Local government, the last line of defense against the scourge of sports gambling
Earlier this month, the City of Baltimore announced a lawsuit against the two largest sportsbooks in the U.S. — Flutter, the parent company of FanDuel, and DraftKings. The suit charges the companies with exploiting vulnerable Baltimore residents, plying them with deceptive bonus offers and cultivating problem gambling, all in the pursuit of profit.
This complaint likely represents the first suit ever brought by a city government against a gambling company for its exploitation of its residents. As lawmakers and public health advocates consider how to make sports betting safer, this lawsuit from a major city may have cracked the code on a new way to hold sports betting companies accountable.
Baltimore’s allegations against FanDuel and DraftKings reflect mounting evidence about the predatory design of legal sports betting. Studies find a correlation between a state’s legalization of online sports betting and reduced financial health for residents, including reduced savings for lower-income households.
Meanwhile, constant advertising, aggressive promotional offers, and seamless app interfaces have turned professional and college sports into an on-ramp for gambling addiction, especially for young men.
“Anybody under 25, they have their eye on,” one former FanDuel employee told me regarding their old company. © The Hill
