MLBPA settles lawsuit with FanDuel over alleged improper use of name, image and likeness

A commercial affiliate of the Major League Baseball Players Association (MLBPA) settled a lawsuit with FanDuel on Friday over the alleged unauthorized use of the names and images of MLB players on its sports betting platform. 

The settlement obtained by The Associated Press said MLB Players and FanDuel agreed to a voluntary dismissal of the lawsuit with prejudice, meaning the suit cannot be filed again. The association and sportsbook “shall each bear their own attorneys’ fees and costs incurred in connection with this matter,” according to court documents.

FanDuel was removed from the New York lawsuit, which also included Underdog Sports. The news agency stated that it was not immediately clear whether Underdog Sports had also settled. A separate suit filed September 16th against DraftKings and Bet365 is pending in federal court in Philadelphia. 

The lawsuit was filed by the MLB players union in September against the sports betting platforms, alleging the unauthorized use of player names and likenesses in violation of publicity rights laws.

The lawsuits, filed in federal and state courts, claimed the companies used images of nearly every active MLB player on their websites and mobile apps without permission. The players sought compensatory and punitive damages, as well as disgorgement of profits generated from the use of their names and likenesses.

"For professional athletes, the ability to control the commercial use of their names, images, and likenesses is a crucial return on their substantial career investment," the players said in the complaints. They argued that maintaining such control is essential to prevent unwanted endorsements of companies or products they do not support.

MLB Players also sued the Pittsburgh Pirates’ parent company and the convenience store chain Sheetz in August alleging unlicensed use of players’ names and images on social media. The Pirates said the following day that a verbal agreement had been reached to settle the suit, but no public documents have been filed reflecting a settlement.