Judge Promises Ruling Soon on DraftKings, FanDuel Battle in New York

DraftKings Fanduel lawsuit

A ruling is expected in the next few weeks on whether fantasy sports companies DraftKings and FanDuel will remain in business in New York state following a hearing Wednesday in New York Supreme Court.

At the end of a lengthy hearing, Judge Manuel Mendez said he would issue a decision “very soon” on the state attorney general’s bid to shut down the betting operations of both companies before the state’s lawsuit goes to trial next year, according to published reports.

There was speculation after the hearing that Mendez’s move to reserve his decision on the state’s request for a preliminary injunction indicated he was leaning toward allowing the companies to keep operating. Prominent litigator David Boies is among the lawyers representing DraftKings.

“We were glad to have the opportunity to make our case to the court that DraftKings and FanDuel are operating illegal gambling operations in clear violation of the law, and we await the judge’s decision,” said Damien LaVera, a spokesman for Schneiderman.

Schneiderman filed suit against DraftKings and FanDuel earlier this month, asserting that the companies violate the state’s law against gambling on sports. The companies have argued that the daily fantasy sports games they operate are games of skill, not games of chance, and thus are legal under New York law.

The legal battle in New York is the highest-profile case amid growing efforts by states to regulate or ban fantasy sports betting that can reach as high as seven-figure payouts for some players. Advertising for FanDuel and DraftKings in recent years have become ubiquitous on the web, and more recently on local TV in New York state.

 

 

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  1. Keith says:

    Fantasy Sports is a recreational game that has an array of strategies that can be employed to win contests against friends and others. It is fun. People, don’t be stupid, the government only wants to get their maximum tax cut, that will be the bottom line at the end of the day. Fantasy games pale in comparison to the gambling going on Monday thru Friday in New York by day traders in the stock market doing essentially the same thing, making educated guesses and using analysis to outsmart and outwit their competition on trades. So for those of you don’t know anything about anything, shut the F*** up!!!

  2. Jim says:

    I love how people that don’t play daily fantasy sports comment on a subject they have NO idea of what happens. Dfs isn’t about gambling, it’s about analysis and mathematics. It is a skill game because the more you play, the better you get. I started playing dfs this year at got killed for the first month. And then something clicked. Now I’m hitting cash games (not the big jackpot gpps) at a rate of 75%. Easy money but it’s not gambling. When I play against an obvious rookie, the win percentage is almost 100%. But you’re not betting on a specific game result. Absolutely not gambling when only a few percentage of the players win the big jackpots.

  3. Fred Norris says:

    Government never treated other sports bookies so nicely – I am in favor of legalizing sports betting but until it happens Draftkings is illegal

  4. Sid says:

    Exactly – it’s sports betting – in violation of State and Federal law – it’s doesn’t matter how this judge will rule –

  5. Dunstan says:

    Claiming they’re “games of skill” is a perversion of the English language. The players engaged in professional sports are the only ones exhibiting skill. Those using money to guess an outcome are gambling. End of story. I hope the Judge shuts them down and when that happens, the floodgates will open and other states will follow suit.

    F**k Draft Kings and Fan Duel. And no, I’ve never placed a bet on sports, with them or anywhere else.

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