Abraham Jewett  |  April 24, 2024

Category: Legal News
Close up of a Draft Kings promo displayed on a smartphone screen, representing the Draftkings class action.
(Photo Credit: Koshiro K/Shutterstock)

DraftKings promotions class action lawsuit overview: 

  • Who: Samantha Guery filed a class action lawsuit against DraftKings Inc. 
  • Why: Guery claims DraftKings used misleading promotions such as offering a “risk free” first bet to lure new users into opening accounts. 
  • Where: The class action lawsuit was filed in New York federal court.

DraftKings Inc. used misleading promotions to “lure” new users into opening accounts with the sportsbook, a new class action lawsuit alleges. 

Plaintiff Samantha Guery’s class action lawsuit claims DraftKings misled new users into thinking the promotional offers they responded to were “financially more advantageous” than they were. 

“DraftKings knew that new users could potentially be converted to long-term customers, which would be extremely profitable for the sportsbook,” the DraftKings class action lawsuit states. 

Guery wants to represent a class of DraftKings users who wagered in the state of New York and utilized a DraftKings promotion that advertised a “risk free” bet and proceeded to lose the bet. 

Class action says DraftKings ‘risk free’ first bet promotion not as it seems 

Guery argues a DraftKings promotion offering new users a “risk free” first bet if they sign up required the user to place a bet using their own money and did not return their money if the bet was lost. 

Instead, Guery claims DraftKings credited the users’ account with a “Free Bet” that she argues is worth less than its counterpart in U.S. dollars since the credit cannot be withdrawn but instead must be wagered to be converted to cash. 

“The false promise of ‘risk-free’ bets was specifically designed to overcome many new users’ natural resistance to gambling and to grab market share in the newly legal sports betting industry,” the DraftKings class action lawsuit states. 

Guery claims DraftKings is in violation of New York General Business Law. She demands a jury trial and requests declaratory and injunctive relief along with an award of actual and/or compensatory, multiple, punitive and statutory damages for herself and all class members. 

DraftKings agreed to pay $8 million in 2021 to resolve a number of class action lawsuits that were filed against the company, including over claims it failed to adequately represent how difficult it is to win its daily fantasy sports contests. 

Have you made a “risk free” bet on DraftKings in the state of New York? Let us know in the comments.

The plaintiff is represented by Charles D. Moore and Michael R. Reese of Reese LLP, Christopher V. Le and Brian Drockton of Boies Battin, LLP and Rebecca A. Peterson, Joseph C. Bourne and Laura M. Matson of Lockridge Grindal Nauen PLLP. 

The Draftkings promotions class action lawsuit is Guery, et al. v. DraftKings, Inc., Case No. 1:24-cv-02921, in the U.S. District Court for the Southern District of New York.


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7 thoughts onDraftKings class action alleges company uses misleading promotions to lure players in

  1. Andrea Kriner says:

    Add me

  2. Mark says:

    If yall would read the fine print it states, “risk free” bet, if you make a qualifying wager and it loses, they will give you the amount you lost(up to a certain amount, if you lost more than the max thats on you) back in DK dollars, DK dollars can be spent to make wagers just like real money, just can’t be cashed out unless you win, if you win a wager using DK dollars whatever amount you win you can then cash out. So technically that’s on the person NOT on draft kings, they specify DK dollars, NOT real cash. This what’s wrong wotht he world, people don’t read everything then wanna try to file a lawsuit when they’re the ones that failed to read everything. Now unless it’s different in New York or other states idk, but I do know that in my home state that’s exactly what it says, I was lured in by it, but I READ EVERYTHING and knew what I was getting into, like I said unless somehow each state is different then it’s on you all for not reading everything. I fell victim myself, but you wouldn’t see me joining this lawsuit(if my state was in it), because draft kings isn’t in the wrong, everyone just trying to make a quick easy dollar anymore, and that’s why everything’s outrageously high, everywhere you look it’s sue this or sue that, everyone is sue happy, mostly cause most of em are to lazy to work and looking for a free ride

  3. Gus says:

    Yes
    I was scammed by drafting.
    And t he intro bet you don’t even get money if you win. Not until you actually spend money

    1. Blaze says:

      You wasn’t scammed, you just didn’t read everything, it does not say you’ll recieve cash back, it says you’ll recieve DK dollars for the amount you wagered(up to a certain amount). Of course you gotta spend money, duhhhh, it says make a wager(that’s using YOUR OWN MONEY, they sure aren’t going to give it to you), and if wager loses you get amount back in DK dollars, then take them DK dollars make more wagers, if them wagers win then what do ya know you get to cash them winnings out, so why say you was scammed? YOU FAILED TO READ don’t blame them

  4. Anthony N Marks says:

    Where do I find the draftkings lawsuit

  5. Joe Knox says:

    Tyhe initial come on does not explain the roll over rules at all. Barley even after you’ve lost your money and gret the bonus to get some back . They also change lines after you make bet (always in their favor as this 3 second last min change is just for suckers- like 99 pct of players). They all have their tricks but threy are supposed to be regulated . Illegal books are more honest! Really!

  6. Jacky says:

    I have use that promotion and lost now am down a lot because I was drawn in after.

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