DraftKings Requests Massachusetts Commission to Void Bets Worth Over $500,000 in Payouts

DraftKings is requesting approval from the Massachusetts Gaming Commission to void 178 bets that were placed at incorrect odds.

The MGC, in Thursday's meeting, decided not to decide on whether DraftKings would be allowed to void the bets. The decision will likely happen at the next meeting, which is scheduled for Nov. 30.

The bets were placed during an Oct. 24 NBA matchup between the Los Angeles Lakers and Denver Nuggets.

They were placed by 137 customers for a total handle of $4,182.36 and a total liability of $575,436. Those bets remain in the customers' accounts as pending.

DraftKings uses a same-game parlay vendor called Sportcast, which incorrectly offered several first quarter NBA player prop markets as full game player prop markets.

The incorrect totals were posted hours before the game and listed for just 13 minutes. So, bettors were able to bet on first-quarter totals as full-game bets. Lebron James' player props were listed at 8.5 points and 2.5 rebounds.

The majority of state gaming commissions and state gaming control boards have a stipulation that allows sportsbooks to void bets due to obvious errors.

DraftKings offered these lines in more states than Massachusetts, but most other states allowed DraftKings to immediately void the bets.

Massachusetts will not allow sportsbooks to void bets due to an obvious error without the approval of the gaming commission.

The MGC has a particular statute in its regulations for voiding bets that requires sportsbooks to explain why "voiding the wager is in the best interests of the Commonwealth or ensures the integrity of the sports wagering industry."

Commissioner Eileen O'Brien made the argument that DraftKings has requested to void the bets in the interest of the businesses and not necessarily in the interest of the public or the integrity of sports wagering.

The commission asked if any other jurisdictions refused to void the bets and DraftKings' Jake List did not want to disclose that information on a public forum.