Sportsbook operator DraftKings Inc DKNG faces a lawsuit from the Main League Baseball Gamers Union, a transfer that might dampen excessive expectations for different sports activities just like the NFL, which simply kicked off its season.
What Occurred: The Main League Baseball (MLB) Gamers Union has filed a lawsuit in opposition to DraftKings and Bet365 for utilizing names and pictures of MLB gamers with out permission.
The lawsuit, filed in Philadelphia federal court docket Monday, alleges DraftKings is in violation of Pennsylvania legislation, as reported by Bloomberg.
Each named sportsbooks used alleged photographs of MLB gamers in advertising campaigns, in line with the report.
Benzinga reached out to DraftKings for remark and didn’t hear again.
Pennsylvania is dwelling to 2 MLB groups: Pittsburgh Pirates and Philadelphia Phillies.
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Why It is Essential: Monday’s lawsuit sees the gamers union searching for compensatory and punitive damages. The lawsuit additionally calls for DraftKings cease utilizing the names and pictures on the platform.
The gamers’ union is requesting that earnings from using MLB gamers’ photographs be taken away from the sportsbook and turned over to the gamers.
“Defendants’ use of participant photographs inside their sportsbook platforms is just not merely informational — it’s promotional,” legal professionals for the gamers’ union mentioned Monday.
The lawsuit mentioned each DraftKings and Bet365 provide participant prop bets in different sports activities with out utilizing participant photographs.
“Customers might guess that the Phillies will beat the Marlins, or that Bryce Harper will hit greater than two dwelling runs in a given sport, with out seeing Harper’s useful picture.”
Monday’s lawsuit might have a ripple impact for the best way gamers are listed on sportsbooks and the way participant props are marketed to customers.
DKNG Worth Motion: DraftKings inventory closed 1.16% to $38.24 on Monday versus a 52-week buying and selling vary of $25.74 to $49.57. DraftKings inventory is up 13.9% year-to-date in 2024.
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