Texas AG latest to declare that daily fantasy sports is illegal gambling

Texas state Attorney General Ken Paxton (pictured) has added his name to the list of AG’s that have declared daily fantasy sports to be illegal gambling.

In December, Paxton announced that state legislators had asked him to weigh in on the legality of DFS. On Tuesday, Paxton released his opinion, in which he concluded: “It is prohibited gambling in Texas if you bet on the performance of a participant in a sporting event and the house takes a cut.”

Texas law contains wording that undercuts most pro-DFS arguments, in that it bans betting on an event determined either “solely or partially by chance” and a skill-game exception applies only to the “actual contestants in a bona fide contest for the determination of skill.”

Paxton’s opinion cites a number of instances in which chance can override the alleged skill of a DFS contestant, such as a baseball player’s decision to charge the mound and being ejected from the game. Paxton says the DFS proponents’ argument “that skill so predominates that chance is minimal is nonetheless an admission that chance is an element and partial chance is involved.”