DraftKings has sued a former senior vice president whom the company accused of being a “double agent” for coordinating with Fanatics to steal proprietary company information and join the competitor—all in violation of his noncompete.
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The lawsuit comes days after Michael Hermalyn quit DraftKings and accepted a similar job at Fanatics overseeing VIP relationships for the nascent Fanatics betting operation. Hermalyn sued DraftKings last week, saying that his 12-month global non-compete was overly restrictive and unenforceable in California, where he said he is now living after relocating to work for Fanatics.
In its 49-page complaint, filed late Monday in the U.S. District Court for Massachusetts, DraftKings tells a different version of events.
