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  • jeffgo33

    http://www.nytimes.com/2016/10/24/sports/draftkings-fanduel-daily-fantasy-near-settlement-with-new-york-state.html?hp&action=click&pgtype=Homepage&clickSource=story-heading&module=second-column-region&region=top-news&WT.nav=top-news

    The daily fantasy sports companies DraftKings and FanDuel are nearing a settlement agreement with New York’s attorney general over claims that they engaged in false advertising when they spent nearly a half-billion dollars blitzing the national airwaves with commercials last year, according to two people familiar with the discussions who spoke on the condition of anonymity because negotiations were continuing.

    The agreement with the attorney general, Eric T. Schneiderman, was expected to cost the companies a total of $8 million to $12 million, according to the two people. It would also require the companies to acknowledge the findings of Mr. Schneiderman’s investigation into fraudulent practices and perhaps require them to institute even stronger consumer protections than those adopted in August when Gov. Andrew M. Cuomo made the games legal in New York.

    DraftKings and FanDuel are so short of cash, according to the two people familiar with the negotiations, that they have asked Mr. Schneiderman’s office if they can pay the final settlement in installments, and they have conceded that they are having difficulty meeting their day-to-day obligations.

    Within the past three weeks, the New York-based FanDuel has laid off more than 60 people, and both companies have acknowledged that they are months behind in their payments to vendors, especially to the array of public relations and lobbying firms that they have employed across the nation to persuade individual state legislatures to legalize daily fantasy games — the most critical component of rebuilding their business.

  • lggarruto

    • 362

      RG Overall Ranking

    They have beginner games when someone first joins. Why not have a stature and with these badges they are giving out do not let the top guys play these low stakes H2H?

  • IronMonkey415

    DraftKings, FanDuel Reach $12M Settlement With NY AG For Leftover False Ad Claims

    Leading daily fantasy sports companies DraftKings Inc. and FanDuel Inc. have reached a $12 million settlement with New York Attorney General Eric Schneiderman to end remaining false advertising claims in an enforcement action filed a year ago, seemingly putting an end to legal uncertainty for the industry in the state.

    The companies said Tuesday that they had agreed to pay $6 million each and agreed to reform their marketing, including clear disclosure of terms and conditions for promotions and resources for people at risk of gambling disorders and…

    Its all over

  • loured

    • 353

      RG Overall Ranking

    its funny that people think that DFS is going to go under, they just won a major battle in court and will take some time to rebuild there bankroll. I believe the reason they are crying poverty is because they are looking to get a payment plan with the NY AG so that they don’t have to dish out 6 million in one pop. if they were really losing money they would have never took on the fight in the first place. Its my opinion will we see a merger in the future and FD will buy out DK because is a better ran company. DFS is here to stay folks, you don’t win a major court battle spend millions on lawyers to just fold up and go away. All this news is just a play to buy time. options and work out a payment option. The minute one of these companies go out of business there will be another site right behind it now that its legal, JUST MY OPINION!!!

  • BigRay

    No… DFS will not go away but DK/FanDuel can… they need players from the public and the public perception off them will not get better after all the mistakes they made. I am an advocate for DFS and I talk to people all the time about it. Most believe it is a scam that you have to have a computer program and spend umpteen hours of research to win. Turns out they were right. Until entrants can be match d on skill and the masses have a shot of winning on a regular basis,this whole industry is trending water. Something needs to happen before that drown

  • PJGuin23

    DFS Tax Guru

    @BigRay said...

    No… DFS will not go away but DK/FanDuel can… they need players from the public and the public perception off them will not get better after all the mistakes they made. I am an advocate for DFS and I talk to people all the time about it. Most believe it is a scam that you have to have a computer program and spend umpteen hours of research to win. Turns out they were right. Until entrants can be match d on skill and the masses have a shot of winning on a regular basis,this whole industry is trending water. Something needs to happen before that drown

    ^^^^ THIS

    Let’s see how this “Casual” thing on DK works out. I know I am. Some of us have limited bankrolls and have to research on the can with their smartphones to duck their wives for 5 seconds. They can’t compete with 10 monitor, elaborate server DFS pros who don’t have day jobs and can set perfect algorithms. There I admitted it’s a game of skill but eventually the semi skilled Joe’s that have obligations need a chance or the industry will cannibalize itself. Needing 180 on NFL Cash games can be hard for informed Casuals.

  • deactivated146213

    There are some contests now that have a close to 30% cash line in single entry which is more than fare!

  • PJGuin23

    DFS Tax Guru

    @flyn100 said...

    There are some contests now that have a close to 30% cash line in single entry which is more than fare!

    Even so my “Cash Mentality” LU did better in GPPs than Single Entry Cash. WTF is going on? The Earth is turning on its axis. My good picks were “rising tide lifting all boats” and my bad picks were pretty much mine alone.

