Filing a Nevada District Court appeal, Las Vegas-based betting/gambling technology provider CG Technology (former Cantor Gaming Group) has sued daily fantasy sports (DFS) operators DraftKings and FanDuel on multiple infringements of its patents.
CG Technology a specialist in US land based sports betting, claims that the DraftKings and FanDuel products have breached eight of its secured patents.
The patent infringements include the development of ‘game control signals’ and ‘player identification codes’. CG Technology claims that these mechanisms allow for the DFS operators to carry out multiple operational tasks including; the processing of results, generating user pay records, creating unique customer identifiers and further game and user data generation.
The betting technology supplier is reported to have sent a cease-and-desist appeal to the DFS operators in July 2014.
Following its direct appeal, CG Technology further claims that both DraftKings and FanDuel had made no attempt to negotiate any agreement for its services, leaving the company no choice but to sue the DFS operators for multiple patent infringement.
Filing its court appeal CG Technology will seek an initial injunction to bar DraftKings and FanDuel from using the technology in question. If granted approval, the technology provider may further sue the DFS operators for patent violations and misuse of licensed software for corporate gains.