Seminole Tribe sues DraftKings over alleged illegal sports betting

The lawsuit targets DraftKings Pick6 and sports offerings available through the company’s app

BROWARD COUNTY, Fla. — The Seminole Tribe of Florida filed a sweeping lawsuit against DraftKings and its CEO on Thursday, accusing the company of operating an illegal sports betting business in Florida.

The 72-page complaint was filed in Broward County Circuit Court against DraftKings Inc., CEO and co-founder Jason Robins, and GUS III LLC, which does business as DraftKings Predictions.

The lawsuit targets DraftKings Pick6 and sports offerings available to Florida users through the company’s DraftKings Sports & Casino app.

The Tribe alleges those offerings amount to unlicensed sports betting and violate Florida law and the terms of the state’s 2021 Gaming Compact with the Seminole Tribe.

DraftKings has publicly said its app is available in Florida with access to prediction markets, free-to-play pools, pick’em contests and horse racing. The company’s website says DraftKings Sportsbook and DraftKings Casino are not available in the state.

The Tribe disputes that distinction.

Its lawsuit alleges Florida users can wager through the app on moneylines, point spreads, game totals, player performances and combinations of multiple outcomes. The Tribe contends those offerings function like a traditional sportsbook regardless of whether DraftKings describes them as prediction markets or event contracts.

The allegations have not been proven in court. DraftKings had not filed a response to the lawsuit as of Thursday morning.

Lawsuit names DraftKings CEO personally

The complaint includes five counts:

  • An action to stop alleged illegal gambling
  • A Florida Racketeer Influenced and Corrupt Organization Act claim against Robins
  • An alleged violation of the Florida Deceptive and Unfair Trade Practices Act
  • A common-law unfair competition claim
  • A request for a court declaration that the products constitute illegal gambling

The Tribe alleges Robins personally directed the launch and expansion of DraftKings’ Florida offerings.

It also accuses DraftKings of misleading Florida consumers into believing its products are legal and regulated in the state.

DraftKings says Pick6 is a peer-to-peer fantasy sports product, while its other Florida sports offerings are prediction markets. The Tribe alleges those descriptions obscure products that function like conventional sports wagering.

What the Tribe wants

The lawsuit asks a judge to declare DraftKings Pick6 and sports betting through the company’s app illegal under Florida law.

The Tribe is also seeking an injunction that would prevent DraftKings from operating, advertising or processing sports wagers in Florida.

It wants DraftKings to surrender profits and revenue allegedly earned through its Florida operations. The complaint says the Tribe would prioritize using recovered money for consumer protection and problem-gambling treatment, prevention and recovery programs.

The Tribe is also seeking nominal damages, legal fees and interest. Its attorneys indicated they intend to ask permission to pursue punitive damages later.

Florida’s sports betting agreement

Under the 2021 Gaming Compact between Florida and the Seminole Tribe, the Tribe holds exclusive rights to offer online sports betting in the state through Hard Rock Bet.

The agreement requires the Tribe to share gaming revenue with Florida and includes a guaranteed minimum of $2.5 billion during its first five years.

The compact faced years of legal challenges, but opponents were unsuccessful in federal and state court. The U.S. Supreme Court declined to hear one challenge in 2024, leaving the agreement in place.

The latest lawsuit asks the state court to determine whether products marketed as fantasy contests or prediction markets fall outside the compact or constitute unauthorized sports betting.

Click here to download our free news, weather and smart TV apps. And click here to stream Channel 9 Eyewitness News live.