Sports News
| Published On Sep 25, 2023 7:52 am CEST | By Daniel Li

Florida Gaming Regulators Issue Cease-and-Desist Orders to Fantasy Operators

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The state of Florida’s gaming regulators have acted decisively, ordering a number of fantasy sports firms to stop engaging in any suspected sports betting activity there. Under the direction of Executive Director Louis Trombetta, the Florida Gaming Control Commission wrote to Betr, PrizePicks, and Underdog Sports to raise concerns that these businesses may be encouraging illicit lotteries that draw participants from Florida.

Cease-and-Desist Letters

The gaming regulator highlighted that such behavior is totally forbidden in Florida and is criminal activity in these letters by citing facts that may point to suspected illicit actions. In his letter, Trombetta urged that Florida citizens immediately stop placing or accepting bets or wagers on games of skill, such as fantasy sports and sports betting. The regulator also demanded that any alleged illicit lotteries operated by these businesses comply with its request.

In case the operators disobeyed, Trombetta issued a warning about the repercussions, which may include sending the case to the Attorney General’s Office of Statewide Prosecution. It’s crucial to remember that the allegedly unlawful conduct detailed in the letters have not been established in court.

Legal Sports Betting Landscape in Florida

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Because of an ongoing legal dispute, there is currently no legal sports betting in Florida. Even if sports betting were allowed, Florida’s laws would only allow the Seminole Tribe and its Hard Rock Bet sportsbook to offer it as part of a gaming agreement they made with the governor in 2021.

Trombetta’s letter emphasized the uniqueness of the Seminole Tribe’s position in this respect and emphasized that, in Florida, sports betting may only be legally done under a gaming agreement.

Fantasy Sports Operators and Their Legal Challenges

Operators of fantasy sports, like PrizePicks, have had to navigate a regulatory environment that sets them apart from conventional sports betting. For instance, PrizePicks offers fantasy sports in the “pick ’em” fashion in several U.S. states, including Florida. Players in this model place bets on certain events’ results, frequently dodging the label of traditional sports betting.

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The framing of sports betting as fantasy sports, however, has raised concerns from regulators in a number of jurisdictions, including Ohio. Similar to Florida’s cease-and-desist orders, several agencies have taken similar measures.

Operators of fantasy sports, like Underdog, have disputed these legal concerns, arguing that their products adhere to the legal definition of fantasy sports competitions and place a strong emphasis on ability in their games.

Ongoing Debate and Response

The limits of fantasy sports and their legal standing are still up for question in response to the Florida moves. Operators of fantasy sports have reacted by defending their legality and pledging to keep doing business in the state.

Discussions between the business and authorities about the future of fantasy sports and sports betting in different states are taking place as the legal environment surrounding them continues to change.

 

Daniel Li

A day trader in cryptocurrencies and avid sports bettor himself, Daniel decided to join the team and share his expertise with the iGaming.org audience. Areas of interest are global crypto regulations and the adoption of cryptocurrency use in the world. Daniel loves to work hard and write “how to guides” related to sports betting to share his take on various topics.