Sports News
| Published On Jan 10, 2026 7:32 am CET | By iGaming Team

FanDuel and Rivals Challenge DC Case Based on Old Gambling Law

Share

Sports betting companies rarely fight legal battles rooted in the 1700s. Yet that is exactly what several major U.S. sportsbooks face this week as they head to court in Washington, DC.


Good to Know

  • A DC lawsuit relies on an 18th century gambling law.
  • FanDuel, DraftKings, and BetMGM want the case dismissed.
  • The outcome could affect millions in potential liability.

FanDuel, alongside DraftKings and BetMGM, will argue in court that a lawsuit built on a centuries old statute no longer applies to legal sports wagering.

The case was filed last year by DC Gambling Recovery, a Delaware based firm that seeks repayment of gambling losses under the Statute of Anne. The law dates back more than 300 years and allows recovery of gambling losses above $25 incurred during a single sitting.

The hearing, originally scheduled for December 19, now takes place Friday in a Washington, DC court.

5BTC or 111% + 111 Free Spins!
New players only. Exclusive 111% Welcome Bonus + 111 Free Spins
Casino

Operators Say Later Laws Replaced the Old Rule

The defendants argue that later legislation legalized sports betting and effectively sidelined the Statute of Anne. Court filings state that amendments included in the District Budget Support Act for 2026 updated earlier provisions that once imposed treble damages on certain gambling losses above $25.

Lawyers for the sportsbooks maintain that the updated framework removed any remaining relevance of the older statute for legal sports wagering.

“Contrary to what DC Gambling Recovery might argue, there is no constitutional or other problem with the act retroactive application,” attorneys for the defendants wrote in their filings.

Attorney General Backs Dismissal

Support for dismissal also came from Brian Schwalb, who urged the court to reject the lawsuit. His office sided with the sportsbooks on the view that modern legislation governs legal betting activity in the district.

350% or 5BTC + 150 Spins!
New players only. Exclusive Welcome Bonus of 350% + 150 Free Spins
Casino

The defendants include Betfair Interactive, the operating arm behind FanDuel. Betfair Interactive sits under the ownership of Flutter Entertainment.

Plaintiff Disputes Legal Interpretation

DC Gambling Recovery challenges the sportsbook interpretation of district law. The firm argues that changes introduced during the budget process clarified that the Statute of Anne does apply to sports wagering activity.

The plaintiff also cited the Professional and Amateur Sports Protection Act of 1992, commonly known as PASPA. According to the filing, PASPA made it unlawful for a governmental entity, including the District of Columbia, to authorize betting schemes tied to competitive sporting events.

The argument centers on whether later legalization fully displaced older recovery rights tied to gambling losses.

High Stakes for Major Betting Brands

Flutter Entertainment ranks as the largest online betting group globally and holds leading market positions across the United States. FanDuel remains a core driver of that presence.

Last summer, FanDuel received a valuation of $31 billion after Flutter agreed to acquire the remaining 5 percent stake it did not already control.