DraftKings Faces Lawsuit Over Unauthorized Facebook Data-Sharing Practices
A former DraftKings customer has filed a class action lawsuit against the sports betting company, alleging unauthorized sharing of customers' video-viewing habits and personal information with Facebook.
DraftKings logo on dark background
Filed in the US District Court for the Southern District of New York, the lawsuit claims DraftKings used Facebook's tracking tools (Facebook Pixel and Conversions API) to share customers' personally identifiable information (PII) and viewing data without consent, potentially violating the Video Privacy Protection Act (VPPA).
The plaintiff, Jeffrey Wan, argues that DraftKings deliberately shared specific customer data sets with Facebook, including:
- Video viewing history
- Game betting interests
- Purchase records
- Website and app activity
While DraftKings' privacy policy acknowledges third-party data sharing, Wan's legal team contends that:
- Facebook's tracking tools weren't essential to DraftKings' operations
- Alternative methods could have protected customer privacy
- Customers never consented to their viewing history being shared
- Information was transmitted without user knowledge
This lawsuit adds to DraftKings' growing legal challenges, including:
- A Massachusetts lawsuit over alleged parental leave discrimination
- A New Jersey case regarding problem gambling liability
- Professional athlete unions' litigation over player image rights
- A $200,000 SEC penalty for CEO Jason Robins' social media disclosures
The case highlights growing concerns over data privacy in online sports betting and emphasizes the need for transparent data-sharing practices in the gaming industry.
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