New York governor signs DFS bill

New York governor signs DFS bill

August 04, 2016 8:25 AM
by

Daily fantasy sport betting is again legal in New York as a result of Gov. Andrew Cuomo putting his signature on legislation passed during the recent session.

“This legislation strikes the right balance that allows this activity to continue with oversight from state regulators, new consumer protections, and more funding for education,” Cuomo said.

New York-based FanDuel and Boston-based DraftKings agreed this past March to to stop operations in New York pending the passage of a law that would resolve the ambiguity created by Attorney General Eric Schneiderman decision that under state law as it existed then daily fantasy sports wagering qualified as illegal gambling.

FanDuel, DraftKings and other DFS operators have argued that their contests were games of skill rather than gambling. This was an argued that seemed to matter only to AGs and regulators with  lawyerish perspectives.

Sports-minded customers across the country just wanted access to the games and now they have it in a state that represents a significant part of the national market.

Massachusetts gaming regulators and the attorney general there have already created regulations that position DFS activity as games of skill.
The law requires they pay an annual fee of up to $50,000 with a 15 percent tax on their revenue. It also bars anyone younger than 18 from playing and prohibits college and high school sports.

FanDuel chief executive Nigel Eccles said that since January, seven other states – Colorado, Indiana, Massachusetts, Mississippi, Missouri, Tennessee and Virginia – also have passed laws clarifying the legality of fantasy sports and setting consumer protection regulations, according to an Associated Press report.  

Eccles thanked New York lawmakers and the governor “on behalf of more than three million fantasy players across the state.”

Jason Robins, chief executive of DraftKings, said they’re excited to have their contests returning to New York and want to thank their “hundreds of thousands of New York supporters for their passion and loyalty over the past several months.”
Neither company commented on the lawsuit.

Cuomo’s signature on the legislation will probably also benefit Las Vegas-based USFantasy, which offers daily fantasy sport wagering on a pari-mutuel platform.

Depending on negotiations with the New York Racing Association, USF may offer its product at New York fracks with A $1 million jackpot for bettors  with a successful Pick 6. Athletes are substituted for horses in the USF scheme of things