Baltimore vs. Bookmakers: City Sues FanDuel and DraftKings

^{Pictured: Baltimore Mayor Brandon Scott (right)}

Yesterday, the city of Baltimore (Maryland) filed a lawsuit against bookmakers DraftKings and FanDuel, accusing them of deliberately getting new users hooked on gambling, according to Front Office Sports.

“The platforms [DraftKings and FanDuel] are designed to create problem gamblers and then exploit them for financial gain,” states the 51-page complaint filed in Baltimore Circuit Court.

The lawsuit alleges that sportsbooks aggressively push “bonus bets” and other incentives to lure in new customers, who then develop compulsive gambling habits. It further claims that DraftKings and FanDuel “relentlessly encourage users to place bets” and “intentionally fine-tune their algorithms to target those most vulnerable to problem gambling,” maximizing revenue from their customers.

Baltimore Mayor Brandon Scott, named in the suit, also accused the operators of using player data to personalize promotions. According to the complaint, sportsbooks adjust their notifications to tempt individual users with bets tailored to their specific interests.

Baltimore is the first U.S. city to take legal action against bookmakers over alleged targeting of problem gamblers.

City officials argue that the companies’ practices violate Baltimore’s Consumer Protection Ordinance and are seeking a jury trial. “This lawsuit is a critical step to hold them accountable and protect all Baltimoreans,” officials said.