DraftKings Opposes Philadelphia Ordinance
DraftKings has initiated legal action against Philadelphia, challenging a consumer protection ordinance that it argues conflicts with Pennsylvania state laws. The company requested the court to invalidate the Philadelphia Consumer Protection Ordinance (PCPO) and restrict the city’s investigation into its operations.
Allegations of Legal Overreach
Filed in the U.S. District Court for the Eastern District of Pennsylvania, the lawsuit arose from an investigation that began with a subpoena issued on April 24, 2026. DraftKings contends the ordinance conflicts with state laws, specifically the Unfair Trade Practices and Consumer Protection Law (UTPCPL), which governs consumer protection statewide.
State vs. Municipal Authority
DraftKings argues that enforcement authority lies with the state attorney general and district attorneys under UTPCPL, not with local governments. The suit claims Philadelphia’s ordinance improperly sets up a parallel enforcement system with differing penalties, violating the First Class City Home Rule Act by conflicting with state legislation.
Regulatory Jurisdiction Contested
The company asserts that the Pennsylvania Gaming Control Board (PGCB) holds exclusive regulatory authority over gaming activities, including online sports and casino operations. DraftKings maintains that only the PGCB can oversee areas like advertising, promotions, and responsible gaming. Thus, Philadelphia’s ordinance is seen as an overreach.
Impact of Philadelphia’s Enforcement Mechanism
Implemented in June 2024, Philadelphia’s ordinance targets deceptive business practices. Although it matches state consumer protection law, it allows local enforcement actions and remedies. DraftKings claims the city’s requests for data relate to activities overseen by the PGCB, exceeding local jurisdiction.
Looking Ahead
DraftKings seeks a judicial declaration that the city’s ordinance is overridden by state law and an injunction against its enforcement. This case underscores the ongoing tension between state and local oversight in the gaming industry.