DraftKings, FanDuel face $2.6m bill to settle consumer issues in Massachusetts

DraftKings and FanDuel have each agreed to pay more than $1m (€830,000) to resolve allegations of consumer-unfriendly practices in the US state of Massachusetts.

Coinciding with the start of the new NFL American football season, both daily fantasy sports (DFS) operators are to pay $1.3m in a deal announced by Massachusetts Attorney General Maura Healey.

The authorities in the state last year proposed a raft of consumer protection regulations, including restrictions on advertising that reflected the average DFS player’s slim chances of winning anything.

The amount is considerably less than the $6m which DraftKings and FanDuel were each forced to pay in New York last year.

Healey said the deal with the operators was made “to address various consumer issues that existed at the early stages of this new industry.”

Massachusetts, Boston-headquartered DraftKings’ home state, formally introduced laws to regulate DFS in August 2016.

Related article: DraftKings, FanDuel scrap merger plan