A preliminary injunction would prevent DraftKings and FanDuel from operating in NY. A hearing on Schneiderman’s challenge is scheduled to be heard on November 25.
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Daily fantasy college sports contests are banned.
But until a new law is passed, daily fantasy remains a tough sell in NY. Boies said Rose’s actions would have been legal in NY. Daily fantasy players assemble lineups from active pro sports athletes “priced” at different levels; like a real team, players have a budget to work with. The victor is determined by how well the pro players do on the actual playing field.
However, Justin Fielkow, an attorney at the Franklin Law Group in IL – which represents fantasy sports organizations – says DFS games are “significantly skill-based”.
Officials in several states have been taking a strict approach to the industry, arguing that paid daily games amount to gambling. It does not happen in games of chance.
I guess she hasn’t heard of Yahoo Sports Daily Fantasy.
“They’re legal”, Boies said. “I think the attorney general has obviously changed his mind….” They jump ship. Find out how to save your bacon on this free research-based webinar with Insight’s Andrew Jones.
Gambling in the state is prohibited under New York’s constitution. It is a very popular form of entertainment. In either case, she wants to regulate them in a way that should have the industry’s biggest players, FanDuel and DraftKings, cheering. Once FanDuel and DraftKings began basically printing money, politicians were going to come out of the woodwork to protect their constituents (lobbyists that pay for their $200 lunches). New York, along with many others, are attempting to make the case that daily fantasy sports is gambling and therefore should be treated as such – which, unless the law of the land changes, means largely outlawing it like they do Blackjack, for example.
The Legislature should even ask Congress to ban the operators of daily games like FanDuel and DraftKings from television advertising, Roach said, just as it bans cigarettes because the commercials send the wrong message to children. Let’s say it’s Eli Manning, and the Giants are defeating the Eagles or the Cowboys.
“This is a recreational activity by more than 3 million people in our state play”. What did that have to do with the bettor’s skill? “[Jason] firmly believes that all of DraftKings” games are “games of skill’ that comply with all applicable State and Federal law and therefore do not violate UIGEA”.
According to Sali, the current battle between DFS companies and the Attorney General is a tricky one to understand.
“The skills required for all three are the same”, he said.
“Who goes first? That’s determined by the flip of a coin”, Boies said.
However, in blackjack, there’s certainly a degree of skill warranted in addition to pure chance. The question is if the player can control or influence the outcome. If two people, one person a “skilled” gambler and another with no gambling experience, walked into a casino and sat down at a roulette wheel, there’s a decent chance that the person with no gambling experience can get lucky and win more. FanDuel alone claims to sign up 20,000 to 30,000 players each day. Although I do see the desire for these guys and girls working in the industry to be able to play the game they work around.
A Brooklyn man who lost money betting with FanDuel and DraftKings has sued the fantasy sports sites along with the credit card companies that lent him the money to wager on what he calls the sites’ “illegal gambling schemes”, new court papers state.
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While the parties wait for Wednesday’s hearing, FanDuel has already suspended operations in NY.
