California Attorney General confirms stance on DFS operations
Attorney General Rob Bonta spoke during a live interview with a local northern California news outlet, stating DFS operators conducting business within California is a ‘violation of the law.’
Key Points
- Bonta released his official opinion on July 3, believing state law “prohibits the operation of daily fantasy sports games with players physically located within California”
- Underdog Fantasy had requested for Bonta to be prohibited from reporting his legal opinion, but were denied by Sacramento County Superior Court Judge Jennifer Rockwell
Attorney General Rob Bonta spoke during a live interview with a local Northern California news outlet regarding his stance on the legality of daily fantasy sports (DFS), stating he will “absolutely” take action against any operators who continue to conduct business within the state.
Bonta also described the operation of DFS within California as a “violation of the law,” having originally formed his legal opinion on July 3.
“California law prohibits the operation of daily fantasy sports games with players physically located within California, regardless of where the operators and associated technology are located,” Bonta said within his report.
“Such games constitute wagering on sports in violation of Penal Code section 337a.”
Underdog Fantasy had requested for Bonta to be prohibited from reporting his legal opinion, but was denied by Sacramento County Superior Court Judge Jennifer Rockwell on July 2.
Good to know: ZwillGen Founder and Managing Member Marc Zwillinger provided his thoughts on the state of DFS in California following Attorney General Rob Bonta’s statement on July 3
“It will cast a legal cloud over companies that organize digital fantasy sports contests and deter the businesses who make these contests possible by processing payments, hosting the platforms that Californians use to participate in digital fantasy sports and providing critical financing,” Underdog said.
Rockwell wrote an opinion from Bonta “does not effect any change in the law” as part of her decision, while also stating Underdog had “ample time” to raise a challenge to the proceedings, and believes the “delayed filing (of) this action does not constitute a basis for ex parte relief.”
Bonta went to state with his legal opinion now officially released, the next step for the Attorney’s General Office is enforcement of the state laws currently in place regarding DFS.
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