Despite Maryland lawmakers legalizing sports betting in 2021, the state’s largest city is filing a lawsuit against the state’s two most prominent sports betting operators.
The city of Baltimore announced a lawsuit against DraftKings and FanDuel last week for “predatory” practices that city officials allege encourage problem gambling.
According to the lawsuit, this includes using promotions to entice gamblers and using “deceptive and unfair practices by targeting and exploiting vulnerable gamblers in violation of Baltimore’s Consumer Protection Ordinance.”
“These companies are engaging in shady practices, and the people of our city are literally paying the price,” Baltimore Mayor Brandon Scott said. “DraftKings and FanDuel have specifically targeted our most vulnerable residents – including those struggling with gambling disorders – and have caused significant harm as a result. This lawsuit is a critical step to hold them accountable and protect all Baltimoreans.”
Betting Continues to Grow in Maryland
The lawsuit comes as recent numbers indicate the industry continues to grow. According to numbers from the Maryland Lottery and Gaming Control Agency, retail and online sportsbooks handled $457.7 million worth of bets, netting a profit of nearly $60 million. Consequently, the state received $6.4 million in tax revenue.
Through the first eight months of the 2025 fiscal year, which began in July 2024, sports wagering contributed $61.2 million to state coffers. That’s up from $37.1 million for the same period in fiscal year 2024. The $61.2 million in state contributions through eight months of fiscal year 2025 has surpassed the full-year total of $60.3 million for fiscal year 2024.
Baltimore officials allege that DraftKings and FanDuel are taking advantage of some of the city’s most vulnerable in contributing to those numbers. That includes leveraging data analytics and offering bonus bets to potential customers.
“Their predatory practices have caused significant harm to our community, and we are taking action to hold them accountable,” Baltimore City Solicitor Ebony Thompson said.
Company Denies Claims
DraftKings hasn’t responded to the suit. FanDuel officials said that the company operates within state law.
“FanDuel does not comment on specific allegations in pending litigation,” the company told the New York Times on Friday. “We are confident the company operates in accordance with all laws, including those established and enforced by the state of Maryland’s Lottery and Gaming Control Commission.”
Some in the state feel that bettors should exercise individual responsibility, stay within their limits, and decide for themselves when it’s time to stop betting.
“You have a choice, so sooner or later, we have to decide what’s more important, individual choice or government regulation,” Maryland resident Kenny Lloyd told CBS News.
Maryland lawmakers don’t look ready to stop at sports betting. For the last few years, lawmakers debated the legalization of online casinos, but the latest effort died in the state legislature.
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