DraftKings, FanDuel Must Stop Operating in New York State

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A judge in New York state has ordered daily fantasy sports sites DraftKings and FanDuel out of the state.

The two sites asked the judge to block State Attorney General Eric Schneiderman’s effort to shut down the games for New York players, but the judge ruled neither site can accept bets from New York players until Schneiderman’s court case ends.

Scneiderman issued cease-and-desist orders to both DraftKings and FanDuel last month. He says daily fantasy sports are a form of gambling that’s illegal in New York. The sites argue daily fantasy is a game of skill that’s allowed under federal law.

The ruling did not decide whether daily fantasy is illegal under New York state law, but the judge noted that Schneiderman has a better chance of winning his case than the fantasy sites.

Back in October, two Illinois representatives unveiled new legislation to regulate daily fantasy sites. It’s designed to provide a balance of protections for fantasy sports players in Illinois.

Included in those protections are defining what is considered daily fantasy sports in Illinois, establishing best practices for daily fantasy operators, preventing players from overplaying and barring anyone under 18 from playing.

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