Dec 18 2008
Online Gambling Legalities
So, gaming laws vary from State to State, but there are a few Federal laws which govern gambling, and in particular internet gambling. Remember in ‘06 when a lot of poker sites stopped accepting funds from U.S. bettors? Here’s why.
There was a law passed that made it a federal offense for a gaming institution to accept funds from bettors for activities that violated State laws. So, essentially, what the law said was that if your gambling was illegal, accepting money for it was now illegal too. How does that change anything?
Well, for starters, it’s a Federal law. Given that online poker rooms, casinos, and books do business with people in many states, this is significant. It is also significant because Federal authorities obviously have more pull in enforcing laws on operations which do not physically reside in the U.S. Keep in mind, however, that with internet gambling, it has been determined that the casino is “operating” on both ends of the internet connection. Even if the checks are cut in Aruba, if you’re in D.C., the casino is “operating” in D.C. as well.
So, how does this affect the players? It doesn’t. This law in particular, all Federal laws, and most State laws regarding gambling only apply to the operators, not the bettors. Which means that while the casino, sports book, or poker room may be illegal, your patronage is most likely not.
Please note that I am not an attorney, or an expert in gambling law. Laws vary from state to state, so before you get all betting happy (thinking you’re not breaking the law) look into your individual state laws.
