Online Gambling: KY Supreme Court Questions Standing

The Kentucky supreme court today issued a ruling that it will not lift the freeze by registrars of 141 Internet gambling domain names unless an owner of the names comes forward.

While not a final ruling by the Court, the decision is being viewed as a temporary setback by the affected parties. "In the written decision, the Court clearly indicates they agree with our arguments, and are inviting us to refile, so that the technicality of the standing issue can be resolved," said Joe Brennan, iMEGA chairman. "It's unfortunate, but I can't imagine that Kentucky's lawyers will celebrate a ruling that says ‘bring us an owner, so we can rule in your favor'".

iMEGA and the other affected parties, Interactive Gaming Council and Sportsbook.com, have up to 20 days to file a motion for reconsideration. In the ruling, the Supreme Court indicated that no additional briefs or oral arguments were necessary for them to consider the case, and that a petition could be made to the Appeals Court to move the case immediately back to the state Supreme Court.

"All along, it seemed the Court wanted to go our way, and this decision today indicates that is still the case," Brennan said. "The Court is telling us that all that is necessary is for one domain owner to come forward, and we likely win."

Brennan indicated that iMEGA would immediately set to work with the other parties to resolve the Court's issue, and would quickly file a motion to satisfy the court.

"We obviously would have preferred a complete, clean victory today, but reading the decision, it seems this is a technicality that is only delaying the inevitable," Brennan said.