Maryland Law Exempts Fantasy Sports from Gambling Prohibition

Print Friendly, PDF & Email

blogpost3-18In early May, the Governor of the State of Maryland signed into law a bill that exempts certain online fantasy sports games from that State’s gambling prohibitions. The new law authorizes the state Comptroller to issue implementing regulations to be used in establishing the parameters of permitted fantasy sports activity, and the provisions themselves won’t go into effect until October 1, 2012.

The law relies on a similar definition of “fantasy sports” as found in the 2006 Unlawful Internet Gambling Enforcement Act (“UIGEA”). This means that, in order to fall within the law’s exception provisions, the fantasy sports games must have an outcome that reflects the relative knowledge of the participants (but not chance), determined predominantly by accumulated statistical results of athletes competing in real-world sporting events.

Further, all fantasy sports league prizes must be established and made known to the participants in advance of the contest and their value cannot be influenced by the amount of fees paid by, or the number of, participants.

Lastly, all winning outcomes must be determined predominantly by accumulated statistical results of multiple athletes participating in multiple real-world sporting events. No winning outcome may be based on the score, point-spread or any performance or performances of any single team or any combination of such teams. In addition, no winning outcome may be based solely on any single performance of an individual athlete in any single event or game.

If you are interested in learning more about this topic or pursuing a venture in this area, please feel free to contact us.

David O. Klein

David O. Klein

David Klein is one of the most recognized attorneys in the telemarketing, technology, Internet marketing, sweepstakes and telecommunications fields. Skilled at counseling clients on a broad range of technology-related matters, David Klein has substantial experience in negotiating and drafting complex licensing, marketing and Internet agreements.

Schedule a Call
In The Know

Trending Topics

Creating a Viral and Legally Compliant "Pin to Win" Contest- Klein Moynihan Turco

Creating a Viral (And Legally Compliant) “Pin to Win” Contest

Print Friendly, PDF & Email

We have frequently written about the marketing benefits associated with the use of promotional contests and sweepstakes.  Promotional contests and sweepstakes often appear on social media platforms, which provide companies with a free and effective means to increase the number of consumers participating in their respective contests. While companies must

Facebook Decision defines a TCPA Autodialer- Klein Moynihan Turco LLP

Facebook Aftermath: Courts Clarify Definition of TCPA Autodialer

Print Friendly, PDF & Email

On April 1st, the U.S. Supreme Court released its opinion in Facebook, Inc. v. Duguid, marking a newly clarified definition of “autodialer” within the meaning of the Telephone Consumer Protection Act (“TCPA”). In the two weeks that followed, two federal courts have directly addressed the definition of TCPA autodialer as

Critical Role that TCPA Plays in Outbound Telemarketing- KMT

The Critical Role that the TCPA Plays in Outbound Telemarketing

Print Friendly, PDF & Email

If you’re running any sort of outbound telemarketing campaign – phone calls, voicemail drops, or text messaging – you need to understand the Telephone Consumer Protection Act (TCPA) and its enabling regulations. Call center operators are not the only businesses that employ outbound telemarketing to reach out to consumers. Using

How to Use Promotional Marketing the Legal Way: Klein Moynihan Turco LLP

How To Use Promotional Marketing The Legal Way

Print Friendly, PDF & Email

The use of promotional contests, games and sweepstakes marketing can be a dynamic and cost-effective way to increase sales, build a database of interested consumers and otherwise increase brand awareness and buzz. Consumers are more easily attracted to your marketing message by the opportunity to win prizes than with more

Share on facebook
Share on google
Share on twitter
Share on linkedin