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Growing Number of States Consider Legalizing Sports Gambling

Author: Scarinci Hollenbeck, LLC

Date: April 1, 2013

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A recent court ruling that barred New Jersey from legalizing sports gambling should have served as a lesson for other states, but many states have become emboldened by the court’s decision and are contemplating allowing sports betting regardless of the ban.

For example, Illinois recently announced that it is considering a measure to allow betting on several sports, and California lawmakers may reintroduce a sports gambling bill that the State Senate passed last year, according to the New York Times.

As more states follow New Jersey’s example, college and professional leagues – which argue that the laws violate federal sports law – are watching closely. The NCAA, NFL, NHL, NBA and MLB were the first to file suit when New Jersey legalized sports betting, arguing that it would “irreparably” corrupt the integrity of sports in the U.S.

Meanwhile, New Jersey has already filed an appeal to the court decision, noting that many states – such as Nevada – currently allow sports betting, and that the laws are not being applied uniformly. As more financially distressed states contemplate sports betting as a way to generate income, they will likely be closely monitoring the outcome of the New Jersey appeals case.

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