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Baltimore Hits FanDuel, DraftKings With Suit For ‘Shady’ Targeting of Vulnerable Gamblers 

  • FanDuel, DraftKings allegedly target vulnerable gamblers via bonus bets, data harvesting
  • Sharps are allegedly aping gambling problem activity in order to receive more promo offers
  • Solicitor accused duo of placing “corporate greed ahead of the well-being of Baltimoreans”
Aerial view over Baltimore
Baltimore filed a suit against FanDuel, DraftKings alleging they target vulnerable gamblers. [Image: Shutterstock.com]

Fingers pointed at online

The Mayor and City Council of Baltimore have filed a lawsuit against FanDuel and DraftKings who they claim are engaging in ‘shady’ online practices by targeting and exploiting at-risk gamblers. 

The Baltimore City Department of Law, and Plaintiffs Firm of the Year DiCello Levitt, are representing Mayor Brandon Scott and his council in the suit filed Thursday. 

targeting and exploiting vulnerable gamblers”

The legal action alleges Flutter-owned FanDuel and Boston-based DraftKings are executing “deceptive and unfair practices by targeting and exploiting vulnerable gamblers” in violation of the Maryland city’s consumer protection laws.

According to a DiCello Levitt news release, the US sports betting market leaders allegedly employ “a two-pronged scheme to harm Baltimoreans” involving bonus bets and targeted data harvesting.

The allegations

One prong, according to the Chicago-based law firm’s release, is that the pair allegedly mine user data to identify those who suffer from a gambling disorder, and then use analytics and tailored offers to exploit them.   

Trojan Horse-like marketing via bonus bets

The other complaint essentially accuses FanDuel and DraftKings of Trojan Horse-like marketing via bonus bets “and other tricks to attract new users” and promote “compulsive gambling behavior.” 

The Thursday statement quotes Mayor Scott, who accuses the duo of “engaging in shady practices” that prey on Baltimoreans. He deems the suit a critical move to hold the sportsbooks accountable and safeguard the port city’s residents.

“DraftKings and FanDuel have specifically targeted our most vulnerable residents […] and have caused significant harm as a result,” Scott stated. 

Perhaps the most eye-catching complaint is that professional bettors are allegedly aping gambling problem activity, such as setting notifications for score checks at odd hours.

The suit shared online claims: “mobile gaming platforms purposefully tweak their algorithms to target those likely to have gambling disorders and extract what the companies euphemistically refer to as “maximum potential revenue” or “lifetime total value” from each user over time. So-called VIP programs are used to personalize the inducements to gamble.”

Baltimore pulls no punches

Baltimore City Department of Law solicitor Ebony Thompson went a step further, accusing the two sportsbooks of placing “corporate greed ahead of the well-being of Baltimoreans.”

dark arts of sports betting sites a national problem

DiCello Levitt Founding Partner Adam Levitt stated FanDuel and DraftKings preferenced “profits over people” and that the alleged dark arts of sports betting sites were a national problem.

Ebony Thompson said the “predatory practices” of FanDuel and DraftKings had harmed the Baltimore community and that the city was “taking action to hold them accountable and protect our citizens.”

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