DraftKings and FanDuel Seek Dismissal of Pennsylvania Gambling Lawsuit

Two Pennsylvania bettors, Christopher Sage and Terry Thompson, have sued DraftKings, FanDuel, the NFL and data provider Genius Sports, alleging that the companies' mobile apps encouraged gambling addiction through micro‑betting features. Thompson placed roughly $23 million in bets and lost about $1.9 million, while Sage lost more than $170,000.

DraftKings and FanDuel have filed motions to dismiss the case, arguing that Pennsylvania’s product‑liability law does not apply to free mobile applications, that the two‑year statute of limitations has expired, and that the state gaming regulator, not the courts, should have jurisdiction. Both firms also seek to move the dispute to arbitration. The NFL and Genius Sports have submitted similar motions, contending their involvement is limited to data licensing and thus not causally linked to the plaintiffs’ losses.