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Well, let us start with the most basic thing, the absence of prohibition. The Wire Act of [5] was passed in order to give law enforcement additional tools to go after the Mafia, which at that time dominated the illicit bookmaking trade. Any activity that is not specifically prohibited by law is, by default, legal to engage in. A lower court dismissed the case, ruling that the debts were valid and had to be paid off. Basically, what you have is a bunch of issues that have not been adequately addressed or have not been addressed at all by state and federal legislatures and lawmakers. Fortunately for us all, the casino lobbyists β€” with their underhanded tactics, deceptions, and attempts to infringe upon the rights of American citizens to engage in legal activities in the privacy of their own homes β€” have failed miserably. UIGEA was their chosen tactic. The DoJ has appealed this decision, and we might have to wait awhile until a final determination is made, but for now, it looks as though the Wire Act will remain a non-issue as far as online poker is concerned. In theory, the same is true of offshore brands as well. When internet gaming came to be in the late '90s, it was a hitherto unimagined type of wagering that the framers of the Wire Act could not have possibly predicted. As an aside, what got Todd Lyons for whom the case was named and his co-defendant Daniel Eremian in trouble was that they were conducting their illicit business while located within the United States. This question as to whether the Wire Act applies solely to wagering on sporting contests or encompasses a broader array of gaming activities has been revisited several times since then. What happened was that two men were convicted of booking sports bets across international boundaries from customers within the United States. This decision was cheered by fans of real money online gaming because it meant that casino, poker room, bingo, and lottery transactions could be performed over the internet legally. Innovative payment solutions, like Bitcoin, have enabled international gaming sites to perform an end run around the moribund financial services industry. There's one thing that is certain about the Wire Act, and it's in fact so critical to a proper reading of this law that the first few words of the statute spell it out unambiguously:. They were some of the biggest names in the industry at that time, including such recognizable websites as PokerStars. As such, it is perfectly legal to play from the comfort of one's own home in almost every US state and territory. This is what allowed the police to search their belongings and property in the first place and build a case against them. Online poker in the United States of America is a fairly complex subject. This raises the question of the Federal government and what powers they have to fight online poker. If you're interested in our recommendations for the best U. These two unscrupulous senators, Bill Frist R, Tenn. To be more specific, Illinois and New York were toying with the idea of selling lottery tickets online and were curious if their plans would be impacted by the Wire Act's provisions. Almost always, what the courts say takes precedence over what the Department of Justice and prosecutors think. Confusing matters even further, the statutes on the books often contain different text pertaining to horse racing, casino table games, slot machines, charitable bingo, social gaming, lotteries, and of course poker and other card games. But if you're not really interested in the technical nitty-gritty and just want to get into a game, then check out our picks for the best online poker sites available to Americans for legal, real money play:. In September , Kentucky moved to seize more than domain names of sites that it claimed were offering illegal gambling to its residents. Nevertheless, the FBI and government prosecutors have attempted to use it to go after offshore gambling outfits based on the idea that the internet is a type of wire communication. District Court declared that the Wire Act only prohibits sports betting-related actions and has nothing to do with poker or casino wagers. Pointing out that the types of gambling the plaintiffs participated in did not include sports betting, the court wrote:. Of course, since that time, our foresighted leaders in Washington, D. Luck Debate 4. There are no two ways of reading that statement. If they attempt to partner with their peers in other states, then the determination as to whether or not poker and casino play is excluded from the Act's remit is a very important one for their business prospects. This legislation doesn't even identify what counts as disallowed online gambling, instead relying on other statutes to give it teeth β€” the same statutes that, as we have remarked about above, exist in a confused, disjointed, and unclear state! If you would like to educate yourself on the internet poker laws that are in effect in your state, then browse over to our individual state law reviews where you will find not just legal info but also an overview of the best sites available to you, a history of gambling in your state, a description of the live gambling options that are available in your location, and more. Here we see the expansion, in the government's eyes, of the Wire Act to cover not just sports betting but also casino games and presumably every other type of gambling too. This is an area that involves old laws that were never enforced, new laws that were snuck into the law books by unscrupulous politicians, underhanded land-based casino lobbyists, personal freedoms, constitutional rights, intrigue, and even murder! Note how the law has nothing to do with players or the operators and does not actually restrict the play of everyone's favorite card game online. If you want to know the reasoning by which we arrived at our belief that online poker USA is legal, then keep reading for an explanation of the various state and federal laws that treat with the subject of poker as conducted over the internet, key court decisions on this subject, and other rationales for thinking that virtual poker is A-OK under the relevant statutes. In one of the earliest decisions that tried to clarify the scope of the Wire Act, the 5th Circuit Court of Appeals made a judgment in the case In Re Mastercard. That's right β€” you have to be directly involved in betting as a business, e. Black Friday 3. Fortunately, lottery operators went to bat for the entire internet gambling community again. We've just demonstrated that the various state laws pertaining to internet poker are a patchwork quilt of obsolete and vague rules that almost certainly would be thrown out of court if any moralistic prosecutor were to actually try to bring a case against players. Luckily there are plenty of reputable, offshore-regulated sites that still provide games to Americans like you. Much of the public confusion stems from misinterpretations of existing laws. As an ordinary player, you have nothing to fear whatsoever from the Wire Act. The compilation of this page required over a thousand hours of research, and the maintenance involved in keeping up with all the laws surrounding legal poker sites requires hundreds more hours every year. Owens, Jr. The main goal of UIGEA was to underhandedly shut down real money online poker while the major US casinos played catch-up to their offshore brethren. They thought it was only a passing fad; the unscrupulous lobbyists needed a stop-gap measure in order to come up with plans to infiltrate this multi-billion dollar industry. And as we noted earlier, regular players are exempt from the Wire Act and its penalties, so they can play at their choice of online poker site without worry. The fact that certain sections of it were written in a convoluted fashion and were subject to multiple interpretations didn't help to resolve exactly what kinds of gambling it pertained to.

