PrizePicks Sues Ex-Director After DraftKings Move

PrizePicks is taking legal action against a former executive who recently joined DraftKings. The company filed a lawsuit in federal court, claiming the former social media director violated a non-compete agreement and used confidential strategies to land a top role at a direct rival.

Good to know

• PrizePicks says Judah Huffman breached a one-year non-compete clause.
• The lawsuit alleges Huffman shared confidential information to get a better salary at DraftKings.
• The case was filed in the U.S. District Court for the Western District of Washington.

Judah Huffman resigned from PrizePicks on May 5 and joined DraftKings shortly after. According to the complaint, he accepted a position as director of social and community for DraftKings’ sportsbook division just days before his resignation.

PrizePicks claims Huffman never disclosed his next steps during several meetings with leadership, including CEO Mike Ybarra and founder Adam Wexler. The company says he misled them and used insider knowledge to negotiate a salary increase at DraftKings, reportedly landing an offer of $210,000 per year.

The fantasy operator alleges that Huffman breached both his contract and company trust by using trade secrets related to social media strategies and internal plans—insights PrizePicks says he later applied in his new role at a direct competitor.

Outside the Courtroom

While the legal dispute unfolds, DraftKings is also drawing attention for a new charge in Illinois. Starting September 1, the operator will apply a $0.50 fee to every sports bet placed online in the state. The decision comes after lawmakers approved a 25-cent per-wager tax that applies to the first 20 million bets an operator takes annually.

This added cost is part of a wider change to Illinois’ tax rules on sportsbooks. After another revision in 2024, the state is now among the highest-taxed sports betting markets in the country. DraftKings’ move to shift the cost to bettors could push other operators to do the same in high-tax areas.

Outside the courtroom, PrizePicks is continuing to grow its brand through major sports partnerships. The company signed a new deal with the Los Angeles Dodgers, becoming the team’s official daily fantasy partner.

The agreement rewards fans with free lineups and tickets whenever the Dodgers score 10 or more runs at home. It also gives PrizePicks visibility inside the stadium and across the Dodgers’ digital, radio, and social platforms.

Dodgers executive vice president and chief marketing officer Lon Rosen called the deal a strategic step that boosts fan engagement and ties into PrizePicks’ wider marketing strategy.