MLB Players Gain Momentum in DraftKings Lawsuit

The legal battle between DraftKings and Major League Baseball Players Inc. took another turn as the court rejected the gambling giant’s efforts to shorten the legal battle. US District Judge Karen Marston delivered a sharply worded ruling, shutting down DraftKings’ attempt to fast-track the case to an appellate court. As a result, the lawsuit will proceed as usual, barring a settlement.

The Court Dismissed DraftKings’ Procedural Maneuvering Attempts

The gambling company faces accusations over the alleged misappropriation of MLB player names and likenesses in sports betting advertising and promotional materials. The company tried to argue that its use of player images fell under news reporting protections. However, Judge Marston rejected this claim in March. In Tuesday’s ruling, she pushed back even harder.

DraftKings initially drew attention to four legal issues motivating its request for an accelerated appellate review. These ranged from free speech concerns to questions about class action procedures. Marston denied all four, stating that even a favorable ruling on those issues would not lead to the desired procedural outcome for DraftKings. The court admonished the company for bringing up these arguments without developing them in previous filings.

The decision ensures the case will now follow the typical legal process consisting of discovery, depositions, and likely a trial, barring a settlement. Judge Marston remained skeptical regarding DraftKings’ effort to fast-track proceedings, noting that the gambling giant had failed to meet the threshold for certification under federal law. She also criticized the company for its procedural maneuvering.

A Final Judgment Is Nowhere in Sight

Despite this newest development, a final ruling remains distant, especially considering the uncertain legal environment. While a similar suit against FanDuel in New York was dismissed following a confidential agreement, DraftKings has exhausted most of its options for a quick resolution. Meanwhile, competitor Underdog Fantasy faces similar allegations in a parallel track.

For the MLBPA, the ruling is a significant procedural win, giving the union hope as it pushes back against what it considers unauthorized commercial exploitation of player identities. For DraftKings, the newest setback likely means months or even years of litigation with no guarantee of success, as the company contends with several other ongoing lawsuits.

Legal observers note that the case could have industry-wide implications for how sportsbooks and fantasy operators use player data in marketing. While real-time stats are commonly considered public domain, using athlete likenesses for promotional purposes without consent is a legal grey zone. A definitive ruling here could set a precedent, helping resolve other such cases.