MLBPA Reaches Settlement with FanDuel, Signs New Licensing Agreement

28.11.2024

The Major League Baseball Players Association (MLBPA), through its commercial partner MLB Players Inc., has reached a settlement with FanDuel, resolving a lawsuit over the unauthorized use of player likenesses.

What Does the Settlement Mean for FanDuel?

The newly signed agreement establishes a non-exclusive licensing deal for FanDuel Sportsbook’s products and marketing efforts. The deal was brokered with the assistance of OneTeam Partners, MLBPA’s commercial partner.

Under the agreement, FanDuel will be allowed to introduce new player-focused features to its online sportsbook starting in 2025. These features will be integrated across various platforms and promotional campaigns in both the U.S. and Canada.

This settlement also brings an end to the lawsuit filed by MLBPA in September 2024 in the New York Supreme Court. The association had accused FanDuel and Underdog Fantasy of illegally using the names and images of baseball players without authorization. While the case against FanDuel has been resolved, the lawsuit against Underdog Fantasy remains ongoing.

Background of the FanDuel Lawsuit

The lawsuit, initially filed in New York’s Supreme Court, was later transferred to the Manhattan District Court.

The MLBPA argued that FanDuel had used player likenesses without obtaining the proper licensing or consent. MLB Players Inc., which handles all commercial activities for MLBPA—including licensing, corporate sponsorships, media, promotions, lotteries, contests, and events—claimed that this was a clear violation of its rights.

In addition to the FanDuel lawsuit, MLBPA has also filed lawsuits against DraftKings Inc. and Bet365 Group Ltd. These cases remain active in federal court in Philadelphia.