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Supreme Court judge hears appeal

FanDuel suffers court setback over fantasy games

Lesley Eccles 2Daily fantasy sports companies FanDuel and DraftKings failed yesterday to persuade a New York judge overturn an order banning them from operating in the state.

Assistant Attorney General Kathleen McGee, hearing an appeal from the two companies, said that because they were unable to control certain factors, such as player performance, it meant that daily fantasy sports involved “chance”.

This made them illegal forms of gambling under New York law, rather than games of skill which are legal.

The New York Supreme Court was packed for the hearing which followed an “cease and desist” order from the state’s attorney general, Eric Schneiderman.

John Kiernan, representing FanDuel, argued that daily fantasy sports was “a skills-based endeavour”.

New York Supreme Court Justice Manuel Mendez is expected to give a ruling shortly.

The dispute over the legality of daily fantasy sports sparked into a nationwide scandal after an employee of DraftKings was alleged to have used “inside information” to win a $350,00 prize on FanDuel which is headquartered in Edinburgh and New York.

Photo: Lesley Eccles, co-founder of FanDuel

 

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