Dew-Becker v. Wu

Summary

The Illinois Supreme Court held that a head-to-head daily fantasy sports contest conducted through FanDuel was not gambling under Illinois law because its outcome was predominantly determined by skill. As a result, the plaintiff could not recover his $100 loss under section 28-8(a) of the Criminal Code of 2012. The court affirmed the appellate court's judgment, while Justice Karmeier dissented.

Holdings

1. Section 28-8(a) does not require a direct connection between the loser and winner that excludes third-party assistance or intermediation. The statute requires only that one person lose by gambling to another person.
2. Section 28-8(a) is not per se inapplicable to Internet-based DFS contests merely because participants may use screen names or because identifying the winner may require discovery.
3. Illinois adopts the predominant-factor test to determine whether a contest is predominantly a game of skill and therefore falls within the section 28-1(b)(2) exception to gambling.
4. The head-to-head NBA DFS contest at issue was predominantly determined by skill and therefore was not gambling under sections 28-1(a)(1) and 28-1(b)(2). Because Dew-Becker did not lose money while gambling, he could not recover under section 28-8(a).

Questions Presented

1. Whether section 28-8(a) permits a gambling loser to recover from the winner when a third-party Internet intermediary facilitated the contest.
2. Whether the use of screen names or the Internet makes section 28-8(a) per se inapplicable to daily fantasy sports contests.
3. Whether a head-to-head daily fantasy sports contest is a bona fide contest predominantly determined by skill and therefore exempt from the statutory definition of gambling under section 28-1(b)(2).

Disposition

affirmed