FanDuel, DraftKings Get Cease-And-Desist Order In New York
Daily fantasy sites FanDuel and DraftKings were slapped with a cease and desist order from New York AG Eric Schneiderman, who claims they're gambling.By Grant Suneson | November 10, 2015
In what could be another blow to the legality of daily fantasy sports, New York Attorney General Eric Schneiderman has issued a cease-and-desist order to FanDuel and DraftKings. (Video via DraftKings)
Schneiderman made a statement saying, "It is clear that DraftKings and FanDuel are the leaders of a massive, multi-billion dollar scheme intended to evade the law and fleece sports fans across the country."
Both companies have insisted their business model is perfectly legal, but it's really more of a gray area. It basically comes down to whether or not they can argue if it takes skill to draft the best players each week, or if winning just requires luck. If chance is a material factor in the outcome, that would legally make it gambling.