DraftKings, FanDuel File Suit to Halt New York Shutdown: Details and Reaction

Tim Daniels@TimDanielsBRFeatured Columnist

Fantasy sports fans demonstrate outside the Financial District offices of New York state Attorney General Eric Schneiderman, in New York, Friday, Nov. 13, 2015. Schneiderman's decision that daily fantasy sports betting sites FanDuel and DraftKings are illegal gambling operations in his state is a blow to the companies, but the multibillion-dollar industry could have more legal headaches yet to come. (AP Photo/Richard Drew)
Richard Drew/Associated Press

DraftKings and FanDuel filed lawsuits against New York Attorney General Eric Schneiderman on Nov. 13 in an effort to get the state Supreme Court to curb his attempt to prevent daily fantasy sports (DFS) sites from operating in New York after labeling it illegal gambling.

Continue for updates.

DraftKings, FanDuel Fail to Land Temporary Restraining Order

Monday, Nov. 16

DraftKings and FanDuel's attempt to receive a temporary restraining order to stop the New York attorney general was unsuccessful, according to ESPN's Darren Rovell, who added both sides will be back in court on Nov. 25.

"Both FanDuel and Draft Kings are making huge profits off their felonious product," stated Kathleen McGee, speaking for the Attorney General's office, per the New York Daily News

DraftKings, FanDuel File Suit to Prevent Shutdown in New York

Friday, Nov. 13

Scott Soshnick of Bloomberg reported FanDuel says it will continue to operate in New York.

Curt Woodward of the Boston Globe reported DraftKings is asking the state Supreme Court to deem the attorney general's actions unconstitutional. It also seeks to have DFS games deemed legal and wants Schneiderman barred from taking further action.

The report also included a statement from the Boston-based company: "Today, we have taken decisive legal action to prevent a unilateral, misinformed and legally misguided attempt by the New York attorney general to act as 'judge, jury, and executioner' for daily fantasy sports in New York."

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Matthew Rocco of Fox Business provided FanDuel's statement: "We have a legal business that millions and millions of people love, and we are entitled to due process and look forward to being heard in court."

Schneiderman ordered DraftKings and FanDuel to stop operating in New York on Tuesday.

Walt Bogdanich, Joe Drape and Jacqueline Williams of the New York Times passed along the attorney general's comments about his decision: "It is clear that DraftKings and FanDuel are the leaders of a massive, multibillion-dollar scheme intended to evade the law and fleece sports fans across the country. Today we have sent a clear message: not in New York, and not on my watch."

No timetable for a decision from the state Supreme Court on DraftKings' and FanDuel's desire to halt the order was immediately announced.

Meanwhile, Jim Baumbach of Newsday noted around 300 people rallied in front of Schneiderman's Manhattan office Friday morning in support of DFS games. They believe it should be considered a "game of skill" instead of illegal gambling.

The Boston Globe report states New Yorkers comprise the largest group of paying players in North America. It makes the ongoing battle a crucial one for DFS companies.


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