Legalizing Sports Gambling

Legalizing Sports Gambling

Stephanie Harrison,  JD

In most states, betting on sports is banned by federal law. This Spring, the Supreme Court will be deciding if a law from 1991, which prohibited any state that did not already have sports gambling from approving it, will be overturned.

If this law is overturned, this could mean a new stream of income for any states who choose to legalize sports gambling. If the Supreme Court decides the Professional and Amateur Sports Protection Act is unconstitutional, states will be free to implement and regulate online and in-person sports gambling. Though, there is also a possibility that the Supreme Court rules more narrowly, not finding the entire Act unconstitutional, but instead just opening up the ability for statues to allow for in-person gambling.

Although many states support the overturning of the Act, major sports associations are also asking legislators for part of the profits. In their proposal, sports associations have been asking for an “integrity fee” (or a royalty), which is 1% of every dollar wagered, that would go to the league of the game being wagered on.

While the impact of this does not seem important to many individuals, this will make the workplace betting pools finally legal. Many workplaces refuse to allow any popular social activities such as fantasy leagues or bracket pools due to the illegality of betting in most states. If the Supreme Court overturns the law, workplaces could embrace the activities without fear of repercussions.