Less than six hours after Justice Manuel Mendez granted New York Attorney General Eric Schneiderman a temporary injunction that would stop DraftKings and FanDuel from doing business, an appellate court judge gave the two daily fantasy sites an emergency temporary stay that will allow them to accept entries from New Yorkers.
Randy Mastro of Gibson Dunn, outside council for DraftKings, told ESPN.com that the stay likely will be in place until the end of the calendar year. Eventually, both sides will go before a panel of four or five appellate judges, Mastro said.
"We remain open for business for the hundreds of thousands of New Yorkers who enjoy daily fantasy sports," Mastro said.
DraftKings has stayed open in New York throughout the challenges made by the attorney general. FanDuel, which pulled itself out of the New York market on Nov. 17, will allow fans to once again play on its site starting Friday night, said spokeswoman Justine Sacco.
Friday's ruling does not negate the interpretation made by Mendez that DraftKings and FanDuel were illegally operating within the state. Mendez agreed with Schneiderman's contention that the companies are operating illegal gambling sites based on how New York law defines gambling.
Lawyers for DraftKings and FanDuel argued that their clients could not have violated gambling statutes because they were taking in entry fees and not wagers. The main support for their contention was a New Jersey case -- an unpublished decision in Humphrey v. Viacom (2007) -- that Mendez disregarded, saying that what they took in were in fact bets under New York law.
Daily fantasy continues in N.Y. after stay granted
:kawhiblessed: we back
putting money in my account right now:handrub:
Randy Mastro of Gibson Dunn, outside council for DraftKings, told ESPN.com that the stay likely will be in place until the end of the calendar year. Eventually, both sides will go before a panel of four or five appellate judges, Mastro said.
"We remain open for business for the hundreds of thousands of New Yorkers who enjoy daily fantasy sports," Mastro said.
DraftKings has stayed open in New York throughout the challenges made by the attorney general. FanDuel, which pulled itself out of the New York market on Nov. 17, will allow fans to once again play on its site starting Friday night, said spokeswoman Justine Sacco.
Friday's ruling does not negate the interpretation made by Mendez that DraftKings and FanDuel were illegally operating within the state. Mendez agreed with Schneiderman's contention that the companies are operating illegal gambling sites based on how New York law defines gambling.
Lawyers for DraftKings and FanDuel argued that their clients could not have violated gambling statutes because they were taking in entry fees and not wagers. The main support for their contention was a New Jersey case -- an unpublished decision in Humphrey v. Viacom (2007) -- that Mendez disregarded, saying that what they took in were in fact bets under New York law.
Daily fantasy continues in N.Y. after stay granted
:kawhiblessed: we back
putting money in my account right now:handrub:
