Category Archives: Fantasy Sports

FanDuel and DraftKings File Individual Actions v. NY Atty. Gen. Schneiderman

On Friday November 13, 2015, daily fantasy sports (DFS) industry leader DraftKings, Inc. filed a state court lawsuit against N.Y. Attorney General Eric Schneiderman. The action seeks an injunction precluding the AG from prohibiting DraftKings’ DFS operations in New York State. Later that day, FanDuel, Inc., DraftKings’ industry competitor, filed its own individual state court action requesting the same. The two actions were filed following AG Schneiderman’s notice to DraftKings and FanDuel to cease and desist from accepting DFS wagers from New York residents. Schneiderman…

Continue Reading....

DraftKings Files Lawsuit Against NY Attorney General Over Fantasy Sports Ruling

On Friday November 13, 2015, daily fantasy sports (DFS) giant DraftKings, Inc. initiated a state court lawsuit against New York Attorney General Eric Schneiderman. The lawsuit was filed in response to Schneiderman’s November 10, 2015 ruling, which required DraftKings and FanDuel, Inc. (DraftKing’s industry competitor) to cease and desist from accepting DFS wagers from New York State residents. The AG’s ruling implicated only DraftKings and FanDuel, although several other DFS companies exist. DraftKings’ lawsuit seeks to preclude New York from halting the company’s business in…

Continue Reading....

Menendez and Pallone of NJ Renew Request for FTC Action in Fantasy Sports

Following the September 2015 daily fantasy sports (DFS) scandal, U.S. Senator Robert Menendez (D-NJ) and House Representative Frank Pallone, Jr. (D-NJ) sent a letter to the Federal Trade Commission requesting an investigation of DFS industry leaders DraftKings, Inc. and FanDuel, Inc. The FTC’s response letter stated that the Commission believed no new regulations or legislation were necessary. On Tuesday November 10, 2015, Menendez and Pallone sent the FTC an additional letter renewing their request for federal action.  The date of the letter was most likely…

Continue Reading....

New York Shuts the Book on Daily Fantasy Sports: AG Schneiderman Rules Activities of DraftKings, FanDuel Illegal

Forget to set your daily fantasy sports lineup in New York? This will no longer be a problem for you. Following the September 2015 daily fantasy sports (DFS) scandal, both state and federal authorities began investigating the business operations of industry leaders DraftKings, Inc. and FanDuel, Inc. The scandal stems from the acts of a DraftKings employee, Ethan Haskell, who used inside data to win $350,000 on FanDuel’s website. New York Attorney General Eric Schneiderman initiated an investigation into the business operations of DraftKings and…

Continue Reading....

Here We Go Again: DraftKings, FanDuel Face Another Lawsuit

Since early-October, federal lawsuits have piled atop of daily fantasy sports (DFS) industry leaders DraftKings, Inc. and FanDuel, Inc. In total, there are now over 25 federal actions filed against the two companies. Most of the cases stem from allegations claiming the pair engaged in illegal gambling, unfair business practices, and insider trading. On November 2, 2015, however, a patent infringement case was filed in Texas against both DraftKings and FanDuel, in addition to Fox Sports. The plaintiff in the patent cases is Virtual…

Continue Reading....

Fox Sports Latest to be Hit with Patent Infringement Suit

Virtual Gaming Technologies LLC filed a complaint against Fox Sports in the Eastern District of Texas this past Monday, November 2, 2015, alleging patent infringements in regards to the technologies that make fantasy sports over the Internet a reality.  The lawsuit is one more in a list of similar allegations filed by the technology company against other fantasy websites, including DraftKings and FanDuel. The complaint alleges that Fox Sports is in violation of two issued patents for the use of and operation of its…

Continue Reading....

Garcon v. FanDuel: What is FanDuel’s Liability and Why Wasn’t DraftKings Invited?

On Friday October 30, 2015, NFL wide receiver Pierre Garcon filed a putative class action against FanDuel, Inc., an industry leader in daily fantasy sports gambling (DFS). The lawsuit follows the recent avalanche of class actions filed against FanDuel and DraftKings, Inc. (another DFS industry giant). Unlike those cases, however, which pursue claims of insider trading and unfair business practices, Garcon’s action alleges a misappropriation of publicity rights. Garcon’s complaint alleges that FanDuel misappropriated the publicity rights of the NFL’s offensive skill-positioned players (i.e.…

Continue Reading....

Pierre Garcon v. FanDuel, Inc.: The Latest Class Action in Daily Fantasy Sports

The legal issues for the daily fantasy sports (DFS) industry continue to mount following the putative class action filed by Pierre Garcon, a NFL wide receiver for the Washington Redskins. After news of the DFS scandal broke in late-September 2015, in which industry leaders FanDuel, Inc. and DraftKings, Inc. were accused of insider trading, nearly a dozen federal class actions have been filed against the two companies. Garcon’s action, which was filed on October 30, 2015, names only FanDuel, Inc. as a defendant.  The complaint…

Continue Reading....

FanDuel CEO Calls for Legislative Regulations of Fantasy Sports

On Thursday October 29, 2015, in a letter to website users, FanDuel, Inc. CEO Nigel Eccles called for “formal” government regulation to govern daily fantasy sports (DFS). Eccles’ letter comes following a month-long bombardment of class action lawsuits and negative press coverage against the two DFS industry leaders, FanDuel, Inc. and DraftKings, Inc. The legality of the companies’ business operations has been placed in question; namely, whether DraftKings and FanDuel engaged in insider trading, unfair practices, and illegal gambling operations is at issue. The two…

Continue Reading....

House Rep. Frank Pallone, Jr. Requests Info From DraftKings, Fanduel

In September 2015, before the DraftKings-FanDuel scandal had even occurred, House Rep. Frank Pallone, Jr. (D-NJ) voiced his concerns about the two daily fantasy sports betting (DFS) websites, which rapidly became billion-dollar industries over the last year.  He urged the U.S. Congress for a congressional hearing into the legality of DFS. In a September 14, 2015 letter to House Republicans, Pallone stated that DFS “sites are enormously popular, arguably central to the fans’ experience, and professional leagues are seeing the enormous profits as a result.” …

Continue Reading....