Oct 25, 2024
The long-running legal battle between DraftKings and a former executive could be nearing an armistice.
Attorneys for Michael Hermalyn and DraftKings noted in a Tuesday court filing that the two sides “are negotiating a potential resolution” of a federal lawsuit that began days after Hermalyn left for Fanatics Sportsbook in February.
DraftKings sought and won an injunction that hamstrung Hermalyn’s day-to-day duties at Fanatics earlier this year, though Hermalyn is expecting his first victory in the bicoastal legal battle over the enforcement of his non-compete agreement as part of a separate case in California.
U.S. District Court Judge Julia Kobick granted a request Tuesday from Hermalyn and DraftKings to stay proceedings in the federal case until Nov. 20, a day after a scheduled one-day trial in Los Angeles as Hermalyn seeks to get his one-year non-compete invalidated sooner than its Feb. 1, 2025, expiration date. L.A. County Superior Court Judge Tony L. Richardson noted in a court filing in the case that Hermalyn was “likely to prevail on the merits.”
DraftKings and a spokesperson for Hermalyn declined comment when reached about the potential settlement.
Source: Front Office Sports