instagram.
Kim Kardashian and Scott Disick are being sued for US$40 million ($67m) for promoting a lottery on their Instagram pages that has been accused of being a scam.
Entrants were allegedly lured with the promise of prizes such as first-class tickets to Los Angeles, a three-night stay in Beverly Hillsand even US$100,000 ($167,000).
Claims that the games are a scam are disputed, with sources close to Curated Businesses, the Australian company that organises the lotteries, telling TMZ they have proof that there have been legitimate winners.
Plaintiffs allege that their entries in the contests led to them being bombarded by advertisements that were targeted at them after their personal information was sold, claiming that they were "invaded by hundreds of advertisers, some of which are soliciting the plaintiffs with potentially offensive and unwanted content".
"Just a short 20 years ago, Oprah was giving away cars and cash," the plaintiffs write in the suit.
"But today's entertainment tycoons seem to only care about becoming richer and living an even more opulent lifestyle, while duping their fans and followers."
Disick is accused of being the main organiser of the lotteries, with other family members such as Kylie Jenner, Kris Jenner, Kourtney Kardashian and Khloe Kardashian helping to promote them alongside Kim Kardashian.
TMZ reports that Kim Kardashian and Disick are the only family members names in the suit.
On its website, Curated Businesses explains the process behind the lotteries and provides a list of winners from 2019 to 2022.
Under the question "How is the winner selected?" in the FAQ (Frequently Asked Questions) section, Curated Businesses writes: "We engage the services of a third party facilitator to conduct a random draw of all eligible entrants.
"They are Australian government approved and compliant. As required by Australian law, we also engage the services of (a) fully qualified independent scrutineer to oversee the random draw."
One of the winners listed, who uses the handle @nana_billions, posted to Instagram in August celebrating her win.
"Pinch meeeeeeeeee! I'm screaming omg this is surreal!" she wrote.
"@curatedbusinesses@curated_businesses_legal thank you guys so much! I'm in shock."
