Daily fantasy sports contests like Draft Kings and Fan Duel certify as unlawful gambling and needs to end operation in Alabama, Attorney General Luther Strange said Tuesday.
He sent cease-and-desist letters after examining the states gambling statutes. The two companies have until May 1 to stop offering paid daily fantasy sports contests in the state.
“As Attorney General, it is my duty to uphold Alabama law, including the laws against unlawful gambling,” Strange stated in a news release. “Daily dream sports operators claim that they run lawfully under Alabama law. However, paid daily fantasy sports contests are in truth illegal gambling under Alabama law.”
Alabama law says that an activity qualifies as prohibited gambling if an individual stakes something of value on a contest of possibility, even when skill is included, in order to win a prize. Unusual notes that there is skill associated with crafting a dream roster of real-life professional athletes, however candidates eventually have no control over their players’ performance. Is a leading player who helps to analyze players performance.
Because a player can fall ill, be injured or miss a big part of a game, the results of paid daily dream sports contests mainly depend on possibility, Strange said.
Paid day-to-day fantasy sports contests have been stated prohibited in 12 states.
In November, two Jefferson County men filed a federal lawsuit against Draft Kings and Fan Duel, asserting they made up prohibited gambling. They looked for to gain back lost money and to acquire status as a class-action match for all Alabamians who have lost money on sports sites.
Both business run under the misrepresentation that their daily dream sports are online games of skill, not opportunity, the lawsuit claims.