New York Court Rejects Lawsuit Over DraftKings Bonus Offer
DraftKings Sportsbook scored a big win in the Empire State this week.
The US District Court for the Eastern District of New York has dismissed a class-action lawsuit against the operator. The operator was being accused of misleading bettors with its promotion of a $1,000 deposit bonus, but the court determined there was no legal basis for the lawsuit. They shared that any reasonable person would have been able to understand the bonus from the DraftKings ad clearly.
The accusations against the industry-leading sportsbooks centered around the wording for the deposit bonus being promoted. It's one that DraftKings has been offering for years, and allows bettors to claim up to $1,000 in bonus bets on their initial deposit. The total received is calculated by taking 20% of the initial deposit. That means that you’d need to deposit $5,000 in order to claim the maximum.
The lawsuit was filed by Nerye Aminov back in December 2024. He alleged that DraftKings was intentionally misrepresenting the promotion, leading him to deposit $500 with the belief he would receive far more than the $100 in bonus bets that he received.
While several other people joined Aminov’s lawsuit, it wasn’t enough to sway the judges. They found that the advertisement clearly stated how the bonus bets would be awarded, clearing DraftKings of liability.
DraftKings Promo Serves as Example for Industry
There has been no shortage of class action lawsuits filed against sportsbooks since PASPA was overturned in 2018. Many of those have involved the advertising of promotions and bonuses, which have led to a crackdown over the years.
With DraftKings’ win in New York, it shows they have learned from those early years. The district judges reviewing this latest case carefully studied the promo and the wording used. Their approval provides the industry with a legal standard for advertising across the US, and sends a message to those looking to score an easy legal victory.
Sportsbooks will likely use this case as an example for success moving forward. Everything from the way the promotions were worded to the legal strategies will be studied and applied. This will not only help avoid legal cases but also ensure customers have a clear understanding of the terms of promotions.
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