Wall Street Journal Picks Up On Kentucky Domain Seizure Case

Submitted by C Costigan on

Written by :

C Costigan

Published on :

The Wall Street Journal blog offered up the following headline in its coverage of a Kentucky online gambling domain case whereby that commonwealth plans to seize some 141 URLs during a scheduled November 17 forfeiture hearing.

It's the latest example of how local governments can affect online businesses with physical operations beyond their jurisdictions, the Wall Street Journal points out.

It is common to think of the Internet as a global network that transcends geography. But online entities are often forced to adhere to laws in the places where they do business. One iconic example is a ruling by a French court in 2000, where the court said a French law banning the sale of Nazi paraphernalia applied to U.S.-based Web site Yahoo.

In the Kentucky case, Circuit Court Judge Thomas Wingate concluded that gambling Web sites were "virtual keys" that provided access to places where one could play online versions of gambling devices such as slot machines and roulette tables, which are illegal in the state.

None of the online businesses-such as GoldenPalace.com, PokerStars.com and UltimateBet.com-are based in Kentucky or rely on technical equipment located in the state. Still, the sites readily accept bets placed by users in Kentucky and process payments from banks based there. That is what triggered Judge Wingate to seize control of the Web addresses.

Groups affiliated with the online casinos are worried about the precedent the ruling sets. "If you're a business operator, you should be subject to the laws where you do and pursue business, and not have to worry about a state halfway around the world taking away your storefront," says Jeremiah Johnston, president of the Internet Commerce Association, which monitors legal matters for online businesses. He adds that there is no reason that other governments couldn't use the same technique to challenge online businesses for whatever reason they choose.

Something else we derived from the piece is that Moniker Online Services will likely comply with the Kentucky ruling. An attorney for Moniker subsidiary Oversee.net said that many of the registrars are based in the U.S. even if the Web sites aren't, meaning that they have to comply with the court's order. Moniker has two of the 141 online gambling domain names.

----

Christopher Costigan, Gambling911.com Publisher

Related Content

22 key House and Senate Race Odds 99 Days Before Midterms

22 key House and Senate Race Odds 99 Days Before Midterms

With 99 days remaining until the 2026 midterm elections, control of Congress hinges on 18 true toss-up House races and four critical Senate contests.
Top Gambling News Stories for Monday July 27, 2026

Top Gambling News Stories for Monday July 27, 2026

Gambling911.com is honing in on Jackson Koivun ahead of the upcoming Rock Classic golf tournament after his big win having only played in three professional tournaments. Bookmakers are most certainly envisioning a Tiger Woods effect.
Mohamed Salah Next Club Besiktas Odds as BetFair Still Had Him at 1-100 Going to Saudi Arabia

Mohamed Salah Next Club Besiktas Odds as BetFair Still Had Him at 1-100 Going to Saudi Arabia

Mohamed Salah has an ‘agreement in principle’ to join Besiktas after leaving Liverpool with the Turkish side ‘confident’ they will finalise a deal in the ‘next days’, according to reports.
Prediction Market News July 27, 2026

Prediction Market News July 27, 2026

Jackson Koivun chances to win the next golf tournament, The Rock Classic, were second shortest at prediction markets after he went on to win the 3M Open in stunning fashion. It was only his 3rd pro appearance. Plus "Spider-Man: Brand New Day opening box office weekend total trading is now available.