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The Major League Baseball players union launched a lawsuit against betting companies DraftKings and FanDuel. Monday's lawsuit by the MLB players' union was filed three weeks after the National Football League players' union sued DraftKings for refusing to pay for using NFL player likenesses on non-fungible tokens (NFTs).
The lawsuit took place after players argued that DraftKings and FanDuel were using their names, images, and likenesses without regard for publicity.
“For professional athletes, the ability to control the commercial use of their names, images, and likenesses is a crucial return on their substantial career investment,” the players said, according to Reuters.com.
The lawsuit stems from players being in betting advertisements without their permission in the state of Pennsylvania. Players like Bryce Harper could have a bet for users to use, however, they won't see Harper's actual image. This same instance occurs in other sports as well, in addition to other players.
They said in a statement that “keeping such control also helps players avoid being perceived as supportive of companies and products they dislike.”
Why did the MLB players' union go after DraftKings and FanDuel?
DraftKings and FanDuel mentioned that the only reason they treat baseball players differently is to increase “consumer appeal.” They also wanted to draw more bets, given that the “core information” that bettors need is statistical data, not what players look like.
On the contrary, the MLB Players Association argued that DraftKings and FanDuel do not give the same treatment to athletes in the NFL. In early August, that's what the NFLPA was fighting for. The association argued that DraftKings planned to end a contract it signed in 2021 for the use of the names, images, and likenesses of NFL players for the defunct NFT marketplace.
The main issue was that DraftKings still had to pay the rest of the athletes endorsed within the NFT space. They wanted $65 million from the betting company. Their legal firm was Pryor Cashman LLP, which represents both the MLB and NFL players' associations. A few weeks later, the MLB had a similar issue with the company.
DraftKings and FanDuel didn't respond to requests for comment. The players' lawyers didn't respond to additional comments.
The cases are MLB Players Inc v DraftKings Inc. et al, U.S. District Court, Eastern District of Pennsylvania, No. 24-04884; and MLB Players Inc v. Underdog Sports Inc. et al, New York State Supreme Court, New York County.
