Texas Lottery Signage
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The Texas Lottery Commission has recently found themselves in hot water after a lottery winner filed a lawsuit against the Commission, stating that over $83.5 million (£65 million) hasn't been paid to her over the course of three months. Her lawsuit also follows recent controversy within the lottery commission over the use of third-party couriers, which increases the chances of winning the lottery on demand.

What's In The Lawsuit?

A Texas woman, only identified in the case filing as "Jane Doe", has filed a lawsuit against the Texas Lottery Commission after being denied an $83.5 (£65 million) million Lotto Texas jackpot she claims to have won in February 2025.

According to the lawsuit, the woman purchased her winning ticket via Jackpocket, a third-party courier app, which was legal at the time. However, shortly after her win, the Commission banned such services, citing concerns over their legality. Despite verifying her ticket as a lawful winner, the Commission has withheld payment, citing ongoing investigations.

The woman's lawsuit alleges that the Commission is retroactively applying new rules to invalidate her win, which she claims is illegal.

'Every Texan knows what that should mean when it comes to the lottery – if you win, you should get paid," the suit says. 'It shouldn't take a lawsuit to get paid when you win the lottery. But that's exactly what has happened here.'

How Texas Lottery Commission Does Payouts

The Texas Lottery Commission follows a structured process to pay out lottery winnings. For prizes up to $599 (£443.45), winners can claim their winnings at any participating retailer. Prizes of $600 (£444.19) or more must be claimed at a Texas Lottery Claim Center or by mail.

Winners must complete a claim form and provide a valid photo ID. Once a claim is submitted, the Commission processes the payment within three business days, excluding weekends and holidays.

For jackpot prizes, winners must choose between a lump-sum cash payment or an annuity over 30 years. This choice is made at the time of ticket purchase and cannot be changed after the draw. The lump-sum option provides the present cash value of the jackpot, while the annuity option pays the full jackpot amount in annual instalments.

A Crackdown on Lottery Couriers

The Texas Lottery Commission's recent ban on third-party courier services has ignited significant controversy, particularly concerning the use of apps like Jackpocket to purchase lottery tickets.

These services, which allow players to buy tickets online through licensed retailers, have been under scrutiny due to concerns about legality and potential misuse. In April 2025, the Commission unanimously voted to prohibit such couriers from selling tickets online, reversing its previous stance that it lacked regulatory authority over these services.

This policy shift followed high-profile incidents, including a $95 million (£70.33 million) jackpot win in 2023 involving bulk ticket purchases through a courier and this latest one for $83.5 million (£65 million).

How Prevalent are These Couriers?

Third-party lottery courier services have become increasingly prevalent across the United States, offering a convenient way for players to purchase tickets online. Apps like Jackpocket and TheLotter operate in multiple states, with Jackpocket alone facilitating over $550 million in ticket sales in Texas before ceasing operations there in early 2025.

Despite their popularity, courier services are regulated in only two states—New York and New Jersey—where they must be licensed and adhere to strict guidelines. In most other states, including Texas, couriers operate in a legal grey area, leading to recent bans and heightened scrutiny.

The rapid growth of digital lottery platforms underscores the need for clear regulatory frameworks to ensure fairness and security in the evolving landscape of lottery gaming. In this case, the lawsuit filed by the Texas woman over her unpaid lottery prize highlights growing tensions between evolving digital lottery practices and outdated regulatory frameworks.

As third-party couriers continue to reshape how Americans participate in the lottery, the case underscores the urgent need for transparent, consistent policies to protect players' rights and ensure public trust in the integrity of state-run gaming systems.