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DraftKings sues payment processors regarding their withdrawal of services

Wednesday December 2,2015 : DRAFTKINGS FILES ANOTHER LEGAL ACTION
 
Daily fantasy sports operator sues payment processors regarding their withdrawal of services.
 
DFS market leader DraftKings has launched litigation in a Boston court against payment processing firms Optimal and Vantiv, accusing them of breach of contract.
 
The two companies withdrew their services to DraftKings and other DFS operators following the issue of a cease and desist warning by the New York Attorney General early in November, alleging that the legality of daily fantasy sports was questionable

The business publication Forbes speculates that the payment processing companies are wary of the federal Unlawful Internet Gambling Enforcement Act of 2006, under which they could be held liable for knowingly “accepting any credit or funds from a person in conjunction with the latter’s participation in ‘unlawful Internet gambling.’”
 
Forbes notes that both processors probably have escape clauses in their contracts with DraftKings which could cover their withdrawal of services on legal grounds.
 
Vantiv has also been named in a New York class action filed last week by New York DFS player Yehuda Guttman in the U.S. District Court for the Southern District of New York
 
The complaint alleges that banking defendants lent money or credit to players for wagers, and the card companies received a fee from the banks for facilitating the money transfer, whilst the payment processors serve a "player banking function," receiving a fee as the financial intermediary between the gambling sites and their customers.
 
The banks have allegedly collected and continue to collect debts on the credit they lent for the purpose of wagering...and the filing claims that New York law prohibits the enforcement or collection of debts issued for illegal gambling.



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MPN Poker Tour Malta Day 1A - The MPN Poker Tour has returned to Casino Malta this week, with a €150,000 guaranteed €500 + €50 Main Event running alongside a full complement of side events, parties and activities.

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NHL Odds: Young Oilers Face Veteran Ducks in Round Two - Game Two in Anaheim (10:30 PM ET on NBCSN) features the first and second ranked teams in the Pacific Division during the regular season, with only two points separating them. The Oilers edged the Ducks 3-2 in regular season games, outscoring them by a slim 14-12 margin. This series will be close, and Game Two will decide who has the edge heading back to Edmonton.

BitStarz Casino pays out nearly $100,000 over 2 days - They say lightning doesn’t strike in the same place twice, but it did at BitStarz as yet another player lands a massive payout on an Amatic slot!

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New Quick Seat feature at Ignition Poker - New Quick Seat feature at Ignition Poker.In order to ensure our poker players’ user experience is even more seamless, we’ve introduced a new feature in our poker software called Quick Seat for both Ignition Poker.

Finnish people prefer the government to run the casinos - Nordic countries have been, historically, the main markets for the online casino operators. The reasons for this are rather clear - these countries are very cold and people simply prefer to stay home and gamble than go outside to visit a casino.

New Era of Gambling. Now with Bitcoins. - It is not a secret that more than half of the bitcoin transactions have been related, at least somehow, to the online gambling activities.

NBA Odds: Chalk-Heavy Warriors Host Portland for Game 2 - The Golden State Warriors needed a strong fourth quarter to put away the Portland Trail Blazers on Sunday. But they still didn’t cover as 15-point home favourites in a 121-109 victory. Can they do better this Wednesday (10:30 PM ET, TNT) in Game 2 of their first-round playoff series?

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