Fantasy Sports Law Today

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Fantasy Sports Law Today
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Daily fantasy sports exploded onto the landscape approximately five (5) years ago.  Since then, the industry has been shaped by substantial fantasy sports law developments that have required deft navigation by operators that offer fantasy sports contests to consumers.  The flurry of legal changes has given rise to nuanced regulatory differences across various jurisdictions. This has made it easy to lose sight of some of the requirements that are common to all jurisdictions.

What are some of the common fantasy requirements across jurisdictions? 

Some of the most typical regulations common to the majority of states that have legalized and regulated the fantasy sports industry to date include, but are not limited to:

  • Incorporation of the Unlawful Internet Gambling Enforcement Act’s (“UIGEA”) requirements for lawful fantasy sports contests, including:
    • Rosters that incorporate multiple athletes from multiple games; and
    • Prizes that are set in advance of the contest. 
  • Registration and/or licensure requirements;
  • Prohibitions on contest participation by athletes, minors, contest operator employees and their relatives;
  • Identification of highly-experienced contest participants; 
  • Prohibiting operators from sharing confidential information with third parties;
  • Geo-location verification to ensure contest participants are located within state borders;
  • Truth in advertising requirements;
  • Strict record retention requirements;
  • Mandates that operating funds are segregated from participant funds; and
  • Submitting to regularly scheduled third party audits.

Remaining Compliant with Fantasy Sports Law

In addition to some of the most common rules governing fantasy sports operators and contests listed above, nearly every state has delegated discretion to its applicable gaming authority to issue additional regulations.  This has led to a regulatory hodgepodge consisting of unique rules applicable to the fantasy sports industry on a jurisdiction by jurisdiction basis. The resulting lack of uniformity has increased the importance of remaining abreast and compliant with an uncertain legal landscape.  As such, in order to ensure compliance in this still evolving regulatory climate, it is critical that fantasy sports operators work closely with knowledgeable counsel to regularly review contest rules, as well as platform structures and prizes. 

If you are interested in learning more about fantasy sports law or pursuing a fantasy sports venture, please e-mail us at, or call us at (212) 246-0900.

The material contained herein is provided for information purposes only and is not legal advice, nor is it a substitute for obtaining legal advice from an attorney. Each situation is unique, and you should not act or rely on any information contained herein without seeking the advice of an experienced attorney.

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