Baltimore Sues DraftKings and FanDuel Over Practices

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00:00you know, more or less stating that taking advantage of people who can't follow the rules

00:04on responsible gambling, people who are addicted to gambling. And I don't know if this is going to

00:09win or lose at all, Pat, but I think a statement is trying to be made here by a city. And I know

00:13other cities are going to be watching this very closely as well. No, it's a huge, huge statement

00:19by the city of Baltimore. The mayor and city council have sued DraftKings and FanDuel,

00:24basically for deceptive behavior towards customers. They say the bonus bets and things to attract

00:31consumers in is one of the issues that they have. And then the others is the using of the

00:36hundreds of data points that they collect from users to keep them betting. And so that's where

00:43we're at. We have a great article up at Legal Sports Report by Alan Wilmot, our legal analyst.

00:51Great breakdown. I suggest you go read it. But yeah, basically, the city feels that this is a

00:57national issue and that they're the first to really kind of take this on. And they think that

01:01more will come behind them, whether it's the city or states or what have you. You know, we've seen a

01:08few like singular lawsuits by bettors saying that the sports books are kind of doing them wrong. But

01:15now this is a big one from the city of Baltimore. We'll see. They said, you know, when I asked them,

01:21I said, is it just contained to DraftKings and FanDuel? And they said, for now, but we could expand it to

01:27other sports books in the future, depending on how this goes. So yeah, it is just kind of raising this

01:34issue. They said it's a national issue, like I said. So we'll see what happens. I think this is

01:39just kind of adding on to the headwinds we've been seeing from the industry or towards the industry.

01:46You know, we've seen senators, lawmakers from across the country, both at a state and federal level

01:52talking about, you know, let's put in more protections. Let's kind of restrict what the

01:57sports books can do. You know, we've seen the Richard Blumenthal and Paul Tonko legislation at the

02:03federal level that would restrict the usage of things like bonus bets and promo bets and the use

02:11of AI to mine that data that you get from customers to kind of keep people in. And so I think we're

02:16going to see more and more kind of talk from lawmakers on that. And whether or not this lawsuit

02:22does anything or goes anywhere, I think it just kind of keeps that discussion going and seeing what,

02:27you know, is happening there.