Lawsuit over NYC Marathon lottery is
settled
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[September 10, 2016]
By Jonathan Stempel
NEW YORK (Reuters) - New York City Marathon
organizers on Friday settled a lawsuit by runners who said their use of
a lottery, in which nonrefundable fees were charged, to decide who gets
to race was illegal.
Papers detailing the settlement with the nonprofit New York Road Runners
Inc were filed with the U.S. District Court in Manhattan. Court approval
is required.
The Road Runners agreed to provide $2.1 million of credits, ranging from
$1.25 to $11, on entry fees to future marathons and other races it
sponsors to runners who entered drawings for the marathon or New York
City Half Marathon between 2010 and 2015.
It also agreed not to charge for drawings to run in its races for three
years or to apply for a state lottery license, valued at about $3.1
million, settlement papers show.
The nonprofit will also improve disclosures, donate $100,000 to the New
York City Parks Foundation, and pay up to $670,000 in legal fees and
costs to the plaintiffs' lawyers, the papers show.
"We have entered into a settlement agreement on matters related to our
race entry drawing to the satisfaction of all the parties," Road Runners
spokesman Chris Weiller said.
The nonprofit denied wrongdoing in agreeing to settle. This year's
marathon is scheduled for Nov. 6.
Utah residents Charles Konopa and Matthew Clark had sued the Road
Runners in January, claiming they paid the $11 fee for a chance to run
the marathon but did not win, like roughly 85 percent of those who
applied.
They claimed the drawing violated New York's constitution because only
the state itself could run chance-based lotteries.
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The 26.2-mile (42.2 km) marathon through New York City's five
boroughs has been run every year since 1970, except for 2012 after
Hurricane Sandy.
Nearly 99 percent of the 50,235 runners from 125 countries who
started last year's race finished.
Entry fees for the race, ranging from $216 to $347, were not the
subject of the lawsuit.

The case is In re: New York Road Runners Litigation, U.S. District
Court, District of New York, No. 16-00450.
(Reporting by Jonathan Stempel in New York; Editing by Bernard Orr)
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