DraftKings and FanDuel provide an online platform that allows people to win cash prizes in daily fantasy sports contests. The companies have come under fire for allegedly misrepresenting their products, with over one million players bringing dozens of class-action lawsuits against DraftKings and FanDuel. But those players will likely be forced to arbitrate their cases individually thanks to terms of service that they say were intentionally hidden and obscure.
Mandatory arbitration agreements have crept into nearly every aspect of American life, from consumer products and employment to banking and medical care. Buried within the fine print of contracts is language—often difficult to understand—that strips away the Constitutional right to a trial by jury. Many people sign away their rights without even knowing it.
While mandatory arbitration limits the rights of employees and consumers, it can still be an effective forum for plaintiffs—especially if they have attorney representation.