FanDuel and DraftKings face lawsuits over addictive gambling app designs

Attorney Jennifer Hoekstra has filed 15 lawsuits against major sports gambling platforms FanDuel and DraftKings, alleging the apps are designed to be addictive. The legal action follows a similar pattern to recent litigation against Meta regarding platform addiction.

According to the American Gaming Association, the amount wagered on online sports gambling reached $167 billion last year. Concerns regarding the financial impact are growing; a UCLA study indicated that states with legalized online sports gambling saw a roughly 25% increase in bankruptcies and credit card delinquencies. Additionally, the National Council on Problem Gambling reported that approximately 8% of American adults—nearly 20 million people—experienced indicators of problematic gambling behavior in the past year.

Gaming companies are contesting the allegations. FanDuel stated that it takes aggressive actions to monitor and curb problematic behavior, noting it invested $158 million in responsible gaming and removed 5,700 users from its platform last year due to gambling behavior.