NJ Sports Betting Bill II to be Introduced Thursday: Leagues Cry Foul

Written by:
C Costigan
Published on:
Sep/30/2014
New Jersey Sports Betting Bill II to be Introduced Thursday

Just days ahead of New Jersey state senator Raymond Lesniak’s anticipated introduction of a new sports betting bill, the professional sports leagues have decided to sue the Garden State for Governor Chris Christie's decision to permit legalized sports wagering absent of any law.

The leagues won’t have any of this, however, claiming that New Jersey is in violation of the Professional and Amateur Sports Protection Act. ("PASPA").

In the main portion of their opposition brief, the Leagues characterize New Jersey's implied repeal argument as both "improper" and "disingenuous," pointing to the plain language of the Sports Wagering Law, the two prior court rulings, statements made in the defendants' prior court filings, and the recent unsuccessful legislative repeal efforts.

All the leagues have condemned a decision to permit sports betting at New Jersey's racetracks and casinos.

Lesniak wants it all on the books.

Here is a sneak peak into Lesniak’s bill:

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“AN ACT partially repealing the prohibitions, permits, licenses, and authorizations concerning wagers on professional, collegiate, or amateur sport contests or athletic events, deleting a portion of P.L.1977, c.110, and repealing sections 1 through 6 of P.L.2011, c.231.

BE IT ENACTED by the Senate and General Assembly of the State of New Jersey:

1. (New section) The provisions of chapter 37 of Title 2C of the New Jersey Statutes and chapter 40 of Title 2A of the New Jersey Statutes together with the rules and regulations that may require any State agency to license, authorize, permit or otherwise take action to allow any person to engage in the placement or acceptance of any wager on any professional, collegiate, or amateur sport contest or athletic event, or that prohibit participation in or operation of a pool that accepts such wagers, are repealed to the extent they apply or may apply to persons 21 years of age or older either at a running and harness horse racetrack operating in this State or inside an Atlantic City casino.

2. (New section) The State of New Jersey is hereby exempt from the provisions of section 2 of an Act entitled “An act to prohibit transportation of gambling devices in interstate and foreign commerce” designated as 15 U.S.C. s.1171-1177.

3. (New section) The provisions of this act, P.L. , c. (C. ) (pending before the Legislature as this bill) are not intended and shall not be construed to authorize, license, sponsor, or promote the placement or acceptance of any wager on any professional, collegiate, or amateur sport contest or athletic event but, rather, are intended and shall be construed to repeal State laws prohibiting and regulating the placement and acceptance of wagers on professional, collegiate, or amateur sport contests or athletic events by persons 21 years of age or older at running and harness horse racetracks operating in this State or inside an Atlantic City casino.

4. Section 24 of P.L.1977, c.110 (C.5:12-24) is amended to read as follows:
24. “Gross Revenue”– The total of all sums actually received by a casino licensee from gaming operations, [including operation of a sports pool,] less only the total of all sums actually paid out as winnings to patrons; provided, however, that the cash equivalent value of any merchandise or thing of value included in a jackpot or payout shall not be included in the total of all sums paid out as winnings to patrons for purposes of determining gross revenue. “Gross Revenue” shall not include any amount received by a casino from casino simulcasting pursuant to the “Casino Simulcasting Act,” P.L.1992, c.19 (C.5:12-191 et al.).
(cf: P.L.2011, c.231, s.7)

5. Sections 1 through 6 of P.L.2011, c.231 (C.5:12A-1 through C.5:12A-6) are repealed.

6. This act shall take effect immediately.

STATEMENT

This bill implements the decision of the United States Court of Appeals for the Third Circuit in National Collegiate Athletic Association v. Governor of New Jersey, 730 F.3d 208 (3d Cir 2013), wherein the court in interpreting the Professional and Amateur Sports Protection Act of 1992 (PASPA), 28 U.S.C. § 3701 et seq., stated that it does “not read PASPA to prohibit New Jersey from repealing its ban on sports wagering.” National Collegiate Athletic Association, 730 F.3d at 232. The court further stated that “it is left up to each state to decide how much of a law enforcement priority it wants to make of sports gambling, or what the exact contours of the prohibition will be.” Id. at 233 (emphasis added). Moreover, the United States in its brief submitted to the Supreme Court of the United States in opposition to petitions for writs of certiorari in the above-referenced case wrote that “PASPA does not even obligate New Jersey to leave in place the state-law prohibitions against sports gambling that it had chosen to adopt prior to PASPA’s enactment. To the contrary, New Jersey is free to repeal those prohibitions in whole or in part.” United States Brief to the Supreme Court in Opposition to Petitions for Writs of Certiorari (Nos. 13-967, 13-979, 13-980), dated May 14, 2014, at 11 (emphasis added).

Partially repeals prohibitions, permits, licenses, and authorizations concerning wagers on professional, collegiate, or amateur sport contests or athletic events.

- Chris Costigan, Gambling911.com Publisher

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