ARTICLE
17 November 2015

Massachusetts' Governor Plays Fantasy Sports, Deems Contests Games of Skill

KM
Klein Moynihan Turco LLP

Contributor

Klein Moynihan Turco LLP (KMT) maintains an extensive practice, with an international client base, in the rapidly developing fields of Internet, telemarketing and mobile marketing law, sweepstakes and promotions law, gambling, fantasy sports and gaming law, data and consumer privacy law, intellectual property law and general corporate law.
Massachusetts Governor Charlie Baker has definitively come down on the side of fantasy sports. Last week, the Governor announced that to get a sense of what fantasy sports contests are all about, he participated in an online contest and believes the contests to be legal games of skill.
United States Media, Telecoms, IT, Entertainment

Massachusetts Governor Charlie Baker has definitively come down on the side of fantasy sports. Last week, the Governor announced that to get a sense of what fantasy sports contests are all about, he participated in an online contest and believes the contests to be legal games of skill.

What are the potential implications of the Governor's announcement?

The Governor's announcement follows a recent development, on which we have previously blogged, involving the Massachusetts' Attorney General's determination that there are no federal or state laws that prohibit fantasy sports websites from operating within the State. In a win for the industry, Massachusetts Attorney General Maura Healey ultimately announced that her Office has no intention of pursuing any inquiries into Boston-based DraftKings, shutting down operators, or prosecuting any citizens who fear they may have otherwise been breaking State gambling laws. The Governor has now thrown his support behind the Attorney General's opinion, while also announcing that he is awaiting further guidance from the Attorney General regarding the State's regulatory environment before making a determination on whether the State may pursue some form of industry regulation.

Keep Your Fantasy Sports Venture Legal

As the fantasy sports industry, and the laws and regulations that govern it, continue to grow and evolve, it is essential that fantasy sports operators keep abreast of the developing legal landscape. In addition to the recent announcements coming out of Massachusetts, Washington State has announced possible legalization efforts, Illinois and California have indicated an inclination towards regulating the industry within their respective borders, and Congress has recently announced its intention to conduct fantasy sports-related hearings. Accordingly, operators should regularly review their respective contest platforms, entry fees, prize structures and marketing campaigns with knowledgeable counsel in order to effectively navigate this rapidly changing regulatory framework.

If you are interested in learning more about this topic or pursuing a fantasy sports venture, please e-mail us at info@kleinmoynihan.com, or call us at (212) 246-0900.


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