DraftKings reports major Q3 revenue declines
An American gambling company, DraftKings, offering sportsbooks and daily fantasy sports services, shared its Q3 results, reporting a loss of 50%.Being one of the industry...
DraftKings faces lawsuit over “risk-free” bets
Due to its advertising “risk-free” bets, DraftKings is currently the target of a federal class-action lawsuit in the Southern District of New York.
Plaintiff Samantha Guery filed the case, which claims that by promoting these bets, DraftKings engaged in dishonest and false advertising practices.
The main claim of the case is that DraftKings misled customers by offering “risk-free” bets when, in fact, the free bets were insufficient to cover the customer’s initial stake. Customers were compelled to use their own funds to place a wager, and in the event that they lost, they were awarded a “Free Bet” that was less than the implied value in US dollars rather than receiving a return of their initial investment, according to the lawsuit.
The lawsuit claims that because this conduct misrepresents the nature of the campaign to customers, it is dishonest and misleading. The complaint additionally alleges that DraftKings concealed the fact that, in contrast to wagers made with actual money, “Free Bets” could not be withdrawn and had to be wagered in order to be converted to U.S. dollars.
The case also mentions that the term “risk-free” has been outlawed in a number of jurisdictions, including Ohio and Massachusetts. The lawsuit claims that even if DraftKings and other operators have voluntarily stopped using the term, DraftKings is nevertheless accountable for its previous deceptive activities.
Regarding the case, DraftKings has refrained from commenting.
DraftKings announces 101 employee cut off in New Jersey
An American gambling company, DraftKings, offering sportsbooks and daily fantasy sports services, announced the cut off news of 101 employees in New Jersey due to the closure...
