Tag Archives: DraftKings

DraftKings and FanDuel Dodge Former College Athletes’ Likeness Suit

On September 29, 2017, an Indiana federal judge threw out a proposed class action brought by college athletes against DraftKings and FanDuel for allegedly profiting off the use of their names, images, and likenesses. The judge ruled that the college athletes’ claims were barred by exemptions to Indiana’s right-of-publicity law. The case was originally brought in Indiana state court by former Northern Illinois University football players Akeem Daniels and Cameron Stingily, and former Indiana University football player Nicholas Stoner on behalf of about 3,000 former…

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DraftKings and FanDuel Agree to Pay $2.6 Million to End Massachusetts Attorney General Investigation

On September 7, 2017, DraftKings and FanDuel, two daily fantasy sports platforms, agreed to pay $2.6 million to settle the Massachusetts investigation into their unfair and deceptive practices. The Massachusetts Attorney General’s Office did not state what the violations were, but the fines are the result of a 2015 investigation into the two companies’ business operations. In its 2015 investigation the Attorney General’s Office noted that consumers did not have adequate protections from the websites’ operators and more regulation was needed. This led to the…

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Suit Claiming Daily Fantasy Sports Law is Unconstitutional Continues

A group of citizens’ suit against the New York Attorney General and New York Gambling Commission was allowed to continue after a New York Judge denied the defendants’ motion to dismiss the case. The plaintiffs, a group that claims they are victims of gambling and are opposed to the proliferation of gambling, claimed the law legalizing daily fantasy sports is in violation of New York State’s constitutional prohibition on gambling expansion. The group of citizens claimed that the law allowing daily fantasy sports to…

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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…

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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…

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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…

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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…

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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…

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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…

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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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