November 19, 2023

Next-Gen sweepstakes scam $30M FTC settlement 2023: Scam or Legit? Find Out!

Did you receive a notice from Next-Gen? Did you receive a mail about a class action on the settlement to resolve claims about the Next-Gen sweepstakes scam $30M FTC lawsuit? This review will help you partake in the class action settlement after confirming the authenticity of the mail.

What Is Next-Gen sweepstakes scam $30M FTC Class Action Settlement?

After securing a $30 million settlement with Next-Gen, the Federal Trade Commission (FTC) is sending out $25 million in refunds to those who lost money in a sweepstakes scam. The name of the case is Federal Trade Commission and the State of Missouri, v. Next-Gen, Inc., Case No. 4:18-CV-0128, in the U.S. District Court for Western District of Missouri.

What Is This Class Action All About?

In 2018, the FTC and the Missouri attorney general took legal action against Next-Gen, accusing the company of operating cash prize sweepstake scams that took advantage of older consumers. The scams allegedly mailed letters to consumers around the world promising them prizes of up to $2 million in exchange for a fee. Fees paid by customers ranged from $9 to $139.99.

However, some consumers — primarily seniors — were duped several times by this scheme before they realized the true nature of the scams.

In March 2019, the FTC and the state of Missouri reached an agreement with Next-Gen in which the company would forfeit $30 million in cash and assets. The recovery includes over $21 million in cash, two luxury vacation homes, a yacht, a Bentley and other property. In addition to funding refund payments, the FTC agreement permanently bans Next-Gen from online prize promotions.

This is the largest recovery ever secured by the FTC in a sweepstakes scam case.

“These defendants tricked millions of people — many of them older adults — into paying money to collect prizes that never materialized,” Andrew Smith, director of the FTC’s Bureau of Consumer Protection, said in a statement.

“With our valued partners in the Missouri AG’s office, we are working hard to protect older Americans against scams like these.”

The recovery from the FTC agreement will fund $25 million in refunds to affected customers. 

Consumers who live in the United States, United Kingdom or Canada do not need to take action to receive their refund payments. Americans and Canadians will receive their payments as checks. Over $19 million in refund checks are being sent to U.S. and Canada residents. Checks received from the FTC must be cashed within 90 days.

United Kingdom residents will receive their shares as prepaid Mastercard cards. Over $630,000 in Mastercard debit cards are being sent to these individuals. The prepaid Mastercard cards have a two-year expiration date.

Eligible consumers living outside the U.S., Canada or UK must request their refund payment via PayPal through the FTC refund website. The FTC has sent more than 19,500 letters to residents in other countries explaining that they could recover their share of $4.69 million in PayPal payments.

Who Is Eligible?

The settlement benefits all class members or consumers in the U.S., Canada, the United Kingdom and other countries who lost money to a Next-Gen prize scheme. Around 240,000 people will receive refund checks.

How To Be Part of This Settlement

For a class member to partake in this settlement, requests for these payments must be made by June 30, 2023. The deadline for those outside the U.S., UK or Canada to request a payment has been extended to June 30, 2023. The settlement website is

What Is The Pay For This Settlement?

The pay for this settlement varies and the proof of purchase is not necessary.


As you submit your claim to the settlement website, just like Sincera Reproductive Medicine class action settlement we have reviewed , you’re doing so under penalty of perjury. You are also harming other eligible Class Members by submitting a fraudulent claim. The final approval hearing for the settlement is scheduled for July 13, 2023.

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