Connect with us

Gaming Industry News

Why the US Supreme Court Struck Down PASPA

Published

on

Reading Time: 4 minutes

The United States Supreme Court has ordered to strike down the Professional and Amateur Sports Protection Act (PASPA).

PASPA, penned in 1992 by New York Knicks hall of famer and former New Jersey Senator Bill Bradley, came into force on New Year’s Day 1993. It slapped a virtual ban on sports wagering across 46 states and limited three other states to sports lotteries. The only state that received an exemption from the sole blanket ban was Nevada. New Jersey was also got a one-year window to legalise sports betting, but could not do so.

However, the apex court struck down PASPA this week on the grounds that it violates a provision of the 10th Amendment, commonly known as the anti-commandeering doctrine.

The anti-commandeering doctrine provides that, if the Constitution does not specifically reserve a power to the federal government (in this case, legislating sports wagering) or directly strip that power away from the states, that power resides with the states. The provision is known as the anti-commandeering doctrine because it is understood to bar the federal government from “commandeering” the rights of the individual states to enforce federal law.

In this case, since PASPA does not specifically ban sports wagering, rather the ability of the states to pass laws of their own to legalise sports wagering, the Court held that PASPA violates the anti-commandeering doctrine and thus, the 10th Amendment.

This battle started in 2012 when New Jersey passed a law to legalise sports betting. Shortly thereafter, the National Collegiate Athletic Association (NCAA) and all four major American sports leagues (NFL, NBA, MLB and NHL) sued the state of New Jersey, claiming that the law violated PASPA. When the lower federal courts ruled in favor of the NCAA and the leagues, New Jersey retreated but returned in 2014 with a new law, specifically tailored to challenge PASPA but only at casinos and racetracks. Predictably, the NCAA and the leagues took New Jersey to court again and eventually prevailed in the United States Court of Appeals for the 3rd Circuit.

However, that ruling was overturned by the Supreme Court. Writing for the majority, Justice Samuel Alito opined, “It is as if federal officers were installed in state legislative chambers and were armed with the authority to stop legislators from voting on any offending proposals.” Alito continued, stating that “[a] more direct affront to state sovereignty is not easy to imagine.”

It is important to note that this ruling does not legalise sports betting nationally or in any state, including New Jersey. The strike-down of PASPA merely paves the way for each state to pass its own laws addressing sports gambling. The majority points out that it is still within the purview of the federal government to pass laws restricting sports gambling on a national scale, but that if it does not, it may not enact a law such as PASPA, which prohibited the states from passing sports wagering laws of their own; “Congress can regulate sports gambling directly,” writes Alio. “But if it elects not to do so, each State is free to act on its own.”

In addition to New Jersey, Connecticut, Pennsylvania, West Virginia and Mississippi have all passed bills legalising sports wagering and over 15 other states have introduced similar bills in the preceding months, in anticipation of today’s ruling.

While PASPA may seem, at first glance, an automatic ticket to the explosion of esports wagering in the United States, Will Green, Senior Director of Strategic Communications for the American Gambling Association is not so sure.

In an interview with The Washington Post, Green stated “I don’t think PASPA is the vehicle for the blossoming of esports.” Green points to the lack of esports-specific verbiage in pending state legislation and feels that “there has to be clarity [regarding esports being classified as a sport for betting purposes by regulators], and right now there are more questions than there are answers.”

Green’s point, while not determinative, is not without merit. While esports has gained a tremendous following and a great deal of mainstream acceptance in the US, it is still not what many would consider a mainstream sport. As such, it could be argued that esports was not envisioned by the legislators when the various state bills were written and might, therefore, have an uphill climb to fight for inclusion under those laws.

For his part, Seth Schorr, CEO of Las Vegas’s Downtown Grand Hotel and Casino, one of the first sportsbooks to accept bets on esports, appears to have a different outlook. Also speaking to The Post, Schorr referenced a memorandum of understanding between the Nevada Gaming Control Board and the esports Integrity Coalition in support of his opinion that esports will be defined as a sport for betting purposes. Schorr did qualify his statement, however, noting concerns around match-fixing and cheating, “You can’t bet on football; you can bet on the NFL,” Schorr told The Post. “I see Nevada looking at specific esports leagues and offerings [in order to assure the integrity of the matches on which bets are made].” Schorr continued, stating that while he believes the repeal of PASPA will ultimately have a “massive impact” on esports wagering, he cautions that the transformation might not happen as quickly as is expected for mainstream sports betting; “Everything takes time,” Schorr explained. “Each state is different. We are catching up with the rest of the world.”

Now that PASPA has been repealed, there is no telling how large the esports wagering market in the United States can grow or how long it will take to get there. As reported by both ESPN and Chris Grove, an estimated $5 billion was wagered illegally on Counter-Strike: Global Offensive Database-Link-e1521645463907 through skin betting alone in the United States in 2016. When we account for the massive growth of CS:GO, along with the popularity of other games, including League of Legends Database-Link-e1521645463907, Fortnite Database-Link-e1521645463907, and PUBG Database-Link-e1521645463907, as well as the recent launch of Activision Blizzard’s Overwatch League, it is clear that the esports wagering market in the United States has the potential to be substantial.

Meanwhile, the American Gambling Association estimates that roughly $150 billion is wagered illegally each year on sports in the U.S. How much of that number is poised to flow into esports may very well be determined by how broadly each state’s sports wagering legislation is perceived. Whatever happens in the near term, it seems clear that esports wagering is knocking on the United States’ door. The question now appears to be when that door will open.

