Presentation on the current legal status of online sports betting and the future prospectives.

1. Don’t bet against it!

2.  The ProfessionalAmateur Sports ProtectionAct
 (PASPA) was enacted by Congress in 1992

 PASPA makes it illegal to bet on professional
 and amateur athletics.

 Four states, Nevada, Oregon, Montana, and Delaware, were grandfathered in as
exceptions
 under PASPA because they had some form of sports wagering at the State level
at the
 time of enactment. (Nevada is unique in that it is the only State in the United
 States that has legalized licensed sports books, which comes under PASPA’s
 exceptions. (28 USC §3704)

3.  28 USC Section 3702, the main provision, provides that:
 It shall be unlawful for
 (1)a governmental entity to sponsor, operate, advertise, promote, license, or
authorize by law
 or compact, or
 (2) a person to sponsor, operate, advertise, or promote, pursuant to the law or
compact of a
 governmental entity, a lottery, sweepstakes, or other betting, gambling, or
wagering scheme
 based, directly or indirectly (through the use of geographical references or
otherwise), on
 one or more competitive games in which amateur or professional athletes
participate, or
 are intended to participate, or on one or more performances of such athletes in
such
 games.
 PASPA's only remedial scheme, found in Section 3703, allows a sports
organization or the
 United States Attorney General to seek injunctive relief if Section 3702 is violated:

4.  PASPA received opposition from Senator Chuck Grassley
of Iowa and also the Department ofJustice ("DOJ"),
because they felt that PASPA will be a "substantial
invasion" into states'privileges.
 Senator Grassley contended it would discriminate one of
the states since thegrandfathered states might have a
monopoly on sports gambling.
 The DOJ continued to state that "determinations of
methods to boost revenue have typicallybeen left towards
the states.“. Senator Grassley contended that “if the
professional sports leagues were trulyworried about the
chance of 'fixed' games [and] the integrity of professional
sports , they'd have searched for to stop the $1.8 billion
mind-to-mind sports wageringindustry in Nevada."

5.  The Professional andAmateur sports leagues havecomplained that
sports gambling ruins the integrity of the sports.They don't wantfans to
consider the “fix was in” whenever a questionable play
happens.However, since PASPA’s enactment, there has been several
instances of point shavingthat will lead someone to believe the integrity
of sport will be challenged,no matter whether sports gambling is legal.
 Among the greatest advocates of PASPA was Senator Bill Bradley,
formerprofessional basketball player and Nj Senator. Senator Bradley
was concernedthat condition-approved sports gambling would send the
incorrect message to children thatsports center around gambling instead
of achievement and sportsmanship.Senator Bradley also thought that
gambling would injure the integrity of sport byleading to fans to wonder
if a skipped shot or fumble was "fixed." He "thought that the harm that
condition-backed sports betting causes'-that's, threatening theintegrity
of sports within the eyes of both fans and youthful people-far
outweighed thefinancial advantages received.

6.  18 U.S.C. § 1084 -The Government Wire Act ("Wire Act")
forbids using wirecommunications in wagering on the
sports event.Together, PASPA and also theWire Act add
up to what seems to become a defacto prohibition on the
internet sportswagering.
 18 U.S.C. § 1952 -TheTravel Act - prohibits using the U.S.
mail, or interstate orforeign travel, with regards to
participating in certain specified criminal functions.
 31 U.S.C. §§ 53161-5367 -The Illegal Internet Gambling
Enforcement Act of2006 - forbids gambling companies
from knowingly accepting obligations inreference to the
participation of some other part of a wager or wager
thatinvolves using the web which is illegal under any
federal or condition law

7.  ThisYear, $2.88 billion was legally gambled in
Nevada’s sports books (Note:While roughly $2.88
billion was gambled this year, greater than 95 % ofall
bets placed were came back to patrons in winnings).
By June 2012, Nevadahas 216 legal sports books.
 The Nation's Gambling Impact Study Commission
(NGISC) believed that illegalwagers are around $380
billion gambled unlawfully yearly.
 Based on the Nevada Gaming Control Board, roughly
$93.9 million was gambled around the 2012 Super
Bowl at legalized sports books over the condition,
butthe majority of that figure was came back to
gamblers by means of winnings.

