MLB Asks Lawmakers to be Cautious in Recently Legalized Sports Betting World

On July 31, 2018, at the National Conference of State Legislators (NCSL) Bryan Seeley, a senior vice president with Major League Baseball, asked lawmakers to be cautious in the recently legalized sports betting world. As we have previously reported, in May 2018, the United States Supreme Court struck down a federal statute controlling the states’ ability to regulate sports gambling. In its majority opinion, the court voted to strike down the Professional and Amateur Sports Protection Act of 1992 (PASPA). Although PAPSA did not…
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CBS Interactive Inc. Sued for Trademark Infringement

On July 13, 2018, Fulltime Fantasy Sports, LLC (Fulltime) sued CBS Interactive Inc. (CBSi) for trademark infringement, false advertising, breach of contract, conversion, unlawful and deceptive practices, and unfair competition. According to the complaint, “[a]s fantasy football season approaches, Fulltime has been forced to file this action to seek relief from the Court’s so that CBSi will stop misappropriating Fulltime’s intellectual property and good will, stop confusing consumers, and pay Fulltime what it is owed.” Fulltime, founded in 2011, “provided premier fantasy sports content,…
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College Football Right of Publicity Lawsuit: Player Unions Support College Athletes in Fantasy Sports Suit

On January 25, 2018 the Sports and Entertainment Law Insider discussed a lawsuit filed by former NCAA football players, Akeem Daniels, Cameron Stingily, and Nicholas Stoner, who alleged that daily fantasy sports (DFS) providers had violated an Indiana state right-of-publicity statute when the DFS companies used names, images, likenesses, and statistics of student-athletes in online fantasy sports contests. In September 2017, the case was dismissed by the United States District Court based on a finding that the use of the names, images, and likenesses were…
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DraftKings Seeks Declaration that Daily Fantasy Sports Contests are Legal in Texas

On April 16, 2018, DraftKings sought a declaratory judgment in Texas state court against Texas Attorney General, Ken Paxton. According to the petition, Paxton’s actions have sought to eliminate daily fantasy sports in Texas, and now, DraftKings is seeking a declaratory judgment to determine if daily sports are legal under Texas state law. DraftKings argued that the court need not look further than Paxton’s treatment of DraftKings’ main competitor, FanDuel, to see that Paxton’s “actions pose direct and particularized harm to DraftKings.” In their…
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Federal Judges Turn to Indiana State Court in DraftKings and FanDuel Lawsuit

On March 7, 2018, two Seventh Circuit judges, Judge Frank Easterbrook and Judge Ilana Diamond Rovner, certified the following question to the Supreme Court of Indiana, “Whether online fantasy‐sports operators that condition entry on payment, and distribute cash prizes, need the consent of players whose names, pictures, and statistics are used in the contests, in advertising the contests, or both.” As we have previously reported, in May 2017, a group of 3,000 college-athletes, led by former Northern Illinois University football players Akeem Daniels and…
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Lawsuit Concerning Use of Student-Athletes’ Name and Likeness by DraftKings and FanDuel Continues

On February 22, 2018, two Seventh Circuit judges, Judge Frank Easterbrook and Judge Ilana Diamond Rovner, said that they would likely need an answer from the Indiana judiciary before they can decide whether to revive a proposed class action suit brought against DraftKings and FanDuel. As we have previously reported, in May 2017, a group of 3,000 college-athletes, led by former Northern Illinois University football players Akeem Daniels and Cameron Stingily, and former Indiana University football player Nicholas Stoner, bought a suit alleging that…
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Massachusetts Bill Proposes Legalization of Daily Fantasy Sports Amid Pending Supreme Court Ruling

On February 14, 2018, Massachusetts Legislature introduced a bill aimed at legalizing and taxing daily fantasy sports (DFS).  The timing for the bill could be particularly timely depending on how the Supreme Court decides to rule on the Professional and Amateur Sports Protection Act (PASPA), which currently prohibits sports betting across the country.  As we have previously covered, the issue is still pending with the Supreme Court, though many states are hopeful for a decision by mid-March. Senator Eileen Donoghue, the initiator of bill…
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DraftKings and FanDuel Once Again Fight Back Against Lawsuit in Indiana

On January 16, 2017, FanDuel, Inc. and DraftKings, Inc. once again argued their websites do not violate Indiana’s right of publicity statute. As we have previously covered in May 2017, a group of 3,000 college athletes, led by former Northern Illinois University football players Akeem Daniels and Cameron Stingily, and former Indiana University football player Nicholas Stoner, bought a suit against DraftKings and FanDuel. The suit alleged that FanDuel and DraftKings were profiting from the use of the students athletes names, images, likenesses, and…
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Cloud Computing Patent Suit Claims Latest Victim: FanDuel

On January 11, 2018, PersonalWeb Technologies, LLC  sued FanDuel, Inc. for infringing five of PersonalWeb’s cloud computing patents. Cloud computing, also known as “the cloud,” is the delivery of on-demand computing resources in everything from applications to data center, sent over the internet on a pay-for-use basis. In the complaint, PersonalWeb alleges that FanDuel’s website uses PersonalWeb’s patented material for the manufacture, use, sale, importation, offer of services, and the distribution of its webpage content. More specifically, PersonalWeb claims that FanDuel illegally uses: (1)…
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New York State Collects $3 Million from Legal Fantasy Sports

On January 10, 2017, at a hearing, Peter Schoenke, chairman of the Fantasy Sports Trade Association (FSTA), told the New York State Racing and Wagering Committee that New York State would receive more than $3 million in tax revenue generated between January and November 2017, from daily sports fantasy operations. The $3 million is just an estimate and is expected to increase considering figures from December 2017 have yet to be finalized. The object of the hearing was to review the Daily…
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