DraftKings Users Advance Deception Suit Over ‘Risk Free’ Bets

DraftKings Inc. and three other companies will continue to face claims they deceived Illinois consumers when they promoted online sports gambling services, a federal district court said.

Collin Smothers and Corey Davis adequately alleged that DraftKings violated the Illinois Consumer Fraud and Deceptive Business Practices Act by promoting “Risk Free” bets in advertisements, Judge Robert W. Gettleman of the US District Court for the Northern District of Illinois said. HisTuesday order partially denied DraftKings’ motion to dismiss the proposed class action.

Smothers and Davis sufficiently alleged the company’s advertisements are misleading for promoting bets as carrying no risk when in ...