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Sports in Society

Massachusetts Gov. Says DFS Should Be Legal; Other States Beginning To Take Stances

Massachusetts Gov. Charlie Baker on Thursday said that he believes DraftKings' contests "do not amount to gambling and should be legal" in the state, according to a front-page piece by Woodward & Adams of the BOSTON GLOBE. With that declaration, Baker offered his "most vocal defense of Boston’s most prominent tech start-up." Baker revealed that he "had played a free DraftKings game over the weekend and concluded it was a game of skill rather than one of chance." His position "differs slightly from that of Massachusetts Attorney General Maura Healey." Earlier this week, Healey said daily fantasy sports are a "form of gambling." Baker "left open the possibility of some form of regulation." Baker added that he is "awaiting guidance from Healey." DraftKings "employs about 250" people at its Boston HQ (BOSTON GLOBE, 11/13). In Boston, Joan Vennochi writes under the header, "Why Won’t Maura Healey Go After DraftKings?" When it comes to regulating DFS, Healey is "avoiding a New York-style hammer" by "choosing not to use a tool clearly at her disposal -- the state’s illegal lottery statute." Instead, she is "chiseling out a path for DraftKings and other such companies to do business in Massachusetts." She insists that her approach "is all about the facts and the law -- and not about the huge amount of money at stake or the powers behind it" (BOSTON GLOBE, 11/13).

WEST COAST CUSTOMS: In California, Ryan Kartje notes FanDuel and DraftKings in emails sent Thursday "issued a call to action to users in the state" in response to a Nov. 2 letter sent by Assemblyman Marc Levine that "alleged daily fantasy sports to be illegal under California state law." California is a "critical state for daily fantasy operators, given its large base of users." DraftKings co-Founder & CEO Jason Robins "was in the state earlier this week, speaking on the industry's behalf." And while a bill regulating the industry "was introduced by another state assemblyman in September, no legislative action can be taken until January, when the state assembly is next in session." Until then, momentum "seems to be building toward some kind of decision" from California AG Kamala Harris, "whose office would not comment this week on any potential investigation into daily fantasy" (ORANGE COUNTY REGISTER, 11/13).

STANDING PAT: In Minneapolis, J. Patrick Coolican reports Minnesota gambling regulators "are not considering changes to fantasy sports betting rules even as sports sites FanDuel and DraftKings face increasing scrutiny across the country." Minnesota Department of Public Safety Communications Dir Bruce Gordon in a statement said, "There is currently no prohibition in Minnesota regarding fantasy sports. Minnesota currently follows federal law, which permits fantasy sports." Minnesota AG Lori Swanson’s office said that state gambling regulation "is not under her office’s control." State Rep. Joe Atkins "thinks it is a game of skill." Atkins said that he is "drafting legislation that would formally legalize and regulate the business, and he will meet later in November with the Department of Public Safety, the State Lottery and the Racing Commission to discuss the plan" (Minneapolis STAR TRIBUNE, 11/13).

STATE LOTTERY WANTS A PIECE: In Providence, Patrick Anderson in a front-page piece notes Rhode Island is the latest state "scrutinizing whether daily fantasy sports sites" are legal. Rhode Island Exec Assistant to the AG Emily Martineau in an email "declined to elaborate on what aspects of daily fantasy sports are under review." Rhode Island State Lottery Dir Gerald Aubin said that if DFS sites are deemed legal, he "could see the lottery play a role in regulating them." However, if they are found to be illegal, he said that the lottery "would be very interested in getting involved itself." FanDuel is "set to advertise" at the Dunkin' Donuts Center and Ryan Center during the respective upcoming Providence College and Univ. of Rhode Island basketball seasons (PROVIDENCE JOURNAL, 11/13).

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