“Daily Fantasy Sports contests have been played legally by New Yorkers for the past seven years and we believe this status quo should be maintained while the litigation plays out”, said its lawyer David Boies.
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FanDuel stopped accepting money from NY residents in November.
“We look forward to demonstrating to the Appellate Division why they should uphold today’s decision to grant a preliminary injunction barring DraftKings and FanDuel from continuing their illegal gambling operations in NY”, said the attorney general’s spokesman, Damien LaVera.
The New York attorney general began looking into the daily fantasy sports earlier this year amid allegations that employees of the competing companies used inside information to improve their chances of winning in the games. Customers choose professional athletes for virtual team rosters that they build, and pay entry fees between $0.25 and $10,600 to face off against other contestants.
The companies claim they are games of skill rather than gambling operations.
Bay State Attorney General Maura Healey, who proposed regulations on daily fantasy sports last month, said her office “continues to investigate” the companies.
Meanwhile, Congressman Chris Collins – a critic of Schneiderman’s effort to bar such games in New York State – expressed his disappointment in the judge’s decision.
Mendez’s decision sent shock waves across the daily fantasy sports landscape.
The injunction to keep the companies from operating in NY is not the final determination on what will be the ultimate issue in the case, as this will be determined during an upcoming trial.
Murray is confident one of the bills will pass, but it might take a while. The state already has legalized some forms of gambling, including lotteries, betting on horse racing, video slot machines at racetracks and a number of forthcoming casinos.
DraftKings and daily fantasy competitor FanDuel can continue to accept New Yorkers’ entries into their contests after an appellate court judge granted an emergency temporary stay Friday. “… The balancing of the equities are in favor of the NYAG and the State of NY due to their interest in protecting the public, particularly those with gambling addictions”.
The College Football Playoff’s television agreements with ESPN cover two semifinal games played on December 31, held this season at the Cotton Bowl in North Texas and the Orange Bowl in South Florida, the national championship game played in Glendale, Arizona, on January 11, plus the Fiesta and Peach bowls. The NFL does not own equity in either daily fantasy operator, but nearly all the league’s teams have advertising partnerships with one of them. owner Robert Kraft and owner Jerry Jones also own equity in DraftKings.
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FanDuel responded to the rulings in a statement, saying, “This is only the beginning of the legal process …”
