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The Seminole Tribe of Florida has sued DraftKings, CEO and co-founder Jason Robins, and GUS III LLC in Broward County Circuit Court, alleging the company is operating an illegal sports betting scheme in Florida.
According to the complaint, DraftKings’ Pick6 product and sports offerings within its DraftKings Sports & Casino app function like an unlicensed sportsbook and violate both Florida law and the 2021 Seminole Compact. The Tribe is seeking an injunction, surrender of profits and revenue, damages, attorneys’ fees and a court declaration that the challenged products are illegal. The allegations have not been proven in court.
What the lawsuit alleges
The 72-page complaint says DraftKings’ Florida app offers sportsbook-style features including moneylines, point spreads, game totals, player-performance selections and combinations of outcomes. It also challenges the company’s “Super App,” arguing it blurs the line between prediction markets and products the Tribe says are not legal in Florida.
The filing includes five counts, among them a Florida RICO claim against Robins, a Florida Deceptive and Unfair Trade Practices Act claim, and a common-law unfair competition claim. The Tribe also alleges the app includes prop bets on college sports and lacks minimum age-21 verification.
DraftKings response and the Florida backdrop
DraftKings disputes that characterization. The company says DraftKings Sportsbook and DraftKings Casino are not available in Florida and that its Florida-facing products consist of prediction markets, free-to-play pools, pick’em contests and horse racing. It has also described Pick6 as a peer-to-peer fantasy sports product.
In a statement reported by Yahoo Finance, DraftKings said: “We have been thoughtful in how we launched DraftKings Predictions and have done so in a way that is respectful of all stakeholders.”
The case lands against a long-running Florida battle over who can offer online sports betting. Under the 2021 gaming compact, the Seminole Tribe holds exclusive rights to offer online sports betting in the state through Hard Rock Bet in exchange for revenue sharing with Florida. The article says the compact guarantees a minimum of $2.5 billion during its first five years.
Florida Gov. Ron DeSantis said the Tribe was “given the purview on the sports betting” and that “the agreement clearly contemplated that they would have the ability to run this in Florida.” The U.S. Supreme Court declined to hear one challenge to the compact in 2024, and the Florida Supreme Court rejected a separate challenge.
What to watch next
For DraftKings users and industry watchers, the key question is whether the court treats the company’s Florida products as lawful prediction-market or fantasy-style offerings, or as unauthorized sports betting. The next major development will be DraftKings’ formal response in court and any ruling on the Tribe’s request for injunctive and declaratory relief.
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Source: As reported by Alec Novak.
