DraftKings Suit Challenges State Authority, Texas AG Says
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AUSTIN (AP) - Texas' attorney general's office has answered a lawsuit filed by DraftKings, arguing that the online daily fantasy sports site is improperly challenging its authority on the issue.
Attorney General Ken Paxton announced Monday that his office has asked for the dismissal of a suit DraftKings recently filed in Dallas County. Barring that, Paxton's office wants the case moved to Travis County, which includes Austin.
In January, Paxton issued a non-binding opinion that paid online daily fantasy sports contests violate Texas law.
The daily fantasy sports site FanDuel reached a settlement requiring it to stop accepting paid entries for cash prizes in Texas beginning Monday.
But DraftKings instead asked a Dallas County court for a declaratory judgment "clarifying its legal situation" in Texas. That prompted the response from Paxton's office.
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