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One of the premier attorneys in the world of gambling, I. Nelson Rose, was kind enough to send DFS911.com his latest piece on the next steps both DraftKings and FanDuel will need to undertake in getting them out of the “deep doodoo” they are currently in.
There are lawyers with shovels who can dig them out, Rose opines.
On Wednesday, a New York judge will determine if DraftKings and FanDuel can continue to offer its contests in that state following Attorney General Eric Schneiderman’s affirmation that said contests are nothing more than illegal online gambling. Gambling911.com will be at this hearing scheduled for Noon Eastern Standard Time.
Much of this sudden disdain for the Daily Fantasy Sports sector was brought on by a scandal in which it was revealed that a DraftKings employee had won nearly $350,000 playing in a FanDuel contest back in October.
Rose writes:
“Online fantasy sports, like all new games, were created and staffed by people who like to play those same games. Anyone with experience with legal gaming, especially Internet gambling, and most especially a lawyer, would have warned the operators to bar their employees from participating in high-stakes DFS games.”
So much of the discussion since that scandal broke has revolved around the legality of Daily Fantasy Sports. Is the activity really illegal gambling?
Rose also surmizes that, “the worst possible direct penalties come from the criminal laws, especially the state and federal statutes passed to fight organized crime. If DFS is indeed illegal, then companies like ESPN could be criminally liable merely for running the operators’ commercials.”
- Chris Costigan, Gambling911.com Publisher
