Michael Hermalyn, the current President, VP, and Head of the LA Office at Fanatics, has addressed the legal challenges brought against him by DraftKings, labeling the lawsuit as baseless and an attack on his character. The dispute has escalated to the US District Court in the District of Massachusetts, where a preliminary injunction has been filed against DraftKings’ accusations.
Hermalyn, who once served as the Senior Vice President of Business Development and Growth at DraftKings for over three years, faces claims from his former employer that he engaged in litigation-worthy offenses. The injunction, however, refutes these accusations, arguing that DraftKings is attempting to tarnish Hermalyn’s reputation without cause.
The statement from the injunction criticizes DraftKings for trying to manufacture controversy, stating, “DraftKings’ strategy is to attempt to create smoke where there is no fire.” It goes on to defend Hermalyn, saying, “The Court should not be misled by DK’s bombast and smoke and mirrors and should deny DK’s requested PI. Hermalyn is not the bad actor here.”
Furthermore, the injunction highlights the migration of over 180 DraftKings employees to Fanatics following the announcement and launch of Fanatics sportsbook, suggesting DraftKings is using Hermalyn as a scapegoat to deter others from leaving.
It also addresses specific allegations, such as Hermalyn improperly downloading company documents onto his personal phone, which was deemed permissible for work use. This point underscores DraftKings’ policy of not providing company phones, necessitating the use of personal devices for business purposes.
Hermalyn’s response also denies claims of soliciting DraftKings staff for Fanatics, even recounting an instance where he advised a colleague to remain with DraftKings.
The injunction makes a strong case for Hermalyn, arguing that DraftKings’ legal actions lack a basis in legitimate business interest or goodwill, and highlighting the potential damage to Hermalyn’s reputation and career. It urges the court to see through DraftKings’ assertions, painting them as unfounded and vindictive.