DraftKings Class Action: Deposit Bonuses Under Scrutiny
DraftKings is currently facing a class action lawsuit in a New York district court over allegations of unfair and deceptive marketing practices related to its deposit bonus promotions. The lawsuit, filed by Nerye Aminov, accuses DraftKings of violating New York General Business Law and engaging in intentional misrepresentation, fraudulent inducement, and unjust enrichment through its marketing tactics for first-time deposit bonuses.
The suit claims that DraftKings promoted its “Get a $1,000 Deposit Bonus” offer in a misleading way, leading customers to believe they would receive the full bonus immediately after making an initial deposit. However, according to the lawsuit, the bonus was actually paid out in small increments over time, which was not clearly communicated to users like Aminov.
Aminov alleges that despite meeting the bonus requirements set by DraftKings, he did not receive the full promised amount of the bonus. He claims that the promotion’s terms, which required a $5,000 deposit and a wagering of at least $25,000 to be eligible for the $1,000 bonus, were not properly disclosed to new users.
The lawsuit seeks to stop DraftKings’ alleged unfair marketing practices and provide restitution to customers who have suffered losses as a result. Aminov is specifically requesting the return of his initial deposit or the full $1,000 bonus, along with statutory damages.
This legal action adds to DraftKings’ recent legal troubles, including a similar class action suit in Massachusetts over its advertising of the $1,000 deposit bonus. While DraftKings faced a setback when a judge denied its motion to dismiss the Massachusetts case, it also received positive news when a separate class action suit was dropped by the plaintiff.
Overall, the lawsuit filed by Aminov highlights the importance of transparent and truthful marketing practices in the competitive world of online sports betting and gaming. Customers deserve clear and honest information when it comes to promotions and bonuses, and companies like DraftKings should ensure that their marketing efforts align with legal and ethical standards to maintain trust and integrity among their user base.