News

Tennessee Governor signs daily fantasy sports bill into law

Tennessee Governor Bill Haslam has ratified legislation that legalises daily fantasy sports (DFS) in the state, after the bill was unanimously passed by the state’s House and Senate.

Senate Bill 2109, the Fantasy Sports Contest Act, establishes an advisory taskforce to study the game. It also creates the Tennessee Fantasy Sports Commission, a division within the Office of the Secretary of State, which takes responsibility for regulating DFS.

Operators must secure a licence or face prosecution for activity in the state, and will will be subject to a 6 per cent tax on net revenue.

DFS competitions will be restricted to players over the age of 18 with a maximum monthly deposit limit of $2,500.

The bill also establishes consumer protections, ensuring that data is secure, employees are banned from playing, problem gambling controls are enforced, and introduces new regulations for advertising.

SB2109 was signed by the Governor after being passed by the Senate, with 27 votes in favour and two against, while the house variant, HB2105, was passed with 67 votes in favour and 17 against.

The overwhelming support for DFS regulation in the Tennessee legislature comes despite the state’s Attorney General Herbert Slatery issuing an opinion earlier this month in which he ruled the game to be a form of illegal gambling.

Slatery said that fantasy sports contests fall within the broad definition of “gambling” under Tennessee Code Annotated § 39-17-501(1). He explained that with tournament entry fees, players were putting something of value at risk, with their chances of winning contingent on an element of chance outside their control, making it a form of gambling rather than a game of skill.

However, with Haslam signing SB2109 into law, his opinion has effectively been overruled, with the new legislation set to come into force from July 1st.

The move was welcomed by DraftKings. The DFS giant said in a statement: “Today, Tennessee became yet another state to enact a regulatory framework that allows residents to continue playing the games they love.

“We thank Governor Haslam for his leadership and the members of the legislature, especially Representative Pat Marsh and Senator Jack Johnson, who provided tireless guidance on this important issue. We will continue to work with legislators in other states across the country to implement appropriate consumer protections for our fans.”

GamingIntelligence

Back To All News

Tags: Curacao gaming licence,gaming licence,Financial Institution Licence,Payment Institution,Incorporation of company in Malta,Malta gaming licence,online gaming license,Incorporation of company in Bulgaria,E-Money licence

....................................