An unlikely group has come out against California’s proposed ban on sweepstakes casinos.
The Golden State is one of the latest states to move towards a ban. However, the American Civil Liberties Union has come out in support of the industry in California.
Assembly Bill 831 prohibits sweeps operators and suppliers in the state. Additionally, the bill bans celebrities from endorsing the platforms.
In California, the legislature hasn’t legalized online casinos. Thus, these platforms are the only non-offshore online poker options for California residents.
ACLU California Action expressed concern that too many residents of the state might run afoul of the law because of broad language in the bill
“AB 831 would ratchet up existing punishments for gambling,” the group noted. “Penal Code Section 330 generally prohibits individuals from gambling, punishable by up to six months of incarceration and a $1000 fine. Because of how broadly AB 831’s language sweeps, prosecutors may argue that anyone who participates in an online sweepstakes is directly or indirectly supporting the gambling platform.
“In essence, AB 831 would double the term of incarceration and increase the maximum fine by 2,500% for anyone engaging in online sweepstakes. As affirmed by the Federal Department of Justice, these increased punishments will not deter crime.”
Lawmakers Consider Changes
The Senate Governmental Organization Committee recently heard the bill. Some lawmakers expressed similar concerns to the ACLU’s. They noted the misdemeanor provision in the bill might need to be tailored toward operators rather than users.
Some also questioned whether the federal Unlawful Internet Gambling Enforcement Act (UIGEA) could help enforce legal actions against operators.
Along with two industry trade groups, other opponents of the bill include American Transaction Processors Coalition and the Association of National Advertisers. The social and Promotional Games Association (SPGA) welcomed the ACLU’s opposition.
“The SPGA is proud to stand alongside the ACLU, the Association of National Advertisers, and other partners in voicing concerns about AB 831,” an SPGA spokesperson said. “This diverse coalition, including civil liberties advocates, leading businesses, and industry groups, reflects a shared belief that the bill, as written, could have unintended consequences for lawful promotional practices without offering clear consumer protections.”
Some traditional gaming interests, such as the California Nations Indian Gaming Association and Sports Betting Alliance have backed the bill, arguing that the platforms are meant to circumvent gaming laws.
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