Delaware's attorney general has sent cease-and-desist letters to online fantasy sports betting operators, telling them that Delaware law does not allow them to charge players to play, or players to win monetary prizes.
The Department of Justice formally notified DraftKings Inc., FanDuel Inc., and Yahoo! Inc. on Thursday that their respective fantasy sports activities are not allowed in Delaware without passage of authorizing legislation.
DOJ had initially notified state regulators in March that such games were not permitted under Delaware law, and that state agencies shared the information with certain companies.
Authorities said they initially refrained from taking formal action because of pending legislation, but that formal notices were sent after the legislature adjourned last week without considering a bill that would allow online fantasy sports betting.
NBC's parent company, Comcast Corp., and NBC Sports are among the investors in FanDuel.