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- DraftKings asked the USPTO to invalidate key geolocation patent claims co-invented by U.S. Commerce Secretary Howard Lutnick.
- The regulatory filing follows an April lawsuit by a Cantor Fitzgerald unit accusing DraftKings of widespread patent infringement.
DraftKings has asked the U.S. Patent and Trademark Office to invalidate key claims in a patent held by Cantor Fitzgerald that lists Commerce Secretary Howard Lutnick as its primary inventor.
The filing targets U.S. Patent No. 12,406,284, which concerns geolocation technology used in sports wagering and online casino operations. The challenge matters because location-verification systems are a core compliance tool for legal U.S. betting operators, and because DraftKings is seeking review from an agency overseen by the Commerce Department.
DraftKings requested an inter partes review and asked the Patent Trial and Appeal Board to find 18 claims in the patent “unpatentable.” In its filing, the company argued: “During prosecution, the Examiner did not apply the material prior art or straightforward combinations presented here, which render every challenged claim obvious.”
Draftkings Argues Patent Claims Are Obvious
According to the source report, DraftKings contends the patent examiner did not consider prior art and combinations that would make the challenged claims obvious. The source does not detail the specific prior art cited in the filing.
The patent fight follows a broader dispute between Cantor-related entities and major sportsbook operators. In April, Interactive Games LLC, a Cantor unit, sued DraftKings and FanDuel, alleging infringement of five patents and seeking an undisclosed amount of damages.
That suit adds pressure to a legal fight centered on technology used across regulated sports betting platforms, particularly geolocation tools that help ensure bets are placed only where wagering is legal.
PTAB Access and the Next Step to Watch
The immediate next question is whether the Patent Trial and Appeal Board will agree to take up DraftKings’ challenge. The source report says that is not yet known.
The dispute also draws attention because the Commerce Department has jurisdiction over the USPTO. The report notes that USPTO Director John Squires has publicly praised Lutnick, and that the USPTO under Squires and predecessor Coke Morgan Stewart has made it harder for filers to access the Patent Trial and Appeal Board.
For now, the procedural status is limited: DraftKings has filed its request, but there is no decision yet on whether review will be granted or how the separate April lawsuit will be resolved.
Background referenced in the source shows Interactive Games was once part of Cantor Gaming, which no longer operates. Cantor Gaming faced money-laundering allegations and nearly lost its Nevada license in 2018 before the parent company sold the business in 2019.
Source: As reported by casino.org.
