Are fantasy sports a game of skill or gambling? During an interview with the FOX Business Network’s Ashley Webster sports attorney Richard Roth said: “It is all up to interpretation.”
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A New York Court required on Friday that daily fantasy sports companies FanDuel and DraftKings stop operating in the state for now in what could be the end of DraftKings according to Roth.
“The fact that New York court actually struck down… really a huge blow to DraftKings… Could very well be the death nail for DraftKings because now other states could very well follow suit.”
Although DraftKings has filed an appeal, Roth believes it will be unsuccessful.
“The New York State statue, the penal law that was just referenced is very vague and so long as Judge Mendez, the judge that decided this, actually wrote, he wrote a very strong opinion, and if it’s well-reasoned, it could be shut down. And understand that $100 million in entry fees from New York alone came in this year. So they derive tremendous revenues from New York and when New York goes down and other states follow suit… I would not place my bet on DraftKings.”
He also discussed what’s left in the appellate process for DraftKings and whether it will reach the Supreme Court.
“First it’s got to go up the ladder in New York… Right now we are dealing with New York State penal law so it will right now most likely not go to the Supreme Court but will go to what’s called the Court of Appeals which is the highest court in New York State.
21st Century Fox (NASDAQ:FOX) holds a stake in DraftKings.