Massachusetts Rules DraftKings Won’t Have to Pay For Error

• DraftKings gets off the hook for more than $575,000 in winning bets to Massachusetts players who took advantage of an error.
• The Massachusetts Gaming Commission voted 3-2 in favor of DraftKings providing a cash or bonus bet compensation for customers who wagered on the incorrect odds.
• DraftKings no longer uses the vendor who incorrectly posted odds for their NBA markets.

BOSTON – After meeting for more than three hours, the Massachusetts Gaming Commission decided not to deny or accept DraftKings void request on the 187 bets placed for over $575,436.82. Instead, they voted 3-2 in favor of a compromise that requires DraftKings to pay just $12,547.

DraftKings has attended legal sports betting commissions across the country since they incorrectly offered full market projections with first market props. Sportcast, DraftKings Same Game Parlay Vendor, posted the error on Oct. 24, 2023 for a game between the Los Angeles Lakers and Denver Nuggets.

For example, LeBron James’ points projection at NBA betting was 23.5 points in that game. DraftKings offered James’ points prop at 8.5 points, leading 138 customers to bet on him and other players’ incorrect props.

The bets totaled a handle of $4,182.36 for a total liability of $575,436.82 in Massachusetts. The critical error caused DraftKings to file void requests with 20 different states.

Sportcast’s Incompetence Causes Nationwide Void Requests

DraftKings successfully convinced 17 states to void all bets on the incorrect odds. However, Connecticut, New Jersey, and Massachusetts elected not to accept their void request.

While New Jersey and Connecticut made DraftKings pay out nearly $500,000 combined to players who bet on the incorrect odds, Massachusetts voted on a compromise that would benefit both DraftKings and the advantageous bettors.

Instead of paying out the entire $575,000 stake, DraftKings must pay out promotional funds to all 138 customers who wagered on the incorrect odds. Players who bet a cash stake or bonus bet on the obvious error will receive three times their bet amount from DraftKings.

Although two commission members wanted to make DraftKings pay for their mistake, the majority of members from Thursday’s Massachusetts Gaming Commission meeting voted in favor of the compromise.

DraftKings Senior Director of Regulatory Operations stated that Sportcast is no longer their Same Game Parlay vendor for NBA markets. The change happened over the last month but Sportcast remains their vendor for other sports, just not the NBA.

News tags: basketball | DraftKings | LeBron James | Massachusetts | Massachusetts Gaming Commission | NBA | Sportcast