Source: esportsobserver.com


Source: EuropeanGaming.eu

Continue Reading

Gaming Industry News

Phil Silver honoured by MPs for contributions to social responsibility

Published

on

Phil Silver honoured by MPs for contributions to social responsibilityReading Time: 2 minutes

Conservative Party MPs Sir Peter Bottomley and Rt Hon Nick Herbert attended a presentation to honour former Bacta Compliance Officer, Phil Silver and to mark his contribution to the development of a social responsibility culture in Britain’s adult gaming centres, seaside arcades and bingo clubs. Phil Silver received the Bacta Community Award at the presentation hosted by Esther O’Neill and Sarah Clarke of Worthing based Connaught Leisure.

Highlighting his work with social responsibility organisations including GamCare, the national provider of information and support for anyone affected by problem gambling and the Gordon Moody Association, the first charity in the UK dedicated to providing residential treatment to help problem gamblers, Bacta National President Gabi Stergides said: “In a career with Bacta spanning three decades Phil Silver has made what I would argue is the single biggest contribution to social responsibility in the low stake gaming industry. Thanks in no small part to Phil, Bacta was the first gaming industry body to work in partnership with GamCare and his contributions as a Trustee of the Gordon Moody Association have been invaluable. In his role as Bacta’s Compliance Officer he has assisted members implement the social responsibility commitments that are a requirement of being part of the trade association. His contribution to the development of an industry that upholds the highest standards of social responsibility cannot be underestimated.

Commenting on the industry recognition, Phil Silver said: “I am delighted to receive this award which marks the end of my long career with Bacta. Members of the trade association understand that it’s not enough to simply support social responsibility and customer protection, businesses have to demonstrate it. We have undertaken some pioneering work and I’m extremely proud that I was able to make a small contribution to the massive issue of social responsibility in gaming.

Reflecting on the presentation Bacta chief executive, John White said: “It was extremely generous of Nick Herbert and his fellow Sussex MP, Sir Peter Bottomley, to present Bacta’s Community Award to Phil Silver. Their attendance acknowledged Phil’s contribution to the amusement machine industry over a thirty year career and his support for problem and at risk gamblers via charities Gamcare and the Gordon Moody Association. I would personally like to thank Nick and Sir Peter for taking time out of their busy schedules in order to present this Award and to Esther and Sarah for hosting us at Connaught Leisure, the business that was created by the late Pat O’Neill who was a great friend to so many Bacta members. The presentation reflected the great importance that Bacta and its members place on social responsibility.

 

About bacta:
Bacta represents the amusement and gaming machine industry in the UK, encompassing high-tech and creative manufacturers, machine suppliers for pubs, clubs and bingo halls, as well as operators of Family Entertainment Centres and over 18s Gaming Centres. Bacta members include the whole of the amusement machine supply chain in the UK, which has a collective turnover of nearly £2bn across more than 500 companies, operating in excess of 310,000 machines.


Source: EuropeanGaming.eu

Continue Reading

Gaming Industry News

NetEnt’s Mega Fortune™ strikes again after lucky player wins €3.7m jackpot

Published

on

NetEnt’s Mega Fortune™ strikes again after lucky player wins €3.7m jackpotReading Time: 1 minute

NetEnt, leading provider of digital gaming solutions, has continued its jackpot hot-streak after another lucky player from Sweden dropped a massive win when €3,773,845.27 was collected while playing Mega Fortune™ on LeoVegas casino.

 

May 25th, 2018 – The winner from Sweden had staked just €4.80 before going on to take the €3.7m jackpot on NetEnt’s popular jackpot game Mega Fortune™ in early May.

This latest big win showcases that NetEnt continues to lead the way in jackpot games with a massive five millionaire-making jackpots dropping in 2018 alone, paying out an astonishing €19,799,183 so far this year.

Henrik Fagerlund, Chief Product Officer of NetEnt, said:The jackpots just keep on coming and we’re happy to see another player scoop a life-changing amount of money while playing our games.

At NetEnt, we thrive on providing moments like this for operators and players alike, and hope that our good luck continues as we head into the summer.

 

NetEnt AB (publ) is a leading digital entertainment company, providing premium gaming solutions to the world’s most successful online casino operators. Since its inception in 1996, NetEnt has been a true pioneer in driving the market with thrilling games powered by their cutting-edge platform. With innovation at its core, NetEnt is committed to helping customers stay ahead of the competition. NetEnt is listed on Nasdaq Stockholm (NET-B), employs 900 people and has offices in Stockholm, Malta, Kiev, Gothenburg, New Jersey, Krakow and Gibraltar. www.netent.com


Source: EuropeanGaming.eu

Continue Reading

Gaming Industry News

IGT obtains long-term Norsk Tipping bingo supply deal

Published

on

IGT obtains long-term Norsk Tipping bingo supply dealReading Time: 1 minute

IGT Global Services will be the provider for Norway’s new online bingo solution in a recent deal made with Norsk Tipping AS.

The new deal comes after an already existing six-year business relationship between IGT and the state operator.
Norsk Tipping’s head of igaming and VLTs, Hans Erland, noted that the new online bingo solution would bring an enhanced digital offering to players and the proceeds would remain in Norway, being donated to support the arts, sport and cultural initiatives.

The contract provides for an online bingo solution in combination with online casino and instant win games. It is a five-year contract and includes provision for three two-year extension, potentially giving an overall 11-year relationship.

Norsk Tipping’s current digital bingo platform was provided by IGT in 2014. Its replacement is built on multi-channel HTML5 for desktop, tablet and mobile and offers 10 game variations.

Declan Harkin, senior vice-president and chief operating officer, international, at IGT, added: “This agreement enables Norsk Tipping, a leader in regulated digital gaming, to strengthen player acquisition and retention through IGT’s new online bingo solution, offered in combination with online casino and instant win games and available seamlessly in a single game window.

 

Source: intergameonline.com


Source: EuropeanGaming.eu

Continue Reading

Trending