MLB Players Sue DraftKings, FanDuel, Others Over Unauthorized Use Of Likenesses

MLB players have initiated legal action against several prominent sports betting operators, accusing them of unlawfully using players’ names and likenesses without proper authorization. The lawsuits represent an ongoing effort by athletes to assert greater control over how their identities are used in the rapidly expanding world of online sports betting and fantasy sports.

Plaintiffs filed suit on Monday in two separate courts, with players seeking compensatory and punitive damages from companies including DraftKings, FanDuel, bet365 Group, and Underdog Fantasy. The legal claims center on what the players’ union has described as the “flagrant” violation of state laws designed to protect individuals’ rights of publicity.

In one of the cases, the players have filed suit in Philadelphia federal court against DraftKings, a Boston-based daily fantasy sports and sports betting operator, as well as the UK’s bet365 Group, a global leader in online sports betting. The plaintiffs are seeking compensation for the use of players’ names, images, and likenesses on these platforms.

The lawsuit contends that these companies have been using the likenesses of nearly every active MLB player in their marketing materials, websites, and mobile applications without the players’ permission in violation of state laws.

A separate action is proceeding in New York state court against FanDuel and Brooklyn-based Underdog. Like the Philadelphia case, this legal action asserts that the companies have violated the players’ rights of publicity by displaying their names, images, and likenesses on their platforms without appropriate compensation.

These images are used in various forms, from promoting fantasy sports games to driving user engagement. The plaintiffs allege that this extensive use of player likenesses was done without their consent, violating the legal protections that athletes have over their identities.

The New York lawsuit also seeks both compensatory and punitive damages.

Sportsbooks tackled by sports leagues

The lawsuits come three weeks after a similar case was filed by NFL players against DraftKings over its use of player likenesses in the form of non-fungible tokens (NFTs). The NFL players’ union, represented by the same law firm handling the MLB players’ cases, sued DraftKings for using NFL player likenesses without compensation.

The MLB players’ legal actions follow a similar line of argument. Players accuse the sports betting platforms of exploiting their identities to drive revenue without securing the necessary permissions or making appropriate payments.

According to the lawsuits, the use of player likenesses on sports betting platforms constitutes a clear violation of various state laws that protect an individual’s right to control how their name, image, and identity are used commercially. These right-of-publicity laws exist in many states to ensure that individuals, including professional athletes, have the power to manage and profit from the use of their personal identities in commercial ventures.

The players’ lawsuits assert that DraftKings, FanDuel, bet365, and Underdog have blatantly ignored these laws by failing to compensate players for their use of player images in connection with their businesses.

The lawsuits also argue that using the images is irrelevant to the goal of the sportsbooks, which is to drive more betting traffic. This, they assert, can be done without infringing on the players’ rights to privacy.

While no specific monetary figure has been disclosed, the lawsuits seek both compensatory and punitive damages. Compensatory damages would be intended to reimburse the players for the unauthorized use of their likenesses, while punitive damages are aimed at punishing the defendants for what the players describe as a deliberate disregard for the athletes’ legal rights.