The Latest: Higher NY court grants DraftKings, FanDuel stay

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NEW YORK (AP) — The latest news related to a judge barring daily fantasy sports sites DraftKings and FanDuel from doing business in New York (all times local):

4:45 p.m.

A state appeals court judge is temporarily allowing daily fantasy sports sites DraftKings and FanDuel to keep operating in New York, blocking a lower court ruling while the issue is fully considered.

State Supreme Court Appellate Division Associate Justice Paul Feinman granted the emergency motion filed by the companies late Friday, several hours after a lower judge ordered them to stop taking business in New York.

The order allows FanDuel and DraftKings to keep operating in New York through at least next month. A full panel of the judges will then rule on whether the companies can do business in in the state while the appeals process unfolds.

A spokesman says state Attorney General Eric Schneiderman (SHNEYE'-dur-muhn) looks forward to convincing the appellate division to continue the earlier ban.

Schneiderman has argued the games are illegal gambling operations. The companies have said their contests are games of skill, not chance.


11:40 a.m.

DraftKings and FanDuel say they'll immediately appeal a court ruling banning the daily fantasy sports sites from doing business in New York.

FanDuel calls the ruling "only the beginning of the legal process" and says it ultimately expects to prevail. DraftKings lawyer David Boies (BOYZ') said Friday the company believes the "status quo should be maintained while the litigation plays out."

Earlier Friday, a Manhattan judge ordered the country's two biggest fantasy sports companies to stop accepting play from New Yorkers.

State Attorney General Eric Schneiderman argues their operations amount to illegal gambling. He says he's pleased with the court decision.

The companies say their games are based on skill and are therefore lawful.

The ruling comes amid debate nationwide about whether online fantasy sports players are competitors or bettors.


10:30 a.m.

A state judge has barred daily fantasy sports sites DraftKings and FanDuel from doing business in New York.

The order issued Friday by state Supreme Court Justice Manuel Mendez also denied attempts from the country's two biggest daily fantasy sports to block the state's attorney general enforcement action.

Eric Schneiderman has called the games illegal gambling based on chance, not skill. His office sued the companies in state court to force them to stop.

The companies argue their games are based on skill and are therefore lawful.

Messages seeking comment from Boston-based DraftKings and New York-based FanDuel were not immediately returned.


This story has been corrected to change the spelling of 'they're' to 'their' in the last sentence of the 4:45 p.m. update.

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