October 9, 2015
In an update to a report that we blogged about last month, following a review of the legality of fantasy sports under Massachusetts law, Massachusetts Attorney General Maura Healey has announced that she will not be pursuing an inquiry into Boston-based DraftKings. The AG stated, in no uncertain terms, that she is not looking to shut down DraftKings, and reaffirmed that Massachusetts’ citizens should not worry about breaking the law by entering fantasy sports contests.
What will result from the AG’s determination?
The importance of the AG’s determination cannot be understated, as she has concluded that there were no laws, either state or federal, that prohibit fantasy sports websites from operating in Massachusetts. Given recent questions concerning the legality of paid fantasy sports contests throughout the country, the Massachusetts’s AG’s forceful affirmation in favor of fantasy sports is a key victory for the industry. We have recently seen how a favorable Attorney General opinion can influence the policy actions of state lawmakers in Kansas. Hopefully, the industry can see similar results from state lawmakers following the Massachusetts AG’s opinion.
Important Victory for Fantasy Sports Industry, But Uncertain Times Remain
The Massachusetts AG’s announcement this week is refreshingly positive news for an industry that has seen a whirlwind of activity engulf state legislatures and attorneys general offices across the country. The legal landscape for the industry is seemingly being molded in real-time, on a weekly basis. As such, when setting up or operating a fantasy sports contest or other gaming venture, it is critically important to retain competent legal counsel to become/remain compliant with applicable law.
If you are interested in learning more about this topic or pursuing a fantasy sports venture, please e-mail us at info@kleinmoynihan.com, or call us at (212) 246-0900.
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