Federal moves to regulate sports betting?

News on 16 May 2018

Sen. Orrin Hatch, the author of the restrictive Professional and Amateur Sports Protection Act which was struck down as unconstitutional this week by the US Supreme Court, has revealed that he is working on a new legislative proposal to involve Congress in the regulation of the sector, whilst respecting individual states’ rights to pass their own laws.

In a press statement Tuesday, Hatch said he plans to introduce legislation in Congress designed to reassert federal influence over the industry, which is expected to boom as individual US states implement their own sports betting legislation.

The statement notes: “At stake here is the very integrity of sports. That’s why I plan to introduce legislation in the coming weeks to help protect honesty and principle in the athletic arena. I invite stakeholders and my colleagues on both sides of the aisle to join me in addressing this important issue.”

“Congress will seize this opportunity to establish fundamental standards for sports betting that will uphold the integrity of the game,” the press release added, emphasising the need for the protection of consumers, problem gamblers and minors, but respecting the rights of US states to decide whether to implement their own intrastate legislation.

The senator showed his disdain for online activity by commenting:

“The rapid rise of the Internet means that sports betting across state lines is now just a click away. We cannot allow this practice to proliferate amid uneven enforcement and a patchwork race to the regulatory bottom.”

Whilst the brief statement was short on detail, most industry observers concluded that Hatch’s intention appears to be to set federal standards and regulations for liberalised sports betting, which has now become a fait accompli following the Court’s decision.

The Supreme Court does not appear to have placed any impediments on Congressional involvement, concluding: “Congress can regulate sports gambling directly, but if it elects not to do so, each State is free to act on its own.”

In related news, major sports leagues in the US which have for years vehemently opposed New Jersey attempts to liberalise the sports betting industry, waded in with pleas for Congressional involvement following the (for them) negative Supreme Court finding.

The largest of the leagues, the NFL issued a statement declaring:

“The NFL’s longstanding and unwavering commitment to protecting the integrity of our game remains absolute. Congress has long recognized the potential harms posed by sports betting to the integrity of sporting contests and the public confidence in these events. Given that history, we intend to call on Congress again, this time to enact a core regulatory framework for legalized sports betting.”

Around 14 US states, notably large regions like New Jersey and Pennsylvania, have either already created or are in the process of creating legislation to enable intrastate sports betting.

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