Tag Archives: DraftKings

FTC Pressure Forces DFS Giants to Cancel Merger Plans

Last November, FanDuel and DraftKings announced their plan to merge, and sought to combine the two largest operators of paid fantasy daily sports. The agreement came amidst scrutiny from several state attorneys general and other regulators over the legality of daily fantasy sports. On July 13, 2017, the two daily fantasy sports giants announced they would no longer pursue their plan to join forces. The most recent announcement came after the FTC filed a lawsuit against DraftKings and FanDuel in June, saying the two…

Continue Reading....

Update: Federal Judge Grants Temporary Restraining Order Blocking FanDuel DraftKings Merger

U.S. District Court Judge Ketanji Brown issued a temporary restraining order preventing DraftKings and FanDuel from completing their merger as the Federal Trade Commission (FTC) seeks a preliminary injunction. The proposed merger would keep both websites operational. DraftKings CEO Jason Robbins will be the CEO of the merged company and FanDuel CEO Nigel Eccles will become Chairman of the Board. Even though both companies will still be operating and consumers will have a choice of which to use, the FTC argues the merger will…

Continue Reading....

FTC Seeks Injunction on FanDuel and DraftKings Merger

The Federal Trade Commission (FTC) and the attorney generals for California and the District of Columbia will file a complaint to prevent the merger of FanDuel and DraftKings while the FTC is reviewing the merger process. FanDuel and DraftKings make up 95 percent of the daily fantasy sports market. The FTC argues the merger would “deprive customers of the substantial benefits of direct competition.” The companies announced the merger in November 2016, in large part to cut their legal bills. At the time, the…

Continue Reading....

Maryland Adopts Daily Fantasy Sports Regulations

Maryland’s fashionably late adoption of daily fantasy sports regulations went into effect on January 2, 2017, providing several consumer safeguards  in the industry. State regulations surrounding the industry came flooding in after fantasy sport kingpins DraftKings Inc. and FanDuel Inc. faced a number of class action suits in 2015. Maryland’s regulations appear much less restrictive than most, however, in that they do not require operators to shell out a high registration fee (Virginia requires a whopping $50,000), and they set its minimum age at 18…

Continue Reading....

DraftKings Sued by Fantasy Sports Cable Network

DraftKings has gotten a lot of negative attention in the past year, and its luck doesn’t seem to be changing. On September 23, 2016, Anthem Sports & Entertainment Corp sued DraftKings in a New York court for failing to pay over $4 million in a television programming deal. In August 2015, Anthem Sports, as the owner of the fantasy sports cable network Fantasy Sports Network, Inc., claimed it made a television programming deal in which DraftKings agreed to pay Anthem $4.5 million to produce daily…

Continue Reading....

Daily Fantasy Sports Companies Investing Big Money in Lobbying

After the first two weeks of NFL football in 2016, once thing is apparent; there are far fewer commercials advertising for daily fantasy sports. The decline in the advertising of daily fantasy sports companies makes sense given the rising costs other factors associated with the legality of these sites. FanDuel Inc. and DraftKings Inc., the largest daily fantasy players, are fighting for their existence on a state-by-state basis. Daily fantasy sports companies are pushing to be classified as a “game of skill” instead of a…

Continue Reading....

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,…

Continue Reading....

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

Continue Reading....

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…

Continue Reading....

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.…

Continue Reading....