FanDuel Addiction Lawsuit Alleges Targeted Advertising Caused Substantial Gambling Losses

Man says he wagered nearly $1 million after being targeted by promotions tailored to him by aggressive algorithms designed to exploit addictive habits.

A Pennsylvania man has filed a lawsuit against FanDuel, claiming that the sportsbook was designed to intentionally exploit and target his gambling addictions, with targeted advertisements and promotions, which caused him to suffer substantial losses he could not afford.

The complaint (PDF) was brought by Maurice Faulk in the Court of Common Pleas of Allegheny County in Pennsylvania on August 12, naming Flutter Entertainment PLC, FanDuel Group Parent LLC, Betfair Interactive US LLC, FanDuel PA LLC and FanDuel Inc. as the defendants.

Faulk accuses the defendants of designing a sports betting app that tracks users’ every interaction and uses that data to foster addiction and mental health problems. He alleges the platform financially drains users instead of warning them when their gambling habits may be dangerous.

Sports Betting Addiction Problems Fueled by FanDuel

Sports betting apps like FanDuel, DraftKings, BetMGM and others have exploded in popularity over the past decade, following a U.S. Supreme Court ruling in 2018, which granted each state the ability to decide for itself whether online sports betting should be allowed within its borders.

The widespread legalization of the platforms has resulted in substantial increases in problem gambling, especially among young adults and college-age men. For many of these new gambling addicts, it is their first time away from home, and they are just beginning to learn how to manage their finances.

However, there is now increasing evidence that many of these addictions were fueled by aggressive sportsbook promotions and targeted advertisement, with growing evidence that young are men particularly vulnerable to online sportsbook tactics. Rather than identifying problem gambling patterns, FanDuel and other sportsbooks have been accused of designing their systems to increase sports betting losses before parents, schools or others recognize that a gambling problem has developed.

As a result of these tactics, a number of FanDuel addiction lawsuits and  DraftKings addiction lawsuits are now being pursued in courts nationwide, each raising similar claims that sportsbooks should be held accountable for placing their desire for profits before the health and safety of consumers.

FanDuel Addiction Allegations

According to the FanDuel Addiction lawsuit filed by Faulk, he began making wagers through the platform’s mobile app in 2021. Over the last five years, Faulk states he placed nearly $1 million in wagers, with net losses of about $75,000.

Faulk claims he has been bombarded with aggressive advertising targeted directly at him, with emails and notifications repeatedly attempting to entice him into placing riskier and more expensive wagers. Faulk estimates he spends an average of eight to 10 hours per day on FanDuel’s apps.

The lawsuit states Faulk has maxed out his credit cards, taken out multiple loans, fallen behind on vehicle payments and now faces “constant harassment” from debt collectors. It also argues the platform has caused severe financial and relationship problems for his wife and children.

“As the company behind these sophisticated apps, FanDuel knowingly refuses to implement any reasonable safeguards and, in fact, intentionally designs their sports gambling platforms to addict. Consequently, their customers face massive monetary losses, bankruptcy, career loss, physical harm, and mental anguish, such as depression and even suicide when they fall into gambling addiction.”

– Maurice Faulk v. Flutter Interactive PLC et al.

Faulk indicates that he now suffers from gambling addiction, depression, anxiety, chronic worry, feelings of hopelessness and post-traumatic stress disorder, as well as struggles with suicidal ideation. He presents claims of defective design, failure to warn, negligent design, negligent failure to warn, negligence, intentional misrepresentation, unjust enrichment, and violations of Pennsylvania Unfair Trade Practices and Consumer Protection Law.

Sportsbook Gambling Addiction Lawsuits

Faulk is one of many individuals nationwide who have filed lawsuits in recent years seeking compensation through a sportsbook lawsuit. These cases typically allege FanDuel, DraftKings and other online sportsbooks employ sophisticated algorithms, user data and behavioral tools to track individuals’ betting patterns and deliver promotions geared toward convincing them to make riskier and more expensive wagers.

Sports betting addiction attorneys are reviewing claims nationwide for individuals who believe they suffered significant financial losses or psychological harm after developing compulsive gambling behaviors allegedly fueled by the marketing practices and promotional incentives used by online sportsbooks, including:

Individuals may request a free, confidential case evaluation to determine whether they qualify to pursue a sports betting addiction lawsuit. These cases are handled on a contingency fee basis, meaning there are no upfront attorney fees or litigation costs, and compensation is owed only if a recovery is obtained.

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