8.  Most states use lotteries to finance public education, economic
development, conditionparks and gambling problem treatment,
what exactly is wrong with legalized sports betting?
 Questions States OughtTo Be Asking:
 Is PASPA any excuses for the us government to thwart a State’s
capability to raiseits very own revenues?
 Does PASPA violate the Constitution’s tenth Amendment and also
the CommerceClause?
 Should PASPA be repealed for economic reasons? Could it be
outdated?Archaic?(Example to legalisation of marijuana at
condition level)Why shouldn’t States be free to setup their very
own taxing schemes fromsports wagering?

9.  ThisYear, NJ Condition. Sen. Raymond Lesniak (D) imagined a big
change that will mention to$100 million to condition coffers in
taxes, generate billions in betting, spark economicactivity, and
throw lifelines to casinos and also the equine-racing industry.
 "Our casinos suffer, our racetracks are dying, and ourcondition
budget needs revenues,«
 "Just how can Congress say to folks from the condition of
recentJersey, 'You don't have this right the individualsNevada do?”
Lesniak stated.
 He suggests, amongst other things, the federal law doesn't evenly
regulate commerce and it is excessively broad and vague.

10.  Nj congress have lengthy was adamant PASPA is unconstitutional
 November. 9, 2011 - Following a two-year lengthy effort, within the courts as well
as in the condition legislature, Nj votersextremely supported the start of legal
sports wagering in Nj.Voters approvedthe constitutional question with a final
margin of 65% for, 35% opposed.The bets might beplaced at equine tracks
throughout Nj and casinos in Atlantic City.
 Jan. 17, 2012 - Nj Governor Chris Christie signed into law a constitutional
amendment which willpermit sports wagering in the State’s casinos and race
tracks. Governor Christie signed the balance whichmay take effect once PASPA
continues to be overturned or repealed. Governor Christie made the decision that
ratherthan challenging PASPA in the court and seeking to overturn what the law
states, Nj will implement sportsgaming byThe month of january 2013.
 August 2012 - August the NCAA together with the National football league,
National basketball association, NHL, and Major league baseball, filed a suit in
federalcourt trying to stop Nj from applying sports gambling. Situation Number:
12-cv-4947

11.  December 21, 2012 - Based on a Wall Street
Journal report, US District JudgeMichael Shipp
agreed using the Nfl, Mlb,Basketball, Nhl, and
National CollegiateSports Association they
might suffer injuries if such gambling
werelegalized within the condition.
 Following, Governor Christie stated - “We plan to
move ahead and also to problem sportsgaming
licenses where appropriate, and also to have this
take place in our condition.”

12.  For that reasons mentioned within the Opinion filed about this
date, as well as for othergood cause proven,It's about this 21st
day's December, 2012, Purchased that:
 1)Litigants have shown standing which situation will
proceedtowards the merits”
 2) Defendants’ Motion to Dismiss (ECF No. 29) is Refused
 3) Defendants’ Mix Motion for Summary Judgment (ECF No. 76)
isRefused in to date because it challenges Plaintiffs’ standing4)
Plaintiffs’ Motion to Preclude the ExpertTestimony of Robert
D.Willig (ECF No. 98) is administratively ended as moot and5)To
start dating ? for dental argument concerning the constitutional
issues is going to bereleased afterThe month of january 20, 2013.

13.  Confronted with a mounting budget crisis, Delaware made the decision to
provide a larger rangeof sports betting games on non-Delaware sports occasions,
including individualgames in the professional and college level.The condition-run
betting operationwas set to start in September 2009.The 4 major professional
sportsleagues - baseball, basketball, football, and hockey - and also the National
Collegiate SportsAssociation sued to bar the Delaware sports betting operation.
 The Problem: if the federal law’s grandfather clause ought to be read broadly
topermit states to function an array of gambling options, or if theclause ought to
be read narrowly to authorize just the same wagering gamesoffered within the
condition between 1976 and 1990.
 The 3rd Circuit ruled the Delaware plan exceeded the narrow scope from
thefederal law’s grandfather clause.The condition could run exactly the same
games it went in1976 but might not expand individuals games or include new
games, the appealscourt ruled.The United StatesTop Court let stand an appeals
court ruling theDelaware’s intend to run an broadened sports betting operation is
barred with afederal antigambling law. - Markell v. Office from the Commissioner
of Baseball,et al.