Playing poker online for real money is a vastly complicated subject especially as far as the legalities are concerned. We'll endeavor to educate you on the legality of online poker and its topsy-turvy, year history. We'll discuss them below. Poker Skill vs. You see, domestic casinos had greatly underestimated the potential market size of online gambling for real money.

After initial partial victories for Kentucky in lower-level courts, reversals at higher tribunals, questions about standing, appeals, and other legal minutiae, those cases were settled in favor of the gaming sites [14] in without continue reading criminal wrong-doing admitted by any parties.

UIGEA is in no way directed at private citizens. In January , the Department of Justice revealed that it had changed its mind and reversed its guidance. Originally, under the Constitution drafted by the Founding Fathers, the national government had strictly limited powers, and it didn't deal with gambling, leaving such matters to the states. Upon appeal, the court of appeals for the 5th circuit upheld this decision. However, in practice, these organizations are housed in far-off countries, and so they're beyond the reach of the FBI and other three-letter agencies. Had they chosen instead to avoid setting foot within the country, they likely would have gotten off scot free. How can we be so sure of our opinion, you ask? The only state with a specific legal restriction regarding online poker is Washington State although this two decade-old law has not once been enforced and may not be eligible to be enforced due to legal desuetude. The question of the Wire Act possibly covering forms of wagering online beyond mere betting on sports was of interest to several state lotteries. While the UIGEA has proven to be an irritation to them, particularly as regards being able to conduct real money transactions with U. Conclusion 7. That is our conclusion after taking a look at the laws that have been drafted and the legal precedents that have been set. Changing Legalities 6. To obtain guidance on this matter, the two states sent an inquiry to the DoJ for clarification in December The DoJ issued its opinion two years later in September Thus, we can see that, although not asked to comment directly on poker, the DoJ opined that the scope of the Wire Act is confined solely to sports betting. Ironically, or maybe not so much the same entities that are doing their best to comply with U. Now let's examine a few of the court cases where these laws β€” and others β€” have been put to the test. We've gone over some of the important legislation that could intersect with real money online poker and have concluded that there's little to worry about at least from the perspective of the everyday player. Many potential players mistakenly believe that it is illegal to play in the USA β€” a belief that is simply untrue! The court disagreed with them and found that it was clear from the evidence presented that the defendants had committed the crimes alleged. FAQ 8. Esteemed California gaming attorney Martin D. UIGEA makes the knowing processing of deposits to illegal online gambling sites forbidden for banks. The Federal government made a tacit admission of this fact when it announced that it would not prosecute anyone under the terms of its new Wire Act interpretation until or until a final resolution is reached in the New Hampshire litigation. But you don't have to just take our word for it. Once this law was on the books, it began to be applied to all sorts of situations not intended by its authors. If you take the time to read through the legal statutes in each state, you will find exactly what we, high-dollar gaming attorneys, and legal researchers have all found, i. They appealed arguing that the government had failed to establish that the wagers they accepted involved sports. Furthermore, most states have not updated their gambling laws in decades, and thus their laws were created before the internet was even invented! Despite this document only becoming publicly available in early , it's dated November This is bad news for state-regulated poker in particular because it means that agreements to pool player liquidity among different licensing jurisdictions, like the Multi-State Internet Gaming Agreement, [9] would become illegal. It's an explicit ruling that the Wire Act is concerned only with sports gambling. We have written about UIGEA in great depth and you can read more about it here if you are so inclined. This is a thorough, well-researched guide. You see, almost no states have laws on the books that cover online poker. One of the oddities of the way the Wire Act is used in practice is that it's really only state-licensed online gaming sites that have anything to worry about. State-Licensed Online Poker 5.