ESPN Bet Lawsuit for Online Gambling Addiction [2026 Update]

The Sports Gambling Addiction Lawsuit is an Active Lawsuit

See if You Qualify

ESPN Bet, a sportsbook app, leveraged the ESPN brand to bring nearly frictionless sports gambling to smartphone users. While the app shut down at the end of 2025, former users describe aggressive content and promotions that encouraged excessive gambling, which ultimately led to significant financial losses and emotional distress.

Former users allege that these practices prioritized revenue over consumer protection and that ESPN Bet failed to adequately safeguard vulnerable players.

King Law is investigating claims against ESPN Bet. People who believe that the app misled them or exploited them should contact our office to understand their legal options. ESPN Bet is part of our broader investigation into sportsbook gambling addiction lawsuits.

About the ESPN Bet Gambling Lawsuit

ESPN Bet Lawsuit Timeline

February 23, 2026: PENN, New Owner of Rebranded ESPN Bet Provider, Appoints New Board Members

PENN has settled a dispute with one of its shareholders, who had asked the company to change who sits on the board of directors. PENN operates theScore Bet, the rebranded ESPN Bet provider. Some people who gambled on ESPN Bet or theScore Bet have said they experienced new or worsening gambling addictions because of how the apps are designed. Some of those affected consumers have filed lawsuits against ESPN, PENN, and other sportsbook operators, accusing them of misleading consumers about the terms of their promotions and platforms.

December 1, 2025: ESPN Bet is Rebranded and DraftKings Becomes ESPN’s Sportsbook Provider

ESPN Bet Sportsbook rebranded to theScore Bet® on December 1, 2025. theScore Bet is owned by PENN Entertainment. DraftKings is now the official sportsbook provider of ESPN. DraftKings will allow people to place sportsbook bets within the ESPN app. DraftKings’ customers will also receive special promotions for ESPN Unlimited, which is ESPN’s direct-to-consumer product. These changes will allow people who previously used ESPN Bet to engage with other sportsbook betting apps.

November 6, 2025: ESPN Announces Partnership With DraftKings, Shuts Down ESPN Bet

ESPN announces that DraftKings will be its sportsbook partner going forward, ending its two-year relationship with PENN Entertainment after missing market share and financial performance targets. ESPN Bet ceased operating in December 2025. PENN Entertainment launched its own, independent sportsbook app, theScore Bet, late in 2025. DraftKings has been the subject of multiple complaints related to both its fantasy sports drafting and sportsbook operations.

September 11, 2025: New Jersey Orders PENN Entertainment to Settle Wagers, Fines Company $3,000

New Jersey’s Division of Gaming Enforcement, through an Action in Lieu of Complaint, orders PENN Entertainment to pay out four $646.74 wagers to patrons of its former Barstool Sportsbook app totaling $4,592.85. The agency also fines PENN $3,000 for violation of N.J.A.C. 13:69N-1.9(q). The state had determined that PENN failed to adequately monitor and document the accuracy of data feeds used for settlements and had unlawfully attempted to void wagers without the approval of the New Jersey Division of Gaming Enforcement.

February 22, 2024: PENN Entertainment Fined $147,000 By Pennsylvania Regulators

PENN Entertainment, ESPN’s sportsbook partner, is fined $97,500 by the Pennsylvania Gaming Control Board (PGCB) for violations involving its former mobile platform, Barstool iGaming. The regulatory agency was able to create multiple fake accounts, violating Pennsylvania’s KYC (know your customer) requirements. The remaining $50,000 fine was for three incidents of underage gambling at its Hollywood Casino York site.

November 14, 2023: ESPN Bet Launches

After being acquired by PENN Entertainment, the Barstool Sports brand was sold back to founder David Portnoy. PENN Entertainment entered into a partnership with ESPN, with ESPN Bet launched and the Barstool Sports sportsbook app retired. ESPN would soon cross-promote the app during normal programming through features like live odds and using its analysts in advertisements for ESPN Bet.

February 15, 2023: Ohio Fines Barstool Sports $250,000

The Ohio Casino Control Commission fines Barstool Sports $250,000 for an advertising violation. The company had run an ad on the Barstool College Football Show that the regulatory agency said violated its rules against marketing sportsbooks to individuals under the age of 21. At the same time, the commission additionally fined DraftKings, which would become ESPN’s new sportsbook partner in late 2025, $500,000 for sending direct mail ads to 2,500 underage Ohio residents, and for using disingenuous terminology such as “free” or “risk-free” in their advertisements.

2023: Class Action Lawsuits Filed Against BetMGM, DraftKings, and Caesars Sportsbook

Over the course of 2023, two class action lawsuits were filed against Caesars Sportsbook, one against BetMGM, and another against DraftKings, alleging that the companies’ “risk-free” bet promotions were deceptive and put real funds at risk. Many of these class action lawsuits would later run into issues involving the sportsbooks’ terms of service, which every user needs to agree to in order to use the platforms. These terms of service require complainants to resolve their disputes through arbitration. Subsequent rulings have sent many of these class action lawsuits to arbitration.

