Schneiderman reaches $12M settlement with DraftKings, FanDuel

State Attorney General Eric Schneiderman reached on Tuesday separate $6 million settlements with daily fantasy sports titans DraftKings and FanDuel to resolve lawsuits over their advertising practices.

The settlements are the bookend to Schneiderman’s roughly 11-month efforts to regulate the industry and hold its two most prominent companies accountable for their advertisements. However, others are continuing to challenge the legality of daily fantasy games.

The settlements will require the companies to clearly disclose terms and conditions for marketing promotions, expected winnings and expected performance in their online contests. The companies also will be required to maintain a webpage that provides information on the rate of success for users, including the percentage of winnings scored by the top 1 percent, 5 percent and 10 percent of players, Schneiderman’s office said.

The settlements come months after the state explicitly legalized online daily fantasy sports betting. In late August, DraftKings, FanDuel, Yahoo and others were cleared to begin taking bets by the state Gaming Commission.

Read more: http://blog.timesunion.com/capitol/archives/268724/schneiderman-reaches-12m-settlement-with-draftkings-fanduel/