New York’s lawsuit against DraftKings and FanDuel continues to drag on, although the company received some positive news on Monday.

It was just over a week ago the state was looking to have the company pay restitution to those who lost money on the service. New York Attorney General Eric Schneiderman has been going after the company hard, calling DraftKings and FanDuel illegal. Now, ESPN reports the two companies have been told their business can continue to New York-based customers until their appeal is heard in New York Supreme Court.

Sources told ESPN four judges sided with the companies on their arguments, and will allow them to operate for the time being with no changes. The full decision will be filed to the courts next week. Previously, Justice Manuel Mendez of the New York Supreme Court sided with Schneiderman, and his decision would have forced the companies to stop taking business in New York when the legal proceedings were sorted out.

Lawyers for the companies continue to preach the game requires skill and is perfectly legal under New York law.

“As our litigation continues, we expect an appellate court to see what we have known since the outset: DFS is a game of knowledge and skill, one that builds community and whose competitive spirit has become important to the lives of millions of people,” David Boies, counsel to DraftKings, said in a statement. “Our ongoing appeal will make clear that daily fantasy contests require just as much skill as season-long contests, which the Attorney General recognizes as perfectly legal under state law.”

While DraftKings and FanDuel can continue to operate in New York, they’re still in a legal battle with Illinois Attorney General Lisa Madigan, who also said the services violated state laws. According to the report, California, Texas, Florida and a dozen other states are taking a closer look at the operations.


About Liam McGuire

Social +Staff writer for The Comeback & Awful Announcing.

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