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Nelson Rose recently wrote a piece detailing why he believes the Court of Appeal was incorrect in ruling that New Jersey could not regulate sports betting in the state.
The widely respected gambling attorney writes that the Court ruling now, not only prevents New Jersey from regulating, it also affirms that New Jersey is prevented from deregulating.
Mr. Rose writes:
The main problem is the federal Professional and Amateur Sports Protection Act.
PASPA is one of the most radical federal laws ever enacted. It is the first, and I believe only, statute ever passed by Congress which prevents states from legalizing a form of betting. States, and not the federal government, have always had the sole power to determine what they want their public policies to be toward gambling within their borders. That is why Utah and Nevada can share a common border but one state has casinos and the other has no legal gambling whatsoever.
PASPA overrules the states. It makes it unlawful for “a governmental entity to sponsor, operate, advertise, promote, license or authorize by law or compact a lottery, sweepstakes or other betting, gambling, or wagering scheme based, directly or indirectly . . . on one or more competitive games in which amateur or professional athletes participate . . . or on one or more performances of such athletes in such games.”
The professional sports leagues and NCAA have filed suit to prevent New Jersey from legalizing sports betting. In response, some New Jersey politicians have questioned the sports league’s tie-ins with Daily Fantasy Sports, an activity they suggest is illegal sports betting under the guise of legal Fantasy Sports, which was a season-long skilled-based model at the time legislation was passed in 2006.
Read I. Nelson Rose’s take in its entirety here.
- Gilbert Horowitz, Gambling911.com
