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New York Attorney General Sues DraftKings, FanDuel Again

By John Burns, Associate Editor
January 4, 2016

DraftKings

New York Attorney General Eric Schneiderman, who made headlines in November for filing a lawsuit to ban DraftKings, Boston, and FanDuel, New York, from operating in his home state, has filed another lawsuit against the two daily fantasy companies.

Schneiderman was granted a temporary injunction in December, but an appellate court has reversed the decision.

The new lawsuit requests that the companies return money to users who lost it on the sites during 2015 and pay a fine of up to $5,000 per case. The sites claim to have taken more than $200 million from at least 600,000 customers in New York alone.

While DraftKings refutes the lawsuit as “baseless,” Schneiderman continues to say that the companies are illegal gambling operations.

The daily fantasy giants combined to bring in more than $5 billion in 2015 and have established partnerships with the National Football League, ESPN and Major League Baseball. — J.B.