Published on: February 17, 2026, 06:41h.
Updated on: February 17, 2026, 06:41h.
- Federal judge rules Torch devices as unlawful gambling apparatus
- $500K jury ruling precedes wider legality determination
- Ruling may instigate statewide enforcement initiatives
A federal judge made a significant ruling on Monday against the “gray market” slot-style machines that have been widely distributed across Missouri’s convenience stores, bars, and restaurants.
U.S. District Judge John A. Ross determined that the machines, which are marketed and distributed by Torch Electronics based in Wildwood, Mo., qualify as “gambling devices” and are hence unlawful under Missouri statutes when used outside of licensed casinos.
The games, often labeled as “no chance” or “skill” machines, replicate casino-style slots but operate in unregulated environments, such as gas station aisles and local pubs. This ruling opens the pathway for regulatory bodies and law enforcement to intensify actions against these devices, which, unlike casino slots, function untaxed and lack consumer protections.
Unequal Competition
The lawsuit was initiated by TNT Amusements, a distributor of coin-operated arcade games, including pinball machines and retro gaming cabinets. The company originally filed its complaint in a Missouri state court back in 2019, alleging that Torch Electronics engaged in unfair competition and interfered with its business operations.
TNT claimed that Torch incited Missouri establishments to replace its arcade machines with devices that operated as illegal gambling equipment. The case was later escalated to federal court in 2023.
In late September 2025, a federal jury evaluated five days of evidence and ruled in favor of TNT after finding that some marketing claims by Torch regarding the absence of “chance” were deceptive. This included the company’s assertions about the machines’ “Prize Viewer,” a pre-reveal feature, which Torch contended removed randomness from game play.
After the jury granted TNT $500,000 in damages, the court subsequently considered TNT’s request for a declaratory judgment on whether Torch’s devices are deemed illegal gambling devices by Missouri law.
Multiple Chance Factors
Judge Ross noted that expert testimony and trial evidence illustrated that the machines encompass “multiple elements of chance,” and thus can be classified as gambling devices according to Missouri legislation.
He cited several evidentiary elements, such as the design of prize pools and how outcomes are presented to players, dismissing the notion that a pre-reveal feature could legalize the devices as entertainment apparatus.
Ross highlighted that courts in other jurisdictions have consistently rejected the idea of “pre-reveal” features as legal loopholes. He referenced a Tennessee ruling from July 2025, which determined Torch’s “No Chance Games” to be illegal under that state’s gambling regulations, which he found to be largely similar to Missouri’s laws.
Slot Classification Controversy
Even though reports characterize the terminals as “slot machines,” Ross explicitly refrained from categorizing the devices as such. He noted that this classification was not presented to the jury and a formal declaration was unnecessary to settle the dispute. His official determination was that the devices are illegal “gambling instruments” when used outside casino environments.
Missouri’s leading law enforcement agency has already exhibited a proactive approach towards these machines. Attorney General Catherine Hanaway, who assumed office in September 2025, has publicly stated her office is poised to enforce actions against operators of such devices.
Torch has expressed its intention to appeal the ruling, asserting its confidence that its games comply with both the letter and spirit of Missouri law.