Daily Fantasy Sports were going to become an inevitable target with the California Attorney General. While debates can rage on, it is clear that the state will not take these matters lying down. This is even if it takes them forever to act. Now, that is just one of the problems here. Several other dilemma get unearthed because of what has officially come out.
Honestly, it seems that the Attorney General is more interested in just picking random fights. One of the telling realities that online betting sites have not accepted is this. Now, the Governor does not agree with the Ron Bonta opinion. How can something be ultimately enforced if the higher-ups will not get on board with? DraftKings and FanDuel have been operating in the state for more than a decade.
One really useful construct of daily fantasy sports is that it considers itself more a game of skill. It does not consider itself gambling. The premise of playing in cash and GPP tournaments is different than wagering. Bonta has made it no secret that he will do battle with prediction markets along with daily fantasy sports. He may be an uphill battle with both.
Maybe the Attorney General is waiting for whomever the new Governor is. The problem here is both probably will be looking for ways to dig a little out of the economic mess the state is in. Alas, California is like trying to make sense more pressing issues. The difference between prediction markets and DFS is clear but to Bonta, it is more apparent he wants to go after someone after months of sitting on the fence.
Placating To The Indian Tribes
Placating to the Indian Tribes feels like the play here. Bonta understands having the tribes on his side for full enforcement is critical. However, it is abundantly clear that the California National Indian Gaming Association is looking out for its own interests. Yes, the Las Vegas odds would be interesting here if Bonta actually gets to enforce his own opinion.
“Untold millions if not billions have been illegally wagered over the past decade. Where is the enforcement? Where is the accountability?” James May, CNIGA chairman, said in a statement. “It is now imperative that the state back up this legal opinion with strong enforcement and that lawbreakers be held to account.”.
As for the DFS providers, this is where it gets fun, DraftKings, FanDuel, and Underdog all pledge to cooperate but continue to operate business as usual. Their stance has been obvious from Day 1. All three companies contend that the state does not curb offshore gambling by any viable means so why pick on daily fantasy sports. It is at least a compelling point.
When it comes to the daily fantasy sports in California, things seem to pan out not in the Attorney’s favor. California has been so slow to act that now feels like it should have happened then. When is then? Needless today it was many many months ago. All this feels like lip service and an attempt to keep tribal groups happy so they keep their piece of the pie.
Daily Fantasy Sports May Have More Solid Legal Footing
If anyone needs a reason why daily fantasy sports may have more solid legal footing, it is quite academic. Consider the simple fact that 24 other states and Congress have concluded that DFS is a game of skill. Bonta can bang his drum all he wants. A solution that features a complete win for California is quite unlikely. It is like the chances of blocking all deposit methods via tough words. Action just talks better here.
Had daily fantasy sports been tackled sooner, maybe Bonta has a chance. Some will say Bonta is doing all he can but he has been in office for more than five years. His term started in April of 2021. It is like the Attorney General saying he is all for allowing more home units to be constructed, his action has not resulted in that. Sadly, that is a theme in California.
Unfortunately, Bonta filed at least 54 lawsuits against the Trump administration in just 12 months. Again, all of this has come before his long-awaited option on Daily Fantasy Sports. As others have argued in the state, well it took long enough.
Daily fantasy sports are unlikely to go anywhere, especially in California. While this opinion has a longer shot to gain any tangible sort of enforcement, the Indian Tribes remain hopeful that Bonta can deliver on something where so far, nothing in the state has been truly stopped.
California, DFS, and What Legal Precedent?
Yes, California still is taking shots at Daily Fantasy Sports and other entities. More and more states are trying this but at least those measures have some sort of new legal precedent. There is no new court mandate or statute to even buoy the opinion. It is merely an opinion which according to some experts is not worth the paper it is printed on.
Yes, Bonta is trying to work toward a solution that is amicable to the Indian Tribes and no one else. Daily Fantasy Sports companies will to come to the table is something but they are not going to simply go away. That is no matter how hard Bonta wishes with his motion.
Excuses mount in states like California because of actions like this. Think about it. Part of the main reason why predictive markets, offshore betting, and DFS have been so successful in the Golden State is because nothing substantive was done for so long. It is too late for a ban and heavy legal enforcement, this requires a more amicable plan.
Chris Wassel is someone who has covered a little bit of everything: business, writing, sports, food, grilling, the Olympics, injuries, politics, and more. He has climbed mountains like Mount Washington and Mount San Jacinto in Palm Springs, California, and for those who don’t know, he is also big into food challenges. With friends like Joey Chestnut and Casey Webb, Chris has tackled eating feats like finishing a 16-pound turkey or a 32-inch meat lover's pizza.
Since 2013, he has focused on fitness, fishing, and sports while managing to fit in running, hiking, rock climbing, and even the occasional mini-triathlon. He can lift more than his body weight with ease and is the person you turn to when you want to know if a NASCAR rain delay means a Monday race.
Over his career, Chris has worked at places like Amazon, USA Today, and various rumors and fantasy sports sites. He has been nominated for awards such as the Fantasy Sports Writers Association's Hockey Writer of the Year and has a collection of high-stakes fantasy trophies and rings on display at home. With all this, Chris sums it up best with his motto: "Shut up and play."