ALBANY, N.Y. (NEWS10)- A law giving interactive fantasy sports sites the right to operate in the state was declared unconstitutional by a New York Supreme Court Judge Thursday.
While raising legitimate legal questions and important social concerns, they do little more than establish that the Legislature, in finding that IFS contests are not gambling, reached different conclusions, which is a woefully inadequate foundation to meet their burden of establishing beyond a reasonable doubt that Racing, Pari-Mutuel Wagering and Breeding Law article 14 is facially unconstitutional.STATE OF NEW YORK
SUPREME COURT, APPELLATE DIVISION
Signed by Governor Andrew Cuomo in August 2016, the law required fantasy sports sites to pay an annual fee of $50,000 along with a 15% revenue tax operating under the Gaming Commission, according to a press release.
The law was created after New York’s Attorney General sued FanDuel and Draft Kings for running an illegal gambling operation. The law redefined the sites by calling them ‘games of skill.’