Category Archives: Fantasy Sports

DraftKings Automated Text Class Action Continues

DraftKings has been subject to ongoing legal scrutiny and the legality of online fantasy leagues hosted by companies like DraftKings and FanDuel has been debated over the past years. Along with questions surrounding potential anti-gambling law violations, stakeholders are also questioning the truthfulness of the aggressive advertisement tactics employed. In October 2014, Izsak expressed his displeasure with DraftKings advertising tactics by filing a class action suit in Illinois federal court. He claims that on September 1, 2014, he received an unsolicited text message from DraftKings,…

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Illinois Fantasy Sports Bill Stalls in House Heading into Summer

The Illinois state legislature wrapped up its spring session on Tuesday, May 31, 2016, and came with it the disappointment of many an avid daily fantasy sports player, as a proposed bill regulating the fantasy industry failed to be called to a vote before the end of the session. The bill, which had already passed in the Illinois Senate, seeks to allow DFS giants DraftKings and FanDuel to legally operate throughout the state under specific regulations. Some of those potential restrictions include limiting DFS games

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DraftKings Taking a Gamble: Daily Fantasy Sports Operation Bets Gambler’s Wife is Insincere in Requested Damages

On June 3, 2016, Daily fantasy operator DraftKings insisted a Tennessee federal court continue to review a woman’s lawsuit to be reimbursed for her husband’s daily fantasy gambling losses. Previously, Erica Miller filed a motion to have her suit returned to Tennessee state court because her request for damages just under $47,000 — well under the $75,000 threshold required for federal jurisdiction. This lawsuit has developed a bizarre shift in traditional legal practice where the plaintiff is saying they want less money and the defendant…

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Deal or No Deal? DFS Company Wants Sponsorship with NHL Team Void Because DFS is Not Legal

On June 1, 2016, Emil Interactive Games, LLC, the company behind the daily fantasy sports operation “Draft Ops,” filed a memorandum in support of their Motion to Dismiss a breach of contract suit by the NHL’s Minnesota Wild. In asking a Minnesota federal judge to toss the case they assert the fact that daily fantasy sports has become a contentious issue in many states and has come under fire having been banned outright in five states and consequently the contract should be voided. In its…

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Class Action Suit From College Athletes Against Fantasy Sports Continues in Federal Court

On Wednesday, May 18, 2016, former NCAA athletes moved their lawsuit against major fantasy sports sites FanDuel and Draftkings to Indiana federal court. The lawsuit was initiated earlier this month when a group of former athletes sued FanDuel and Draftkings over the unauthorized use of the players’ names and likeness for fantasy sports betting. The class action alleges that the fantasy sports sites used the players’ names and likenesses to promote fantasy college sports contests for which they charged fees and generated about $3 billion.…

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Refereeing Daily Fantasy Sports Industry: Missouri Becomes Sixth State to Pass Legislation

Amid ongoing Daily Fantasy Sports (DFS) scrutiny across the United States, Missouri lawmakers have passed a bill to legalize and regulate the industry. On Thursday, May 12, 2016, the Missouri House of Representatives signed onto the Missouri Senate’s version of the bill titled “Missouri Fantasy Sports Consumer Protection Act,” HB 1941, which now awaits approval by Governor Jay Nixon. Under the bill, DFS will be exempt from existing gambling law, regulated by the Missouri Gaming Commission, but operators will be required to obtain…

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Legalizing Fantasy Sports May Wreck Tribal Relations

While lobbying for legislation has proven to be the path for Daily Fantasy Sports (DFS), a new twist has been added to the story. On April 18, 2016, Connecticut Attorney General George Jepson released an opinion that could severely jeopardize, or complicate, oncoming DFS legislation. In an opinion letter to Connecticut senators, Jepson stated, “There is a substantial risk that the passage of such legislation could jeopardize the State’s revenue-sharing arrangements with the Tribes.” Connecticut had proposed legalizing fantasy sports with an 8.75 percent

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Fantasy Sports Considered Illegal Gambling by Two More Attorneys General

Alabama and Tennessee can be added to the list of states with attorneys general who do not believe daily fantasy sports are legal under their state law. On April 5, 2016, the Alabama Attorney General issued a press release reporting he delivered cease and desist letters to FanDuel and Draft Kings. The two leagues have until May 1, 2016 to stop operating in Alabama. According the Attorney General Luther Strange, “paid daily fantasy sports contests are in fact illegal gambling under Alabama law.” Tennessee Attorney

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Fantasy Sports Suspend College Sports Contests

Daily fantasy sports companies DraftKings and FanDuel have voluntarily agreed to suspend DFS contests involving college sports. This agreement arises after months of discussions between the fantasy sports companies, the NCAA, its member schools, and various state legislatures. As the March Madness Tournament winds down, the agreement to suspend fantasy college contests will go into effect after tonight’s championship game. DraftKings and FanDuel have been battling over the legality of their fantasy sports contests for quite some time. For example, DraftKings and FanDuel recently agreed…

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A Wait-and-See Approach: Federal Prosecutors Waiting to See What States Do With Fantasy Sports

The game of chance versus game of skill debate is nothing new in the realm of the daily fantasy sports industry. But on Friday, April 1, 2016, the U.S. Attorney for the Eastern District of Pennsylvania, Zane Memeger, indicated his office’s intent to see how states resolve the question of whether or not companies like DraftKings or FanDuel are violating anti-gambling laws: From the Department of Justice’s perspective, we’re waiting to see what the states are going to do with fantasy sports, in terms of…

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