Monday, October 11, 2010: 4:40 PM
It is undisputed that licensed sports betting is legal only in Nevada, with Delaware and Oregon having the right to operate parleys. This is the result of the Professional and Amateur Sports Protection Act (PASPA) of 1992. Fantasy Sports, however, is not illegal under federal law and that of the vast majority of states.
It is estimated that 99% of sports wagering within the U.S. is illegal. The National Gambling Impact Study Commission Final Report (1999) concluded that between $80 billion to $380 billion per year in sports bets was wagered illegally in the U.S. and that amount has grown significantly as a result of the Internet. While it is still uncertain whether the Unlawful Internet Gambling Enforcement Act of 2006 (UIGEA) made anything illegal that was not already illegal, judicial decisions have concluded that internet sports wagering operators who accept U.S. customers violated the federal Wire Act (1961).
Will sports betting outside Nevada be legalized? Delaware tried in 2009 to legalize sports betting but the legislation was found by a federal appellate court to be in violation of PASPA. In January 2010 Delaware filed a petition for Supreme Court review. The constitutionality of PASPA has also been challenged in a federal district court lawsuit in New Jersey (March 2009). Chances of success by Delaware or the New Jersey challenge are a highly improbable impossibility. None of the internet gambling regulation and taxation bills before congress would legalize online sports betting. Sports betting experts have opined that legalized sports betting would minimize sports game fixing since state regulators might uncover irregular betting patterns. Why will any effort to legalize, tax and regulate sports gaming be doomed to failure?
It is estimated that 99% of sports wagering within the U.S. is illegal. The National Gambling Impact Study Commission Final Report (1999) concluded that between $80 billion to $380 billion per year in sports bets was wagered illegally in the U.S. and that amount has grown significantly as a result of the Internet. While it is still uncertain whether the Unlawful Internet Gambling Enforcement Act of 2006 (UIGEA) made anything illegal that was not already illegal, judicial decisions have concluded that internet sports wagering operators who accept U.S. customers violated the federal Wire Act (1961).
Will sports betting outside Nevada be legalized? Delaware tried in 2009 to legalize sports betting but the legislation was found by a federal appellate court to be in violation of PASPA. In January 2010 Delaware filed a petition for Supreme Court review. The constitutionality of PASPA has also been challenged in a federal district court lawsuit in New Jersey (March 2009). Chances of success by Delaware or the New Jersey challenge are a highly improbable impossibility. None of the internet gambling regulation and taxation bills before congress would legalize online sports betting. Sports betting experts have opined that legalized sports betting would minimize sports game fixing since state regulators might uncover irregular betting patterns. Why will any effort to legalize, tax and regulate sports gaming be doomed to failure?