Judge Gives DraftKings and FanDuel Reprieve to Continue Operations in New York

FanDuel and DraftKings were ordered by a judge to cease operations in New York. However, the decision didn't last long. Hours after one New York judge ordered the two largest fantasy sports operators to shut down, another judge issued an emergency stay that allowed the residents of the state the right to continue to play.

Here's the current issue with FanDuel and DraftKings in a nutshell (if you aren't familiar with either, turn on a TV for 30 seconds. Any channel will do. You'll see at least six commercials):

They – the two fantasy sports operators – say they aren't gambling institutions. Some people disagree. In fact, if you have time, watch this John Oliver video. He explains it well.

The two companies are fighting against these claims in court. On Friday, State Supreme Court Judge Manuel Mendez denied the companies the right to continue to operate while they argue their case. New York Attorney General Eric Schneiderman, who last month sued the companies and asked Mendez to shut them down, had this to say after the decision:

"We are pleased with the decision, consistent with our view that DraftKings and FanDuel are operating illegal gambling operations in clear violation of New York law," Schneiderman said in a statement, via USA Today. "I have said from the beginning that my job is to enforce the law, and that is what happened today."

However, DraftKings and FanDuel appealed the decision minutes later – a decision that was reprieved by state appellate Judge Paul Feinman. The reprieve will be in effect until at least Jan. 4, that according to The Wall Street Journal. Next month, a panel will hear both sides and decide whether to extend the stay or allow the initial ruling to shut the sites down stand.

Schneiderman's office said this in a statement, via The Wall Street Journal:

"We look forward to demonstrating to the appellate division why they should uphold today's decision to grant a preliminary injunction barring DraftKings and FanDuel from continuing their illegal gambling operations in New York."