September 2020: Barstool Sportsbook Launches

Barstool Sports launches the Barstool Sportsbook app, the forerunner to ESPN Bet in Pennsylvania, expanding to 17 states by the end of 2023. The app was developed in partnership with PENN Entertainment (previously Penn National Gaming), owner of Hollywood Casino, Ameristar, and Boomtown. PENN had previously taken a 36% stake in Barstool.

May 14, 2018: Supreme Court Clears The Way For Online Sports Betting

The U.S. Supreme Court struck down the Professional and Amateur Sports Protection Act (PASPA) of 1992. PASPA had banned most forms of state-authorized sports betting outside of Nevada. In Murphy v. National Collegiate Authority, lawyers representing the governor of New Jersey argued that PASPA conflicted with the anticommandeering rule of the 10th Amendment, making it unconstitutional. Online sports betting would become available in New Jersey later in 2018, with other states soon following suit.

What Is the ESPN Bet Gambling Lawsuit About?

The ESPN Bet gambling lawsuit is about allegedly aggressive or negligent tactics used by the company to make people place more frequent and larger bets on the app. Potential lawsuits against ESPN Bet allege:

• Breach of contract
• Deceptive advertising
• Failure to implement responsible gambling safeguards
• Negligence
• Unfair trade practices

Some people who used ESPN Bet describe targeted and aggressive marketing tactics that encouraged over-gambling and addictive behaviors, especially among young people and teens.

Similar lawsuits have been filed against apps like DraftKings, BetMGM, and Caesars that employed similar business and design practices. ESPN’s forerunner, Barstool Sportsbook, was subject to regulatory action by Ohio for advertising to individuals under the age of 21. Additionally, ESPN’s branding presented some unique risks through its seamless blending of trusted sports content and betting opportunities. These features can promote compulsive gambling with few safeguards for vulnerable individuals.

How Sports Media Partnerships Changed the Gambling Landscape

ESPN’s entry into sports betting brought an aura of legitimacy to the recently legalized gambling niche occupied by newer brands like DraftKings or casino brands like Caesars. Mainstream, respectable sports analysis was now presented side-by-side with betting odds and opportunities.

In December 2023, ESPN Bet launched its “What a Play” advertising campaign designed to “integrate ESPN talent into the lives of the fan, helping connect them in a humorous but relatable fashion to the sports fan’s betting experience.”

This multimedia strategy increased users’ exposure to betting prompts, allegedly helping to lower resistance to gambling.

How Does ESPN Bet’s Media-Driven Platform Allegedly Encourage Addiction?

ESPN Bet was the result of a strategic partnership between PENN Entertainment and ESPN, designed to capitalize on the growing popularity of sports betting in the wake of Murphy v. National Collegiate Authority.

ESPN Bet allegedly promoted compulsive gambling by:

• Presenting live odds in multiple media channels
• Presenting ESPN Bet promotional offers through ESPN sports news, highlights, and analysis
• Offering in-game betting
• Promoting preoccupation with gambling, a diagnostic criterion for gambling disorders .
• Featuring conspicuous opportunities to “chase losses” through bonus bets and other enticements

These mechanisms create a feedback loop between sports fandom and sports gambling subcultures. This connection could encourage gambling among some fans.

According to the National Council on Problem Gambling, problem gambling “is an emotional problem that has financial and other consequences.” This means that even if people can pay off their debts, they may suffer other problems and losses in their lives due to gambling.

ESPN Bet Advertising, Promotions, and Brand Trust Concerns

Many of the concerns around ESPN Bet, as well as past regulatory actions against its predecessor, are related to aggressive advertising pushes. These tactics expose sports fans, including those underage, to betting-related content as part of their normal viewing and reading habits.

Some of the tactics used to encourage gambling on ESPN Bet included:

• Bonus bets
• Time-limited credits
• Rewards programs and rankings for heavy users
• Push notifications and marketing outreach
• Frictionless transfers between bank accounts and the app

Together, these factors can minimize the user’s perceptions of risk and reduce the barriers to placing a bet.

Alleged Exploitation of ESPN’s Trusted Brand to Drive Betting

Particular to ESPN Bet is its leveraging of the ESPN brand to promote sports betting. ESPN, founded in 1978, is one of the largest, oldest, and most well-known sports media brands, accounting for over a third of all sports viewership in 2025. Legal experts argue that by incorporating sports betting metrics and culture into ESPN’s flagship programming, ESPN Bet framed sports betting as a normal extension of sports fandom instead of a high-risk activity.

Some courts and government regulators have questioned whether sports media companies have a heightened duty when promoting gambling to broad audiences, including those that include children and teens.

