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DraftKings is facing a proposed class action lawsuit alleging the online sportsbook secretly collected and shared website visitors’ personal data with third-party advertising and analytics firms without user consent.
The lawsuit was filed June 22 in the US District Court for the Central District of California by plaintiff Dana Hughes, a California resident. According to the complaint, reported on by AboutLawsuits, DraftKings embedded tracking technology from companies including NextRoll, The Trade Desk and Comscore that allegedly gathered identifying information from visitors as soon as they accessed the website.
Hughes alleges her information was transmitted to multiple third parties when she visited the DraftKings website on Dec. 28, 2025, without her knowledge or consent.
The case adds to growing legal and regulatory scrutiny surrounding online sportsbooks, particularly over consumer privacy and gambling addiction concerns.
Online sports betting faces increased scrutiny
Online sports betting has expanded rapidly in the United States since the Supreme Court’s 2018 decision in Murphy v. NCAA allowed states to legalize sports wagering.
Since then, operators including DraftKings, FanDuel, BetMGM and Caesars have built large audiences through heavy advertising, promotional bonuses and mobile betting platforms designed for constant access.
At the same time, sportsbooks have faced mounting lawsuits alleging they used behavioral analytics and personalized marketing tactics to target users vulnerable to gambling addiction. Plaintiffs claim operators encouraged excessive wagering through tailored promotions and app features designed to maximize betting activity.
The lawsuits have intensified debate over the responsibility sportsbooks owe consumers as online betting becomes increasingly accessible through mobile devices and live in-game wagering.
Plaintiffs allege sophisticated user tracking practices
The Hughes lawsuit centers on browser fingerprinting, a tracking method that collects technical details about a user’s device, including browser type, operating system, screen resolution and location-related data to create a unique identifier.
According to the complaint, the identifier can then be matched with broader consumer databases, allowing advertisers and data brokers to track users across websites and deliver targeted ads.
The lawsuit alleges DraftKings covertly installed software designed to monitor website visitors and transmit identifying information to third parties. Hughes claims she never authorized the collection or sharing of her data.
The complaint further alleges DraftKings profited by allowing advertisers and brokers to build consumer profiles based on users’ online activity.
Plaintiffs seek damages and injunctive relief
The proposed class action seeks to represent California residents whose information was allegedly collected or shared through the DraftKings website.
The lawsuit alleges violations of California’s Trap and Trace Law and the California Invasion of Privacy Act, or CIPA. It also includes a claim for intrusion upon seclusion, alleging the tracking practices constituted an unlawful invasion of privacy.
Plaintiffs are seeking statutory damages of $5,000 per violation, punitive damages, restitution, disgorgement of profits and a court order prohibiting DraftKings from continuing the alleged practices.
The lawsuit also highlights growing legal uncertainty surrounding online tracking technologies as courts weigh how older privacy laws apply to modern digital advertising tools.
Privacy case adds to growing pressure on sportsbooks
According to Bloomberg Law, the privacy lawsuit adds to a growing list of legal and regulatory challenges involving DraftKings and other sportsbook operators.
In April 2025, Baltimore sued DraftKings and FanDuel, alleging their marketing practices toward problem gamblers created public health concerns. In March 2026, the Public Health Advocacy Institute filed another lawsuit against DraftKings, FanDuel, Genius Sports and the NFL, alleging the companies used artificial intelligence and machine learning tools to increase gambling addiction through live microbetting features.
DraftKings has also faced regulatory penalties. Massachusetts gaming regulators fined the company $450,000 in 2025 over allegations involving prohibited credit-card-funded betting activity. Connecticut regulators separately ordered refunds tied to disputed promotional offers made to customers between 2021 and 2023.
No ruling has been issued in the Hughes lawsuit, and DraftKings had not publicly responded to the complaint as of early July.
