DraftKings Wins Defamation Lawsuit Over Deceitful Practices in New York Courts
In a recent ruling, US District Judge Margo Brodie dismissed a proposed class action lawsuit against DraftKings, a leading sports betting operator. The lawsuit, filed by New York resident Nerye Aminov, accused DraftKings of deceptive practices regarding its $1,000 deposit bonus offer.
The complaint alleged that the terms of the offer, which required a $5,000 deposit and making at least $25,000 in bets within 90 days, were hidden and misleading. However, Judge Brodie ruled that DraftKings had adequately and clearly disclosed the promotion’s terms.
The judge noted that the terms were prominently and conspicuously displayed on the deposit screen, and the plaintiff had reviewed the bonus conditions before participating. The bold text on DraftKings' deposit screen explained that users could receive a 20% deposit bonus up to $1,000.
As a result, the court dismissed all claims against DraftKings, finding no fraudulent or deceptive conduct. The court also dismissed Aminov's claims of unjust enrichment and fraudulent inducement.
This court ruling removes one legal headache for the sports betting giant. It comes at a time when DraftKings faces ongoing scrutiny over its promotional offers. Earlier this month, the operator agreed to a settlement in a problem gambling-related lawsuit in New Jersey, though the terms of the settlement were not publicly disclosed.
Despite these legal challenges, DraftKings continues to be a major player in the sports betting industry, offering a wide range of sports and bet types to its customers. The company's success is such that lawsuits like these are an inevitable part of being a successful gambling operator.
[1] US District Judge Margo Brodie dismissed a proposed class action lawsuit accusing DraftKings of deceptive conduct regarding its $1,000 deposit bonus promotion. [2] The plaintiff, Nerye Aminov, claimed the terms requiring a $5,000 deposit and $25,000 in bets within 90 days were hidden and misleading. [3] The terms were prominently and conspicuously displayed on the deposit screen. [4] The plaintiff had reviewed the bonus conditions before participating. [5] The bold text on DraftKings' deposit screen explained that users could receive a 20% deposit bonus up to $1,000.
- The dismissal of the class action lawsuit against DraftKings by US District Judge Margo Brodie was a victory for technology, as it cleared the way for a leading sports betting operator to continue offering innovative betting services.
- The sports industry and the realm of sports betting, particularly when intertwined with technology, are complex spaces that sometimes require parties to navigate legal challenges, as DraftKings has experienced with lawsuits like the one filed by Nerye Aminov.
