Overview

• On July 3, Attorney General Rob Bonta released a 33-page legal opinion classifying all online daily fantasy sports platforms as illegal sports wagering under California law.
• A Sacramento Superior Court judge denied Underdog Fantasy’s request to block the opinion’s release and ruled that such opinions do not change state law or carry legal force.
• Underdog Fantasy estimates that California accounts for about 10 percent of its annual revenue and warns that operators could face severe financial harm if the market is lost.
• Tribal gaming associations and lawmakers who sought the opinion say they will introduce bills to clarify or tighten regulation of fantasy contests under existing gambling statutes.
• The ruling reignites a decade-long debate over whether daily fantasy contests rely on skill or chance and sets the stage for protracted legal and legislative battles.