Online Gambling: Is it Legal?

The growth of online casinos has raised a number of serious questions regarding the legalities of gambling on the internet. This article will attempt to address the concerns and answer some of the questions which we often hear. For example, people often want to know am I breaking the law by playing online poker? Quite typically it is a legal murky area, and requires a positive outlook and a tolerance for the interpretation of legal statutes - something that not all of us are equipped to do.

In the United States, gambling legislation falls under the jurisdiction of the State. While many states expressly forbid gambling of any kind, no one has ever been charged, brought to trial, convicted, or sentenced for any kind of online gambling offence. Thus, there are no legal precedents with which to work, and the service remains open (and thriving) to all US citizens. At the time of writing, there appears to be nothing - legal or otherwise - to stop people from playing online poker for money.

A few years ago there was an attempt to lump online gambling in with the 1961 Wire Act, which forbids placing sports bets over the telephone. It states that "whoever is engaged in the business of betting or wagering knowingly uses a wire communication facility for the transmission in interstate or foreign commerce of bets or wagers or information assisting in the placing of bets or wagers on any sporting event or contest, or for the transmission of a wire communication which entitles the recipient to receive money or credit as a result of bets or wagers, or for information assisting in the placing of bets or wagers, shall be fined under this title or imprisoned not more than two years, or both". In a controversial case citing this act, Justin Ware, the founder of the World Sports Exchange, was sentenced to 21 months in a federal prison. Ware appealed to Supreme Court, who chose not to review the case and upheld the decision.

But owning and operating an online gambling service and simply playing on one is not the same thing, and it flies in the face of all logic to pursue any one of the thousands of US citizens who visit online casinos daily. Until a nationwide decision in legislature is made, the online gambling business will continue to thrive.

The bulk of opposition to online gambling comes from the United States, as there are several prominent politicians who would like to see a complete ban. The motives are questionable however, and a lot of people speculate that these sites merely pose a threat to their established business. After all, very few are proposing the abolishment of gambling straight across the board. The gambling laws in the United Kingdom are quite lax, as are the rest of Europe. In November 2004, the Caribbean island nation of Antigua and Barbuda won a World Trade Organization ruling that the US's criminalization of online betting violates global laws.

If you are worried that you may be breaking the law by playing for money online, consider the fact that at the moment there is no legal precedent for the violation. Unless you are operating a gambling site in one of the states where it is legal, or you are involved in sports betting, you have nothing to fear.

Disclaimer: This site and its editors are not a legal authority. In no way should the information presented here be regarded as formal legal advice. All of the information given on these pages has been taken from several assorted news releases and articles and its accuracy is not guaranteed. For more accurate and formal information considering the legality of online poker, consult the specific laws of the area in which you reside or jurisdiction in which you are playing.

18-Jan-2006, 07:02

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