FanDuel and DraftKings resume operations in New York
Appeals court overturns earlier ruling that blocked both operators from offering contests to players in the state
Daily fantasy sports (DFS) operators FanDuel and DraftKings have resumed operations in New York after an appeals court overturned an earlier ruling granting an injunction and blocking both sites from offering contests to players in the state. [private]
On Friday morning, Judge Manuel Mendez granted a temporary restraining order requested by Attorney General Eric Schneiderman after his investigation into DFS found the activity met the definition of âillegal gamblingâ under state law.
Both firms challenged the ruling and by Friday afternoon an appeals court had overturned the decision with FanDuel and DraftKings confirming they were back live in the state by the end of the day.
FanDuel, however, said it would not be accepting new deposits and only players who currently had funds deposited on the site could play as it âcontinues to evaluate the situationâ and would provide an update shortly.
The appeals court decision is only temporary and will be reviewed again next month. Further hearings will also take place regarding Schneidermanâs attempts to permanently close down FanDuel and DraftKings in New York.
Earlier this week the New York Committee on Racing and Wagering held an informational hearing into DFS, with the talks covering the current court proceedings and legislation that would legalize the activity in the state.
âWe look forward to a full and fair hearing and are confident we will demonstrate clearly to the court why we should be able to continue to offer our DFS games in New York permanently,â DraftKings said in a statement.
âWe are encouraged by our dialogue this week with New York state legislators. We look forward to continuing that conversation,â the operator added.