FanDuel Co-Founder and former CEO Nigel Eccles has confirmed the New York Supreme Court denied the operator’s motion to dismiss a lawsuit filed by Eccles and additional former shareholders who claim they were “unfairly deprived of their ownership" in 2018.
Eccles explained how the lawsuit eventually came to be filed as part of a social media post on July 15, having said: “Quick recap: In 2018, FanDuel merged with Flutter’s US business. FanDuel shareholders received 40% of the newly merged business, FanDuel Group Inc.
“The FanDuel board (consisting of Matthew King, Ted Oberwager, Mike LaSalle, Andrew Cleland, David Nathanson and Carl Vogel) then fraudulently used an artificially low valuation of just $559m (the exact number of the preference stack) to wipe out the common shareholders, so that they alone got all of the upside.
“Then two years later, the same investors sold that 40% stake for $4.2bn, pocketing it all for themselves.”
Eccles stated he and other plaintiffs have been in litigation with FanDuel and its former Board since before the operator’s merger with Flutter Entertainment closed in 2018 over a breach of fiduciary duty.
In 2024, plaintiffs filed an expanded complaint which showcased details of FanDuel’s “various breaches,” including fraud, conspiracy and bribery according to the operator’s former CEO.
FanDuel attempted to have the case dismissed but saw its motion denied by the New York Supreme Court, described as an “interim but important step” by Eccles who now serves as Co-Founder and CEO of BetHog.
In additional FanDuel controversy, Philadelphia Phillies first baseman Bryce Harper released a statement to address a personalized video sent to FanDuel customer Terry Thompson, who filed a lawsuit against the operator in March for allegedly taking advantage of his gambling addiction.
On the website Cameo, Harper filmed a 21-second video for Thompson in November 2024, where the Major League Baseball (MLB) All-Star addresses Thompson – and his son – by name, while the clip is also marked with a FanDuel logo.
In a social media post, Harper shared that he “did not know” the video would be used for commercial purposes, which went “beyond anything I knew about or approved.”
FanDuel launched a new campaign for the 2026 FIFA World Cup in June, starring former US men’s national team player Landon Donovan and later unveiled across the tournament’s host cities
