DraftKings Seeks Total Halt Of NY AG Action Pending Appeal

Law360, New York (March 9, 2016, 7:34 PM EST) -- DraftKings and FanDuel on Wednesday urged a New York judge to halt all lower court proceedings in the New York attorney general's enforcement action claiming the companies' operations constitute illegal gambling while an interlocutory appeal plays out, saying the appeals court ruling will offer crucial guidance on how to proceed.

New York Attorney General Eric Schneiderman in December secured a preliminary injunction suspending the daily fantasy sports companies' business in the state, but the mid-level New York Supreme Court Appellate Division, First Department granted stays of that order while FanDuel Inc. and DraftKings Inc. mount an appeal.

In an afternoon proceeding...

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