FanDuel, DraftKings granted permanent stay in New York

FanDuel and DraftKings were granted a permanent stay in New York by appellate panel on Monday.

FanDuel and DraftKings were a granted a permanent stay in New York on Monday, allowing the companies to continue to do business despite New York attorney general Eric Schneiderman sending cease-and-desist letters, reports ESPN’s Darren Rovell.

Monday’s results come from a Jan. 4 hearing to determine whether the companies could operate in New York until the case goes to trial to overrule the temporary stay granted on Dec. 11.

Both sites were appealing a ruling by Schneiderman, who determined in November that daily fantasy sites such as DraftKings and FanDuel qualify as illegal gambling and ordered them to stop accepting bets from residents of the state because they were in violation of the state’s gambling laws. New York’s decision came four weeks after Nevada’s Gaming Control Board ordered such sites to stop operating in the state.

FanDuel and DraftKings both filed lawsuits in response to Schneiderman’s suit to avoid a shutdown of their websites in New York, arguing that their contests are games of skill, rather than games of chance.