DraftKings, FanDuel to remain in New York under latest injunction

12 January 2016

Daily fantasy sports (DFS) operators DraftKings and FanDuel have secured a new injunction that will grant them a permanent stay in New York until their ongoing battle with the US state’s Attorney General is concluded.

Yesterday (Monday), an appellate panel of New York’s Supreme Court granted motions filed by both companies to stay the injunction imposed on them by New York Supreme Justice Manuel Mendez last month.

Although DraftKings and FanDuel were immediately granted a temporary stay of the injunction on the same day it was issued, the two companies have taken this a step further by securing a new injunction that will cover the battle with state Attorney General Eric Schneiderman.

The ruling will enable both DFS brands to continue operating in the state until at least May, when Schneiderman’s complaint, first brought forward in November of last year, will be heard.

The appellate panel ruling will not be filed until next week and will not have any impact on the hearing regarding Schneiderman’s complaint.

Schneiderman’s office said in a statement it was looking forward to convincing the Court that Mendez was “correct” in his initial ruling against the companies.

In response, DraftKings’ legal chief David Boies said DFS contests are “as legal now as they have been for the past seven years that New Yorkers have been playing them”, with the competitions requiring “just as much skill as season-long contests”.

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