MLB Players Union Fights DraftKings’ Appeal in NIL Dispute

The Major League Baseball Players Association (MLBPA) wants a federal judge to throw out DraftKings’ attempt to appeal a recent decision in a lawsuit about the unauthorized use of players’ name, image, and likeness (NIL). The union filed a court document on April 17 saying DraftKings’ request for an interlocutory appeal has no basis and does not meet the tough legal requirements for early review.

MLB Players Union Pushes NIL Lawsuit Forward After Judge Rejects DraftKings’ Dismissal Bid

The fight now playing out in Pennsylvania’s Eastern District US Court kicked off with a lawsuit in September 2024. The MLBPA claims DraftKings used professional baseball players’ identities in ads without getting the union’s approval. Bet365 was first named, but later dropped from the complaint. 

The MLBPA also went after Underdog Fantasy and FanDuel with similar claims. FanDuel, though, was dismissed from a separate New York case in November. The lawsuit, which began in New York last September, has been thrown out for good, which means it cannot be brought back to court. This end to the dispute came after the two sides reached a secret deal that allows FanDuel to use player pictures from now on. 

Last month, Judge Karen Marston turned down DraftKings‘ request to throw out the case. She said that while some of the company’s content might look like news reporting, it was not obvious that everything they did fit into that box. The court pointed out that some ads mixed player images with marketing elements, which made people wonder if this content could be protected under the “newsworthiness” exception in Pennsylvania’s right to publicity law.

Players Union Blasts DraftKings’ Early Appeal Bid as Unfounded and Premature

The MLBPA has slammed DraftKings’ appeal as a scattered attempt. They say the company is trying to bring up several linked legal issues, hoping one might be enough to justify an unusual early appeal, reported Bloomberg Law. The union argues that even if the Third Circuit Court of Appeals were to accept a “newsworthiness” defense using it would still need a thorough examination of the facts.

This deep dive into the details, it claims, can happen through the discovery process and maybe even a full trial. The players’ union also said DraftKings has not shown that an appeal would make the lawsuit go faster or that there is a big legal disagreement about important issues — both of which you need for an interlocutory appeal to go ahead. Therefore, the union asked the court to let the case move forward without any holdup.