New York reaches agreement with DFS operators
NY Attorney General said in a statement after lawmakers legalised Daily Fantasy Sports in the state, that it is his job to enforce and defend the law as it stands.
US.- New York Attorney General Eric Schneiderman released a statement on Saturday, regarding the approval of DFS legislation within the state, commenting that since lawmakers have amended the law to legalise daily fantasy sports contests, it is now his job to enforce and defend the law as it stands.
However, Schneiderman also said in his statement that despite the new amendments to the gambling laws, his office will continue to pursue their claims that FanDuel and DraftKings were previously engaged in false advertising and consumer fraud.
Back in November of 2015, Schneiderman decided to send cease and desist orders to FanDuel and DraftKings, to prevent daily fantasy sports contests from running in the state. The state had been considering the activity and this weekend, a deal was reached within legislation that will allow the websites offering DFS contests to resume operations.
Under the language the new law, sites that offer DFS will be taxed 15 percent on gross revenues, which is a lower amount than the casinos are taxed. Gaming options will be limited to professional sports and will exclude high school and college contests. Players will have to be at least 18 to take part and any employees of the DFS companies will also be excluded. Any tax revenues generated will be added to the state lottery fund.
New York Governor, Andrew Cuomo, has to sign the bill into law to make the changes official. It has transpires that Cuomo was working with lawmakers to draft the new legislation and is expected to sign the bill into law.