DraftKings, FanDuel Agree to Cease Operations in Alabama

MONTGOMERY, Ala. (AP) – Alabama’s attorney general says online fantasy sports betting sites have each entered into a settlement to cease operations in the state in a few days.

Attorney General Luther Strange said in a statement Friday that DraftKings and FanDuel will cease operations effective May 2. Strange said his office issued the cease and desist letters to both in early April.

Strange says DraftKings and FanDuel agreed to block access from Alabama IP addresses to their contest websites. He also says both companies must process user requests from the state-based IP addresses to withdraw their account balances within seven business days of receiving such request.

Strange says Alabama and 11 other states have declared paid daily fantasy sports contest illegal.

On Friday, DraftKings sent a letter to account holders in Alabama that said, “We understand that this news is disappointing and we know that you share our passion for fantasy sports in Alabama. As you may know, DraftKings is working with state lawmakers across the country to enact fantasy sports legislation, and we are hopeful to engage with the Alabama legislature in the future, as we believe this to be the best path forward for state residents to play the fantasy games they love.”

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