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Class Action Law Suit Filed Against DraftKings And Fanduel

The old saying “when it rains it pours” could not be truer for DraftKings and FanDuel who are facing growing pressure as to their internal checks and balances. We have focused heavily on the daily fantasy sector of late as they are it the headlines for all the wrong reasons. If their current woes were not enough it we reported that a Kentucky resident Adam Johnson has filed a class action lawsuit against both DraftKings and FanDuel over the insider trading allegations.

The suit is reportedly looking for unspecified damages due to violations of the Kentucky Consumer protection Act, New York False Advertising Law and the New York Deceptive Act.

This “timely”  law suit by Johnson has been filed according to him on behalf of all US residents who deposited funds into DraftKings before October 6 and who competed in contests where employees (like Ethan Haskell) also participated in. Johnson was quoted as saying that this applies to all contests where,” entries were made by employees from DraftKings, FanDuel or any other DFS site.”

The complaint went on to point out another interesting fact in that the DraftKings employee who sparked the scandal Ethan Haskell had “a remarkable increase in winning since moving from a job with [DFS forum] covering DFS to inside DraftKings working for a DFS company.”

Author: Victor

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