The Seminole Tribe of Florida has filed a lawsuit against DraftKings, alleging that the company’s prediction market offerings in the state constitute unlicensed, illegal sports betting and violate the terms of the 2021 Gaming Compact between the Tribe and the State of Florida. The complaint, filed Thursday in Broward County, names DraftKings, its subsidiary DraftKings Predictions, and Chief Executive Officer Jason Robins as defendants.
At the center of the dispute is DraftKings’ sports event contracts and its Pick6 game, which the Tribe argues are sports wagers in substance despite being structured and marketed as federally regulated prediction markets. DraftKings launched its standalone predictions platform, operating as a CFTC-registered introducing broker and member of the National Futures Association, in a growing number of states. The Tribe contends that this federal structure does not exempt the company from Florida gambling law.
Key Allegations in the Complaint
The 72-page lawsuit asserts several claims against DraftKings:
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Unlicensed sports wagering. The Tribe argues DraftKings operates a sportsbook without a Florida license and outside the consumer protections required under the state’s regulated framework.
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Violation of the 2021 Gaming Compact. The compact grants the Seminole Tribe exclusive rights to conduct statewide online sports betting in Florida through its Hard Rock Bet platform. The Tribe claims DraftKings’ offerings infringe on that exclusivity.
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Unfair competition and deceptive trade practices. The complaint accuses the company of violating Florida’s Deceptive and Unfair Trade Practices Act, in addition to unfair competition claims.
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Diversion of regulated revenue. According to the filing, “Every wager… diverts betting from Florida’s regulated system into an underground, unregulated, and outlawed book.” The Tribe also notes that, unlike the compact system, DraftKings is not required to pay state taxes on its Florida betting revenue.
The lawsuit further alleges that Robins personally directed the launch and expansion of DraftKings’ Florida offerings, and separately claims that DraftKings secretly funded litigation over a period of five years aimed at invalidating the 2021 Gaming Compact. The Tribe is asking the court to declare DraftKings’ Florida operations illegal and to halt them.
DraftKings’ Position
DraftKings has responded to the filing, stating that it does not offer sports contracts on the Seminole Tribe’s tribal lands. The company maintains that its prediction market products are lawful because they operate under federal oversight by the Commodity Futures Trading Commission rather than under state gambling regulation.
This defense reflects a broader industry argument: platforms offering sports event contracts contend they are trading venues for derivatives regulated at the federal level, not sportsbooks subject to state licensing regimes. That interpretation remains contested, and regulators, states, and tribal entities across the country have increasingly challenged it.
