DFS Operators in Florida Receive Cease-and-Desist Letters

Three daily fantasy sports (DFS) operators in Florida recently received cease-and-desist letters, a newly released report suggests. The letters, Saturday Down South confirmed, were sent by the Florida Gaming Control Commission (FGCC) and received by PrizePicks, Betr and Underdog Fantasy, three operators that currently offer such activities to customers in the state.

Florida’s gambling regulator urged the three operators to discontinue their operations within 30 days of receiving the letter. According to the publication, the cease-and-desist letters were sent to the three operators on January 31, 2024. This otherwise means that the trio will have to discontinue their offering effective from March 1, 2024, to comply with the FGCC’s request.

According to the Commission, PrizePicks, Beter and Underdog Fantasy must stop “offering or accepting illegal bets or wagers from (Florida) residents,” and at the same time discontinue “any illegal lotteries.” The trio was notified by the Commission about the potential actions it may take against them if they fail to comply with the request.

The FGCC said that if the operators do not halt their offering within the aforementioned timeframe, they will be referred to the state’s Prosecution or a relevant state attorney. “If this cessation is completed within that timeframe, the Commission will deem the company and all its officials, directors, and employees have complied with the demands of the cease-and-desist order, and the Commission will not take further action, including referral to the Office of Statewide Prosecution or to any State Attorney,” explains the letter sent to PrizePicks, Betr and Underdog Fantasy.

The State Anticipates Changes to the DFS Sector

While the three operators received a letter from the Commission, other two who currently operate in Florida did not receive such correspondence. Reportedly, DraftKings and FanDuel, two leading betting and gaming companies that currently offer traditional DFS games did not receive a cease-and-desist letter from the FGCC.

The announcement comes at a time when a DFS bill is gaining traction in Florida. Two proposals are making their way into the state’s house, PCB COM 24-01 and PCB COM 24-02, with the first one calling for the establishment of DFS regulation. The latter proposes the implementation of license fees, applicable to DFS operators.

Currently, Hard Rock Bet is the only authorized sports betting operator in the state. After a prolonged legal battle, the sportsbook relaunched its services back in December.