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Lawsuit Filed Against FanDuel and DraftKings in Louisiana

A 27-page lawsuit filed in a Louisiana court claims that FanDuel and DraftKings designed their mobile betting apps to encourage users to keep betting. The plaintiffs classify the apps as defective products under product liability law.

Lawsuit Filed Against FanDuel and DraftKings in Louisiana
Photo: Focus Gaming News

A 27-page lawsuit filed in the Orleans Parish Civil District Court in Louisiana makes serious allegations against FanDuel and DraftKings. According to the plaintiffs, the companies deliberately designed their mobile apps to keep users betting, including customers experiencing betting problems. The lawsuit considers the apps defective products under Louisiana's product liability law.

The allegations claim that the app's micro-betting feature works like a slot machine, speeding up play. Critics also point to bonus bets that are allegedly offered during times of financial distress, and to screens that let users exceed their betting limits without any waiting period. The plaintiffs argue that the companies use customer data to identify vulnerable bettors and market to them.

The lawsuit states that a company affiliated with FanDuel's parent company collects at least 186 data points on each bettor. It claims this data is used to predict which people are likely to keep betting despite losses. These allegations have not yet been proven in court.

The plaintiffs are seeking a refund of the money they deposited, minus any winnings they withdrew, along with damages for financial losses, severe emotional distress, harm to family relationships, and treatment costs. The court has not yet ruled on these allegations.

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