Wife Files Lawsuit Against DraftKings Over Gambling Addiction
Wife in New Jersey Accuses DraftKings of Fostering Husband's $1 Million Gambling Debts
The estranged wife of a man who lost nearly $1 million through the DraftKings Sportsbook has instituted a lawsuit against the Boston-based sportsbook, accusing it of nurturing his costly addiction.
Lisa D'Alessandro filed the suit in the United States District Court for the District of New Jersey, claiming that DraftKings intentionally cheered on her husband's gambling habit, despite knowing of his addiction to betting.
D'Alessandro, 32, alleged that her husband, identified in court papers only by his DraftKings username Mdallo1990, received incentives to gamble more significantly, particularly after starting in 2020. The lawsuit asserts that Mdallo's betting activity escalated from bets below $3,775 in a single month to as much as $125,000 a month by 2023.
D'Alessandro further claimed that DraftKings mined user data to identify lucrative prospects and targeted her husband, who had never previously gambled excessively. She alleged that Mdallo was lured into a private VIP betting group and assigned a team of VIP Hosts to further drain his finances.
The mother of two alleged that DraftKings was aware of Mdallo's gambling problem, as it communicated with him almost daily via telephone, text, or email. Despite this, D'Alessandro claimed that DraftKings deliberately neglected to offer gambling addiction support to customers exhibiting signs of such compulsion.
According to media reports, DraftKings allegedly plied Mdallo with trophies, gifts, free bets, and credits to help cover his losses, leading him to deposit money and gamble at levels significantly beyond his means. D'Alessandro's attorney, Matthew Lit, stated, "You think you're building a nest egg for yourself and your family, and it turns out it's gone."
The lawsuit also highlights that Mdallo's VIP handlers were allegedly instructed or incentivized not to offer any help to customers showing signs of gambling addiction. The suit comes against a backdrop of growing concerns about the role of major online sportsbooks in targeting problem gamblers, with a class action lawsuit from Pennsylvania residents and a city lawsuit from Baltimore City targeting similar practices by DraftKings and other operators.
The lawsuit filed by Lisa D'Alessandro claims that DraftKings, a casino-and-gambling platform, intentionally fueled her husband's gambling addiction by providing incentives for increased gambling, particularly from 2020 onwards. This allegedly led to a significant surge in Mdallo1990's gambling trends, resulting in gambling-related losses of nearly $1 million.
