Bank of America has downgraded its ratings on major sports betting platforms, DraftKings and Flutter, moving both to a “neutral” rating as a result of uncertainty around...
Pennsylvania gamblers sue DraftKings, claiming misleading promos
Five Pennsylvanians have filed a federal class action lawsuit against DraftKings, accusing the sports betting giant of targeting people struggling with gambling addiction.
The suit claims the company’s so-called “no sweat” or “risk-free” promotions were anything but and that buried terms and misleading ads motivated vulnerable users into deeper debt.
Filed in the Eastern District of Pennsylvania, the case says DraftKings knowingly ignored responsible gambling standards to boost profits. The plaintiffs, represented by civil rights firm Loevy & Loevy, argue the company’s tactics weren’t just dishonest, they were harmful.
One plaintiff, a Pittsburgh teacher earning $50,000 a year, claimed he lost $134,000 on the platform. He eventually borrowed money from loved ones to keep gambling. Another man from Allentown had self-excluded, only to be allowed back in, losing over $350,000 and developing serious mental health issues.
Even more troubling, the suit claims DraftKings used personal data to identify and target users most vulnerable to addiction. Critics say the company prioritized revenue over responsibility, skirting both ethics and state laws meant to protect consumers.
This lawsuit comes as iGaming development in Pennsylvania, with DraftKings pulling in massive profits. But the human cost is rising too and this case is asking whether companies like DraftKings are doing enough to protect the people they profit from.
As of now, DraftKings hasn’t responded. The plaintiffs are pushing for a jury trial and class-action status, hoping others affected will come forward and be heard.
A blind man from New York is taking DraftKings to court, claiming the sports betting giant’s website shuts out people with vision disabilities.Anthony Benson filed the...
