Georgia AG Determines Daily Fantasy Sports Illegal

football4flushAnother Attorney General in the United States has now decided to rule daily fantasy sports betting as an illegal activity. Georgia Deputy Attorney General W. Wright Banks Jr. recently sent a letter to General Counsel Joseph Kim, also the Georgia Lottery Corporation Senior Vice President, to clarify if DFS was legal or illegal according to gambling laws in Georgia.

Kim had requested that Banks determine the legality of DFS based on the definition of ‘Bet’ as well as if players of daily fantasy sports sites are considered actual contestants. Banks stated that the code of Georgia defines the term ‘bet’ as an agreement that depending upon the chance, even accompanied by skill that a participant can win or lose an item of value.

According to Banks, players who take part in DFS pay a fee to take part and only part of the fee is paid to the winners of the contests, with the remainder of the fee going toward the site hosting the contest. With the payment of the fee and taking part in gaming, it means the participant is agreeing to lose or win something of value, in this case, a part of the pot. This constitutes as a ‘bet’ according to Banks in regards to state code.

Banks then ruled that daily fantasy sports is illegal in the state of Georgia and the argument that DFS is a game of skill is not one that ‘holds water’ so to speak as there is a chance element involved, even is skill is included as well.

Daily fantasy sports operators such as DraftKings and FanDuel have not responded to the recent ruling in Georgia. The DFS companies have had a tough go over the past few months as states in the US continue to rule the activity as an illegal one.



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