FanDuel Challenges New York's Advertising Rules Near Colleges

In a recent development, FanDuel Group, a prominent player in the online sports betting market, has vocally opposed the regulations prohibiting sports betting advertisements in proximity to educational institutions. These rules were introduced in New York in October as part of an effort to protect young individuals from potential exposure to gambling-related marketing.

FanDuel's objection centers on the interpretation of the ban, as they argue that it could extend to encompass residential and commercial areas adjacent to college campuses. However, the New York State Gaming Commission believes that such advertisements near educational institutions could be seen as "objectionable marketing" targeting underage individuals.

FanDuel's dissent extends beyond just this rule. They also voiced concerns about compulsory play-assistance messages in advertisements, arguing that these messages should only be mandatory on their website due to space constraints in ads. The company also expressed worries about the potential need to adjust its marketing strategies across states if changes were made in New York.

Furthermore, FanDuel resisted a rule that would make operators responsible for misleading statements by third-party marketing affiliates. The Commission defended this requirement, emphasizing the importance of operator control over affiliates.

FanDuel raised objections to the prohibition of keywords that could attract problem gamblers, claiming that it would be impractical to enforce. They likened it to liquor stores not advertising to potential alcoholics. The Commission countered by emphasizing the importance of removing certain keywords to reduce the risk of luring vulnerable individuals.

Another point of contention revolved around daily fantasy sports and its classification as sports betting. The Commission aimed to hold operators strictly liable for allowing prohibited individuals to participate. While FanDuel opposed this, the Commission asserted its appropriateness, pledging to evaluate each case individually.