When the Internet gambling industry exploded, legal minds began to focus on Internet gambling laws. Lawrence G. Walters, one of the gameattorneys.com attorneys, stated that the law regarding Internet gambling in America has been “muddled, to say the minimum.”
The U.K.’s Internet gambling laws have made it easier for both players and providers. Gambling Act 2005 was passed to legalize and regulate online gambling in the U.K.
The U.K. Act aims to prevent gambling from encouraging “crime or disorder” and protect younger citizens who might be victims of gambling operations. The U.K. has significantly relaxed regulations that have been in place for decades, unlike the United States. A gambling commission was created to license operators to enforce the code.
Walters says that the United States Department of Justice still considers all online gambling illegal under the Wire Act. However, there are specific details in federal law that make it challenging to blanket all online gambling.
The Wire Wager Act is the foundation for federal legislation regarding Internet gambling in the United States. This law was intended to complement and support existing laws in various states. It focuses primarily on the “business of betting or wagering” via wire communication to place wagers or bets on sporting events. The law also addresses the possibility of receiving money or credit as a result of such a wager. These keys are “business,” “money or credit,” and “wire communication facility.”
However, as proponents and attorneys of fair Internet gambling laws stress, the federal law doesn’t specifically address other types of gambling. The law is open to interpretation in online gambling and online gaming via the World Wide Web.
October 13th, 2006, date is crucial in the debate surrounding legalizing gambling. The federal law passed on October 13th, 2006, is vital knowledge for anyone learning about Internet gambling laws. President George W. Bush signed UIGEA (Unlawful Internet Gambling Enforcement Act), intended to limit certain “financial transactions” used for online gaming.
Even though federal gambling laws can clearly define a legal gambling age under current law, the UIGEA does not resolve all online gambling issues. Walters and many other attorneys have noted that the UIGEA appears only to cover financial transactions and wagers made illegally. While some stakes are legal, others might not. It’s that simple.
The UIGEA affected Internet gambling. The 2006 law made it impossible for most Americans to play online poker or casino games. Many successful companies were forced to exit the industry, at least in the United States. Many gambling companies found ways to open offices or servers in other countries to welcome back players from the United States.
Now it’s time to catch a deep breath and look at the Internet gambling laws in each state. Some states have adopted their own rules and regulations, both before and after UIGEA. Online gambling is not allowed in some states. It is also illegal to place a wager via the Internet in some states. Legal experts argue these individual-state rules as unconstitutional. Commerce across states should be regulated only by federal law and not state law. However, online gambling companies that are not commercially licensed in the United States do not operate. You may need to travel to Curacoa, Gibraltar, or Malta to visit their “home office.”
These remote sites are generally allowed by the 2005 U.K. law. In the United States, however, these rules are more strict. A recent U.S. appellate court decision states that a Web-based gambling site does not violate state laws. Legal minds encourage gamblers and other interested parties to keep an eye on the matter.
Others have turned their attention to legalized gambling and suggested that it might be the key to economic recovery in America. Their argument centers on examples like established lotteries that are run by different states. These revenues, along with the government revenue from land-based and riverboat casinos, can be a key to economic recovery in the United States.
More than 100 lawyers who work for Internet gambling laws common sense are part of this effort. This group of lawyers is charged with ensuring that the Internet/World Wide Web remains free from government interference.
Bob Ciaffone is a recognized expert on gambling and poker in particular and the transition to online gaming. He believes that regulation of Web-based gaming should be less competitive than the U.S. to ensure that legal gambling states can benefit from it. His plan would mirror the U.K.’s 2005 regulations. Ciaffone strongly urges U.S. lawmakers not to separate Internet gambling laws from the Wire Act, established 40 years ago to regulate illegal gambling over the phone.
Ciaffone essentially says that while the UIGEA tried to do the right things, it did so in all the wrong places. According to Ciaffone, the restrictions have seriously limited what could have been a significant revenue source with proper regulation.
Take a look at this statement by Doyle Brunson, the most well-known poker player in the World. Although his comments are specific to poker, they can be easily applied to all Internet gambling laws. In essence, he said that his company received excellent legal advice, which indicated that Internet poker was not “expressly illegal.”He encouraged U.S. poker players to study the laws in their state.
This report only touches on the main points of an enormous and complex subject. However, many sources provide details for each state.