Major League Baseball Players Inc. (MLBPI), a subsidiary of the players’ union, filed a suit against online sports betting platforms, raising issues relating to the players’ rights of publicity in the peer-to-peer sports betting market. How might this dispute shape right-of-publicity disputes, and how might consumer perception research be used by either party?
Parties and Platforms
DraftKings and bet365 operate online peer-to-peer sports betting and fantasy sports platforms that allow users to place wagers involving real professional athletes. Users place bets on team outcomes and individual player performance, in some cases accessing player profiles, including names, statistics, and images. DraftKings offers betting options across multiple sports leagues, including Major League Baseball (MLB), the National Football League (NFL), the National Basketball Association (NBA), the Professional Golfers’ Association (PGA), and the National Hockey League (NHL).
Peer to Peer Sports Betting
Following the U.S. Supreme Court’s 2018 decision allowing states to regulate sports wagering independently, peer-to-peer betting has grown, with 38 states and the District of Columbia now offering legalized sports betting. Consumer spending in the U.S. sports betting market is estimated to have exceeded $220 billion. Challenges are emerging from the use of player-related information and imagery, which can create disputes about whether the use constitutes protected informational content or impermissible commercial exploitation.
The MLBPI Lawsuits
MLBPI filed two lawsuits: one in Pennsylvania, naming DraftKings and bet365, and one in New York, against FanFuel and Underdog. The complaint alleges that the use of player images goes beyond providing factual information and is actually promotional content, designed to drive consumer engagement and encourage betting activity. Plaintiffs also argue that professional athletes derive substantial economic benefits from the commercial use of their names, images, and likenesses, and that unauthorized use of these assets infringes on players’ rights of publicity by appropriating that value for commercial gain.
Right of Publicity and Consumer Perception
Right of publicity laws prevent commercial entities from exploiting an individual’s identity without consent. In right of publicity disputes, courts may consider how consumers interpret the use of player images, and whether that use implies endorsement, sponsorship, or affiliation. Properly designed consumer surveys can measure whether the presence of player images influences consumer behavior on a platform or is perceived as a player’s endorsement. Findings demonstrating consumer confusion or perceived endorsement could weigh heavily against betting site operators.
Trusted Consumer Perception Expertise
Online sports betting disputes will show that courts balance the informational use of player data against the commercial protections afforded by right of publicity laws. Consumer perception evidence may play an important role in resolving these issues. IMS Legal Strategies experts design, execute, and testify in right of publicity disputes. If you require consumer perception research arising from a right of publicity dispute, contact IMS Legal Strategies.
