Sports News
| Published On Sep 17, 2024 9:47 am CEST | By iGaming Team

MLB Players Union Takes Legal Action Against DraftKings and FanDuel Over NIL Rights

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The major sports betting companies DraftKings and FanDuel, together with bet365 and Underdog Fantasy, were the targets of legal action taken by the MLB Players Union on September 16. The lawsuit claims these platforms used hundreds of participants’ names, photos, and likenesses (NIL) without consent. It was filed in federal court in Philadelphia against DraftKings and bet365, and in state court in New York against FanDuel and Underdog Fantasy.

The operators, according to the Union, have blatantly violated state statutes meant to safeguard the right to publicity. According to the lawsuit, these betting services’ mobile apps and websites show almost every active player’s picture. The players’ rights are being violated, and the financial worth of their likenesses is being weakened, according to the Union.

Impact on Player Rights

The MLB Players Union asserts, “For professional athletes, the ability to control the commercial use of their names, images and likenesses is a crucial return on their substantial career investment.” The players seek both compensatory and punitive damages for these alleged infringements. They argue that the betting platforms’ usage of player images is intended solely to enhance consumer appeal and attract more bets, even though bettors primarily rely on statistical data.

This lawsuit follows a similar legal action by the NFL Players Union, which also represented by the same law firm, sued DraftKings over the use of NFL player likenesses for non-fungible tokens (NFTs). In that case, the issue centered on DraftKings’ refusal to pay for NFL player likenesses.

The MLB complaints highlight a distinction in how player likenesses are treated. The players argue that unlike NFL player images, which are not featured on betting platforms, MLB players’ images are used extensively. The legal actions reflect growing concerns among professional athletes about the control and compensation associated with the commercial use of their personal images.

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