  • FrancisBooth

    @flyn100 said...

    There are some contests now that have a close to 30% cash line in single entry which is more than fare!

    “Fair.”

  • CUTiger81

    @loured said...

    its funny that people think that DFS is going to go under, they just won a major battle in court and will take some time to rebuild there bankroll. I believe the reason they are crying poverty is because they are looking to get a payment plan with the NY AG so that they don’t have to dish out 6 million in one pop. if they were really losing money they would have never took on the fight in the first place. Its my opinion will we see a merger in the future and FD will buy out DK because is a better ran company. DFS is here to stay folks, you don’t win a major court battle spend millions on lawyers to just fold up and go away. All this news is just a play to buy time. options and work out a payment option. The minute one of these companies go out of business there will be another site right behind it now that its legal, JUST MY OPINION!!!

    At least someone ITT has some sense….

  • dude_abides7

    @lggarruto said...

    They have beginner games when someone first joins. Why not have a stature and with these badges they are giving out do not let the top guys play these low stakes H2H?

    Because that would cost the sites rake money. They don’t like that.

  • pmsimkins

    • 2014 FanDuel WFBC Finalist

    • 2015 FanDuel WFBBC Finalist

    You guys do recognize that removing all edge from the game results in no one winning, right? Obviously there is a happy medium, but matching all cash games based on skill, assuming matching is accurate, just means no more cash games long run.

    The focus for sites should be making the game as entertaining as possible outside of winning, and monetizing the web traffic.

    The websites are the perfect avenue for advertising. Had the sites spent just a fraction of their VC money to develop that, instead of the worst marketing campaign I’ve ever seen, they’d have a goldmine.

  • lggarruto

    • 362

      RG Overall Ranking

    @pmsimkins said...

    You guys do recognize that removing all edge from the game results in no one winning, right? Obviously there is a happy medium, but matching all cash games based on skill, assuming matching is accurate, just means no more cash games long run.

    The focus for sites should be making the game as entertaining as possible outside of winning, and monetizing the web traffic.

    The websites are the perfect avenue for advertising. Had the sites spent just a fraction of their VC money to develop that, instead of the worst marketing campaign I’ve ever seen, they’d have a goldmine.

    Agree with you but the Pro’s that pick up cash under $20 are clowns imo

  • Jcb890

    Has anyone gotten/taken the latest FanDuel survey? It asks an awful lot of questions that seem to gauge opinion on differences between FD/DK.

    How IMPORTANT are the following?
    Availability of late swap feature
    Ability to select a Kicker in your lineup
    Ability to select a flex position in your lineup
    Loyalty rewards/benefits

    Then there’s even a section with similar questions and voting how you like FanDuel’s vs. Draft King’s and asks your overall opinion of Fan Duel and Draft Kings.

    Interesting!

  • tsteeves

    @Jcb890 said...

    Has anyone gotten/taken the latest FanDuel survey? It asks an awful lot of questions that seem to gauge opinion on differences between FD/DK.

    How IMPORTANT are the following?
    Availability of late swap feature
    Ability to select a Kicker in your lineup
    Ability to select a flex position in your lineup
    Loyalty rewards/benefits

    Then there’s even a section with similar questions and voting how you like FanDuel’s vs. Draft King’s and asks your overall opinion of Fan Duel and Draft Kings.

    Interesting!

    Who exactly do they send their surveys to? Clearly not everyone. There was a recent NHL survey and this one that I didn’t receive an email for. I play multiple sports daily on FD, none at low levels not that it should matter and it would be nice to give my opinion on potential changes.

  • Jcb890

    @tsteeves said...

    Who exactly do they send their surveys to? Clearly not everyone. There was a recent NHL survey and this one that I didn’t receive an email for. I play multiple sports daily on FD, none at low levels not that it should matter and it would be nice to give my opinion on potential changes.

    Good question. Currently on Fan Duel I am neither a Beginner, nor am I Experienced, according to their badge/level system (though I will be at the Experienced level after this weekend’s contests). So, perhaps this survey was sent to those people that are “in the middle” as far as experience/bankroll goes? I know a couple of other Fan Duel users who are in the Beginner tier and they did not receive this survey.

    I just thought some of the questions about giving an opinion on the differences between the two sites was very interesting considering all of the merger talks going on and all the rumors.

  • Nosuckoutplz

    @wolfjb1 said...

    The fact that they’re allegedly behind in paying their lobbyists and PR firms – you know, the people who saved the entire industry – is more than troubling. If I’m a lobbyist in, let’s say, New York and I am owed a big chunk of change, I might talk to my buddy, the lobbyist in Pennsylvania, and suggest that he get paid up now, or stop working until the money comes in. Which seems really counter productive for DK.

    Sick political system dude

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