00:00 Let's get to the words that nobody wants to hear, but it requires a lot of research and
00:08 figuring out those famous words.
00:10 Class action lawsuit.
00:11 Okay, here we go again.
00:12 We got another one of these with sports betting.
00:15 DraftKings now involved in this in Massachusetts.
00:18 I always love seeing these, Pat, because I don't know if they're legit or not.
00:22 Is there anything to this one?
00:24 This one is particularly interesting because it's kind of diving into a topic that we've
00:30 talked about a lot, and so are legislators and regulators.
00:34 This comes from two Massachusetts bettors who felt like they were misled by the advertising
00:42 around DraftKings $1,000 free bonus bet.
00:49 It broke it down that over the time of the deal, which I think is about three months,
00:56 you'd have to bet $276 a day to get the full amount of that $1,000 free bet.
01:03 They also didn't like that you can't withdraw it, and you have to use the $1,000 to bet.
01:09 They felt that they were misled, and so they went to this think tank and law organization
01:18 within a school up there in Boston.
01:21 It's led by one of the guys who led a massive lawsuit against Big Tobacco and its health
01:28 risks in the 1980s.
01:30 There's some serious weight to this lawsuit of, "Hey, this is a problem, won this misleading
01:38 advertising, alleged misleading advertising."
01:44 The lawyer, I can't recall his name, I should have a little note here that says his name,
01:48 but he kind of has taken the same tact of the tobacco lawsuit and saying, "This is a
01:55 serious health risk to Americans that there is a problem gaming epidemic risk with legalized
02:05 gambling unless there's a certain carefulness to go with how it's advertised and how it's
02:15 presented to people."
02:17 This is going to be an interesting lawsuit to follow and see what happens and how states
02:25 react to it.
02:27 We've already seen multiple states and regulators say you can't use the term risk-free because
02:34 it's not really risk-free.
02:35 You're still betting and how it turns out.
02:41 If more states do that, we already know that the American Gaming Association in their advertising
02:46 code of conduct said you can't use that across the board.
02:50 We've seen operators change their tone on that and no sweat bet and the like.
02:59 The terms of these free bets, they're pretty expansive and you have to read a lot of fine
03:05 print to understand that you have to play through a bunch of money before you get it.
03:09 I think that's the basis of this lawsuit that the operators need to be more straightforward.
03:16 We've even seen some states at least talk about and then others implement you can't
03:24 advertise the promos.
03:25 In Canada, we've seen a lot of operators fined for advertising these promos directly to consumers
03:32 without them opting in.
03:33 That's the clause up in Ontario.
03:36 Customers have to opt in before they get fed offers.
03:39 Again, super interesting lawsuit to follow and to see what happens ultimately if this
03:45 is going to have bigger reverberations.
03:49 We know there's some talk of national legislators talking.
03:54 Maybe there needs to be some full framework behind this and we're seeing that up in Canada.
04:00 I wouldn't be surprised if it's in the US before too long of reining it in and figuring
04:05 out some real standards to this.
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