Thursday, August 23, 2012
Legality Of Online Sports Betting In United States
By George Smith
At present, online sport betting is now a fascination for many, with more and more people indulging in this type of online gambling than in other classic gambling games. Betting is now a worldwide phenomenon with most countries establishing laws to legalize and regulate it. The picture is always going to be a bit cloudy because of the disagreement regarding what law actually states until the online cleared up. The legality of Internet sports gambling can seem to be a complex issue for residents of the United States and for good reason. To better comprehend the legality question, it's best to look back at some history of anti-gambling laws. Moreover, for a couple of years the United States argued against the lawfulness of Internet sports betting by citing the Interstate Wire Act, which was passed to prohibit sports gambling between states by using the telephone or other wire-containing devices.
Sports gambling between states by using the telephone or other wire-containing devices were banned by citing the Interstate Wire Act in the United States for many years. Furthermore, the Internet had yet to be invented, a number of legal experts questioned if the law pertained to the Internet or not. Even more, the other question that arose from the Wire Act were if it pertained to all forms of betting or just wagering on sporting events. In 2002, the 5th U.S. Circuit Court of Appeals preserved a ruling in Louisiana that dismissed a lawsuit brought by two Internet gamblers against credit card companies after running up debts by placing bets on casino games. In the dismissal, the court ruled the Wire Act was only pertinent to sporting events.
In contrast, the United States Justice Department understood things in a different manner and stated that the Wire Act related to all forms of Internet sports gambling. The U.S. District Court for the Middle District of Louisiana agreed. However, in dismissing a 2004 case against the Justice Department brought by the operators of Casino City, a website that serves as a portal to betting sites. The 5th Circuit U.S. Court of Appeals upheld the dismissal.
Likewise, just before taking recess in 2006, Congress passed the SAFE Port Act, which was written to increase security of U.S. Port, but attached to the SAFE Port Act was the Unlawful Internet Gambling Enforcement Act, which bans Americans from using credit cards, electronic funds transfers, or checks to fund Internet gambling activity. It's essential to note, the act deals only with how Internet betting accounts are funded, not the actual gambling. The bill is centered on restricting certain financial transactions, requiring that banks identify and block transactions going through their servers and their systems, and requiring that the actual sites, the Internet betting sites, handle these transactions. In contrast, on December 21, 2007, the WTO (World Trade Organization) awarded Antigua and Barbuda $21 million in trade sanctions, which will give the country of 80,000 the right to penalize U. S. trademark and copyright laws. The United States accepted that its stand on Internet gambling was in violation of the WTO, but claimed Antigua should get less than $1 million. Further altering things, at least as far as it concerned the WTO, was that the U.S. allows Internet betting on horse racing within the country, and Antigua's trade sanctions will be allowed to go on until the U.S. allows Americans to bet with foreign gaming operators, or eliminates off-track wagering on the Internet.
In conclusion, the U.S. has also made some minor trade concessions to some countries, as well as the European Union, to exclude gambling services from a previously signed agreement in 1994 by revising the original agreement. At present, with great efforts to offer favorable services and features that offer excellent gaming experiences, people are responding positively.
Sports gambling between states by using the telephone or other wire-containing devices were banned by citing the Interstate Wire Act in the United States for many years. Furthermore, the Internet had yet to be invented, a number of legal experts questioned if the law pertained to the Internet or not. Even more, the other question that arose from the Wire Act were if it pertained to all forms of betting or just wagering on sporting events. In 2002, the 5th U.S. Circuit Court of Appeals preserved a ruling in Louisiana that dismissed a lawsuit brought by two Internet gamblers against credit card companies after running up debts by placing bets on casino games. In the dismissal, the court ruled the Wire Act was only pertinent to sporting events.
In contrast, the United States Justice Department understood things in a different manner and stated that the Wire Act related to all forms of Internet sports gambling. The U.S. District Court for the Middle District of Louisiana agreed. However, in dismissing a 2004 case against the Justice Department brought by the operators of Casino City, a website that serves as a portal to betting sites. The 5th Circuit U.S. Court of Appeals upheld the dismissal.
Likewise, just before taking recess in 2006, Congress passed the SAFE Port Act, which was written to increase security of U.S. Port, but attached to the SAFE Port Act was the Unlawful Internet Gambling Enforcement Act, which bans Americans from using credit cards, electronic funds transfers, or checks to fund Internet gambling activity. It's essential to note, the act deals only with how Internet betting accounts are funded, not the actual gambling. The bill is centered on restricting certain financial transactions, requiring that banks identify and block transactions going through their servers and their systems, and requiring that the actual sites, the Internet betting sites, handle these transactions. In contrast, on December 21, 2007, the WTO (World Trade Organization) awarded Antigua and Barbuda $21 million in trade sanctions, which will give the country of 80,000 the right to penalize U. S. trademark and copyright laws. The United States accepted that its stand on Internet gambling was in violation of the WTO, but claimed Antigua should get less than $1 million. Further altering things, at least as far as it concerned the WTO, was that the U.S. allows Internet betting on horse racing within the country, and Antigua's trade sanctions will be allowed to go on until the U.S. allows Americans to bet with foreign gaming operators, or eliminates off-track wagering on the Internet.
In conclusion, the U.S. has also made some minor trade concessions to some countries, as well as the European Union, to exclude gambling services from a previously signed agreement in 1994 by revising the original agreement. At present, with great efforts to offer favorable services and features that offer excellent gaming experiences, people are responding positively.
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