Problem:
Plaintiffs purchased state lottery tickets and were winners along with 76 others. The state had advertised that $1,750,000 would be the prize, but it distributed only $744,471. Plaintiff sued the lottery director, alleging fraud in the conduct of the lottery. The state lottery law provides for administrative hearings upon complaints charging violations of the lottery law or of regulations thereunder. It also allows any party adversely affected by a final order of the administrative agency to seek judicial review.
Must the plaintiffs exhaust their administrative remedies? Why or why not?