MLB Players Union Hits Online Gambling Sites with Lawsuit

In September 2024, Major League Baseball Players, Inc. (MLBPI) — the licensing arm of the MLB Players Union — took a swing at DraftKings and bet365 by filing a lawsuit in the U.S. District Court for the Eastern District of Pennsylvania. They charged that the sports betting sites knowingly and deliberately violated hundreds of MLB players' rights to publicity by using their names, images, and likenesses without consent.

MLBPI claims DraftKings and bet365 featured player images alongside team logos in their sports prop bets—those are bets on things like whether a specific player might hit a home run or a strikeout. MLBPI argued that bettors don’t need player pics to make informed bets. They’re accusing the sites of riding the players’ star power to boost their platforms, all without the proper permissions. In other words: cashing in on some serious name-brand baseball pros.

Now, back in the day (pre-2018), online sportsbooks were sitting pretty thanks to some friendly case law. Courts allowed platforms like DraftKings and bet365 to display player info, stats, and even nicknames under the “newsworthy” umbrella. It was all about keeping bettors informed, and the scales tipped in favor of sportsbooks over athletes’ rights to publicity. In theory, that precedent might still give DraftKings and bet365 a solid defense here.

But then came 2018, and with it, the Supreme Court’s game-changing decision in Murphy v. NCAA. That ruling struck down the federal ban on sports gambling, handing states the power to legalize and regulate it. Fast forward to states across the country rolling out laws allowing online sportsbooks, turning every bettor’s smartphone into a pocket-sized casino. With these new rules, sports gambling became as ubiquitous as peanuts and Cracker Jack at a ballgame.

The new explosion of sports betting, combined with new laws around athletes’ name, image, and likeness (NIL) rights, has dramatically shifted the landscape. College athletes, for instance, are now cashing in on their NIL like never before. This newfound empowerment is rippling up to the big leagues, and MLBPI seems determined to ride that wave, starting with this lawsuit.

By taking legal action, MLBPI aims to flip the script on old precedents and solidify players’ rights to control and profit from their publicity. If successful, this case could set a new standard, not just for baseball but across the entire professional sports world. It’s about protecting athletes and giving them the chance to capitalize on their own brands.

So, what’s the big takeaway? If MLBPI wins, it could trigger a domino effect. Other sports unions might step up to bat, seeking similar protections for their athletes. We’re talking about a potential new ball game in how athletes’ rights are handled in the sports gambling era.

For now, we’ll keep our eyes on the ball. Stay tuned for updates—this legal match-up is just getting started.  We think it’s a safe bet that there will be a lot more news on this topic.