FanDuel is to withdraw from the US state of Texas after the daily fantasy sports operator agreed to end operations by May 1.

FanDuel

The move follows the January ruling from state attorney general Ken Paxton that the DFS site constituted an illegal gambling business.

Texas becomes the ninth state in which FanDuel will not offer real-money DFS because of state gambling laws, although the operator said it would lobby for legislation that would enable it to return to the Lone Star state.

“We believe FanDuel has always been legal in Texas and strongly disagree with the recent advisory opinion of the attorney general, but understand that the laws surrounding fantasy sports require clarity,” FanDuel said in a statement.

“We have worked with the Texas attorney general to map out our plan to wind down our operations in Texas.

“We will work to pass legislation that protects fantasy sports and consumers so that we can bring our paid contests back to Texans as soon as possible,” the statement said.

Meanwhile, DraftKings, FanDuel’s main rival, has filed a lawsuit against the Texas attorney general in an attempt to continue operating in the state.

Source: USA Today