Ari Borod, the former Chief Business Officer at Fanatics, officially joined Polymarket this week as the company’s President of Sports Business Development. Fanatics, however, filed a lawsuit attempting to block the move, threatening that “the entire weight of Fanatics would be brought against him.”
The two companies reached an out-of-court settlement at the start of this month, paving the way for Borod to join the prediction market platform.
Fanatics sued Borod last month in a Florida state court, claiming that a one-year noncompete agreement bound him. Borod disputed this. A court filing stated, “Fanatics brought this meritless action to punish Defendant Aron Borod for doing what he had every right to“, leave Fanatics to join Polymarket.
Borod ‘Thrilled’ to Join Polymarket
With the dispute now settled, Borod posted on LinkedIn that he was “thrilled” to join Polymarket, with his main mandate to “build partnerships that help bring prediction markets to the center of how fans experience the game.”
Borod joined Fanatics as Chief Commercial Officer in 2021, having previously worked at FanDuel and the Action Network. He was promoted to Chief Business Officer in 2022. Primarily focusing on developing the company’s online sports betting product, Fanatics asserts that he later “spearheaded the strategy, launch and growth of Fanatics’ prediction-markets business.”
He denies this, but does admit to assessing the economic viability of entering the industry, discussing potential partnerships with various companies, helping secure a license, and brokering Fanatics’ partnership with Crypto.com.
He argued this role should not prevent him from joining Polymarket. Fanatics argues that Borod had access to confidential information related to its expansion into prediction markets, which could be used at Polymarket.
Fanatics launched its prediction market platform in December, around the same time Borod informed the company of his intention to leave. Fanatics opposed the move and made a counteroffer to encourage Borod to stay. He rejected this and insisted he had the right to move freely.
Fanatics agreed his employment would end on January 1, but that “the entire weight of Fanatics would be brought against him.” He joined Polymarket on January 2. Fanatics filed suit on January 12, but the companies eventually settled the dispute on February 2.
A Polymarket spokesperson commented, “The parties have reached an out-of-court resolution of their dispute and have no further comment.” Fanatics has not publicly commented on the matter.
Fanatics Invested in Polymarket’s Rivals
Borod claims that Fanatics founder Michael Rubin and betting CEO Matt King are both personally invested in Polymarket’s rival Kalshi, as reported by Front Office Sports.
Rubin has been complimentary about Kalshi and Polymarket, describing their CEOs, Tarek Mansour and Shayne Coplan, as “studs.” However, he also said he believes sportsbooks will triumph in the prediction market industry.
Prior to launching Fanatics Markets, he stated, “I think the winners of this are going to be the sportsbooks. We have such strategic advantages from the enormous customer base that we have to all of the experience.”
Borod’s defence team argued that Fanatics is not a direct competitor of prediction market platforms such as Polymarket or Kalshi, but rather the company partners with Designated Contract Makers (DCMs) to provide them with customers.
The hiring of Borod, however, is part of Polymarket’s strategy to expand increasingly into sports betting. The company has also been recruiting experienced sports traders to join an in-house trading team.
The expansion into sports has brought a series of lawsuits against Polymarket and Kalshi. Last week, a California resident claimed Polymarket tricked him into engaging in illegal sports wagering.
The lawsuit alleges “Polymarket serves as the ‘house,’ setting the betting lines, taking bets and wagers from all users, documenting (i.e., ‘booking’) those bets, using its records to determine ‘winners’ and ‘losers,’ and eventually paying out the winners.”
The post Fanatics Threatened Employee With ‘Entire Weight’ of Company Over Polymarket Move appeared first on CasinoBeats.
Ari Borod, the former Chief Business Officer at Fanatics, officially joined Polymarket this week as the company’s President of Sports Business Development. Fanatics, however, filed a lawsuit attempting to block the move, threatening that “the entire weight of Fanatics would be brought against him.” The two companies reached an out-of-court settlement at the start of
The post Fanatics Threatened Employee With ‘Entire Weight’ of Company Over Polymarket Move appeared first on CasinoBeats.