14.  In Flager v. U . s . States Attorney for that District of Nj, a personal citizen of Njchallenged PASPA
for the reason it violated theTenth Amendment because "the energyto outlaw sports wagering
wasn't specifically granted to the us governmentInch through theMetabolic rate. A legal court
didn't address theTenth Amendment claim and ignored the situationholding the complaintant
didn't have standing. Situation Number: 2:2006cv03699, filed: August 7,2006, Nj District Court .In
Interactive Media Entertainment and Gaming Association, Corporation. v. Holder.
 Interactive MediaEntertainment and Gaming Association, Corporation. ("iMEGA"), Nj condition
senatorRaymond Lesniak, and also the Nj equine-racing industry sued from the U . s .States
Attorney General, Eric Holder, declaring that PASPA was unconstitutional and violatedthe very
first, Fifth,Tenth, Eleventh, and Fourteenth Changes additionally towards the EqualProtection &
Commerce Clause.The federal government searched for to dismiss the situation for
insufficientstanding and failure to condition claims.
 A Legal Court ruled the Complaintant didn't have standing which underneath the tenth
Amendment (theState’s express and implied reserved forces to manage matters affecting its
people includingthe raising of revenue) was restricted to america only and also, since Nj wasn't a
celebrationfor this suit, Complaintant doesn't have standing. (2011 WL 802106)

15.  April 26, 2012 - Repetition. Frank LoBiondo (R-NJ second) and
Repetition. Frank Pallone, Junior. (D-NJ sixth) have requestedpeople of
america House of Reps to aid two bills brought to roll back theFederal
prohibit on broadened condition-licensed sports betting.Inside a letter to
co-workers, Reps. LoBiondo and Pallone requested people to:.Support
H.R.3809, “the Nj Betting and EqualTreatment Act of 2012.,which seeks
”to exclude the Condition of Nj in the prohibition on professional
andamateur sports gambling”.
 Support and H.R.3797 - “the Sports GamingChanceAct of 2012. ,
whichwould amend Sections 178 ofTitle 28 USC to “permit a 4-year
period [for] States toenact statutes…[for] wagering schemes including
professional and amateur sports. Noaction was adopted either bill apart
from referral to Committee.Congress was requested to think about the
economical advantages of movingback the Professional & Amateur
Sports Protection Act of 1992

16.  Colorado's legalisation of marijuana campaign recommended money for college
construction.Advertisementsmarketed the measure using the saying, "Strict
Regulation. Fund Education." Conditionexperts project approximately $5 million
and $22 million annually inrevenue for Colorado. An economist whose study was
funded with a professional-pot groupprojects a $60 million boost by 2017, stated
Christopher Stiffler, an economist for thatnonpartisan Colorado Focus on Law &
Policy.
 Washington State’s campaign guaranteed to devote over fifty percent of
marijuana taxes tosubstance-abuse prevention, research, education and
healthcare. Washington Conditionexperts have created probably the most
generous estimate of methods much tax revenue legal potcould produce, at
nearly $2 billion over 5 years.
 Oregon's measure, referred to as CannabisTax Act, would devote 90% of
leisuremarijuana proceeds towards the state's general fund. Oregon's fiscal
experts haven't evensuspected in the total revenue, stating the numerous
questions natural inside a new marijuanamarket. They've forecasted prison
savings between $1.4 million and $2.4 million annually if marijuana use was legal
with no doctor's recommendation.

17.  On balance, the greater legal and policy arguments militate in support of
realizing theStates’ natural privileges reserved for them underneath the
Metabolic rate to enact laws and regulations to boostrevenues, and particularly,
laws and regulations permitting sports wagering.
 Exactly why is sports wagering sacrosanct towards the Federal PASPA laws and
regulations pre-empting the areawhen other casino gaming laws and regulations
and certification are consistently worked with in theparticular Condition level. If
marijuana sales is now able to legalizedCondition by Condition within
theirparticular discretion, isn’t legalized sports wagering a fortiori argument.
 Does Federal Policy developing a “back door” monopoly on sports wagering to
Nevadacasinos and sports books make sense at all?.The insurance policy clearly
impedes on the State’s privileges and encourages illegal sports wageringactivity
through “bookies” and sports wagering on the web.
 Given recent trends for states to workout their privileges to legislate their very
own ConditionGuidelines on other types of casino gaming, PASPA’s prohibitions
on sports wageringappear arbitrary, capricious and archaic and no more justified.

18.  http://www.officialsportsbetting.com
 https://www.facebook.com/pages/Online-
Sports-Betting/112932328761493
 http://twitter.com/osportsbetting
 http://google.com/+Officialsportsbetting