Financial and Emotional Harm Allegedly Linked to Problematic Gambling on ESPN Bet

Compulsive gambling tied to sportsbook apps like ESPN Bet can lead to substantial financial losses and emotional distress. The Mayo Clinic describes compulsive gambling as, “…the uncontrollable urge to keep gambling despite the toll it takes on your life.”

Compulsive ESPN Bet users may be at risk of:

• Financial losses
• Bankruptcy and loss of assets
• Relationship problems
• Anxiety and depression
• Suicidal ideation
• Poor work or academic performance

According to DSM-5 diagnostic criteria, a gambling disorder is characterized by recurring gambling behavior leading to clinically significant impairment or distress. Symptoms may include unsuccessful attempts to cut back, risking increasing amounts of money, and preoccupation with gambling.

Who Qualifies to File an ESPN Bet Gambling Addiction Lawsuit?

If you have lost substantial amounts of money on ESPN Bet and have a gambling disorder, you may be eligible to file a gambling addiction lawsuit.

King Law is currently investigating ESPN Bet cases from people who claim they:

• Were under the age of 21 when they lost money on ESPN Bet
• Suffered thousands of dollars or more in losses
• Participated in a “risk-free” or similar bonus promotion
• Were denied a payout under changing rule sets
• Placed bets that were technically illegal within their state
• Were diagnosed with a gambling-related disorder

Due to ESPN Bet’s terms of service, many complaints to date have been sent to arbitration rather than litigation. Qualifications may depend on evolving precedents and rulings. Future cases related to gambling addiction may not be settled through arbitration. Instead, people may pursue compensation through personal injury lawsuits.

How to File a Lawsuit Against ESPN Bet

Evaluating whether ESPN Bet is liable for your gambling addiction or large losses generally requires an advanced understanding of legal theory. Simply suffering losses is rarely enough to qualify someone for a lawsuit.

However, if you think ESPN Bet is engaging in unlawful or predatory actions, you should start gathering documentation for possible future legal actions.

Here are the steps to filing a lawsuit related to losses incurred on ESPN Bet:

1. Save records of your bets, your losses, and correspondence you have had with ESPN Bet.
2. Consult with an experienced gambling addiction attorney to evaluate your case.
3. Work with your attorney to gather additional evidence, testimonies, and context that will support your case. Your attorney may also evaluate arbitration clauses and jurisdictional issues.
4. File your claim in the proper courts and at the proper time.
5. Enter negotiations with the defense to try to reach a settlement. If a settlement cannot be reached, your case may go to trial.

If your case is successful, you may receive a payout.

Deadlines to File an ESPN Bet Gambling Addiction Claim

Gambling addictions need to be filed within a window of time determined by your state’s statute of limitations. The length of these windows varies depending on:

• The state in which you are filing your claim
• The legal theory under which you are filing your claim (negligence, breach of contract, personal injury, etc.)
• When you discovered your injury, in this case, when you realized the addictive nature of the app or misconduct on the part of ESPN Bet

Due to the complexity and variability of statutes of limitations, it is important to consult with an attorney quickly to pin down critical deadlines that apply to your case. Some states have enacted Discovery Rules, which may change filing deadlines for some plaintiffs.

ESPN Bet Lawsuit Settlements and Payouts Per Person

To date, there aren’t any major public gambling addiction lawsuits involving ESPN Bet. However, lawsuits have been filed against similar apps, the outcomes of which could set a standard for claims against ESPN Bet. Additionally, some cases may resolve confidentially or through arbitration, in which case their outcomes, including payouts, may not be publicly available.

Compensation in any prospective ESPN Bet case would depend on the plaintiff’s losses, the strength of the evidence presented, and the extent of wrongdoing on the part of ESPN or PENN Entertainment.

When Is the ESPN Bet Lawsuit Payout Date?

There is not currently a confirmed ESPN Bet lawsuit payout date. If an ESPN Bet gambling addiction lawsuit is filed, the payout date will depend on factors such as whether the case settles out of court, or is settled through litigation or arbitration. Regulatory actions by government agencies also have their own timelines.

Sign Up For an ESPN Bet Gambling Lawsuit With King Law

King Law is currently reviewing gambling addiction claims related to sportsbook apps like ESPN Bet. Our law firm has decades of experience holding powerful corporations accountable for negligence and behaviors that harm their customers. Take advantage of our free case evaluations to determine whether ESPN Bet’s behavior and your losses could support a legal claim. There is no obligation to move forward unless you want to.

Speak With an ESPN Bet Gambling Addiction Lawyer Today

If you have suffered financial or emotional harm as a result of using ESPN Bet, contact King Law today at (585) 496-2648 for a free, no-obligation consultation, or fill out a contact form on this site. Our gambling addiction attorneys work on contingency, so there are no up-front costs to pursuing your claim.

Frequently Asked Questions About ESPN Bet Lawsuits