DraftKings calls Jacobs’s claims ‘nonsensical’, ‘utterly false’

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In its motion to dismiss the lawsuit brought against them by Steven Jacobs, DraftKings unilaterally dismissed the New York man’s claims that the sportsbook helped noted bettor Gadoon “Spanky” Kyrollos and his associate threaten and attempt to extort him.

DraftKings denies all of Jacobs’s allegations

“Plaintiff John Doe’s Complaint tells a nonsensical, fabricated story wherein Defendant DraftKings Inc. allegedly collaborated with violent criminals to enable an assault against him. This story is utterly false,” the complaint read.

Jacobs filed the lawsuit last month, alleging that DraftKings gave his personal and financial information to help Kyrollos and his associate Oscar Jones attempt to extort Jacobs for half a million dollars. He also said DraftKings helped someone hack his account and change the primary email address associated with it, locking Jacobs out.

DraftKings denied all components of Jacobs’s accusations and balked at the suggestion that the company would purposefully assist in assailing one of its customers.

“No facts in the Complaint suggest that DraftKings acted out of a malevolent desire to hurt Plaintiff, nor is there any plausible reason why DraftKings would do so.”

In the motion to dismiss, which was filed on June 28, DraftKings denied all of the allegations but also argued that, even if it were true, the company cannot be held liable for the behavior of an employee outside of the scope of his employment.

Jacobs continued to play on DK after attack

The motion also brought up Jacobs’s claims that his life was forever changed and that he lived in fear after a masked man assaulted him outside of his apartment and demanded money.

“Despite the alleged assault, DraftKings’ supposed involvement with it, and Plaintiff’s allegation that his ‘life has not been the same’ including that he ‘is terrified whenever there is a knock on the door or a phone ringing,’ Plaintiff continued to use the DraftKings platform regularly and access benefits available to him as a VIP.”

DraftKings also pointed out the related court case in New York courts, where Jones is suing Jacobs, would have easily provided Jones with information regarding where Jacobs lived, as his address is all over court documents.

DraftKings and Jacobs also battling over discovery

While the judge contemplates the motion to dismiss, the two parties are at odds over discovery. DraftKings is pushing the court to stay discovery until the motion to dismiss is ruled on. In the motion, DraftKings included Kyrollos’s Twitter posts about the incident, where he admits he lied about being able to access DraftKings info as a “bluff”.

Meanwhile, Jacobs wrote the court expressing frustration that DraftKings has yet to provide a single document requested.

“DraftKings’ behavior does not match its bluster. Its motion to dismiss refers to Plaintiff’s allegations as ‘implausible,’ but DraftKings refuses to adhere to its discovery obligations and produce any documents that, in theory, would easily refute the supposedly ‘implausible’ allegations,” Jacobs wrote in a letter to the judge.