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Dec. 6, 2010: HOT OFF THE PRESS Reids New Langauge

Section 115(b): Preemption of state and tribal laws – “The provisions of this title shall supersede any provisions of the law of any State or tribe relating to Internet gambling facilities, including Internet poker facilities…” Section 115(f): Adds a new section to the Wire Act (18 USC 1084) that trumps not only the Wire Act, but also “any other provision of Federal law that establishes criminal penalties for any activity involved in placing, receiving, or otherwise transmitting a bet or wager shall not apply to any bet or wager that is permissible under the Interstate Horseracing Act or [this bill to legalize Internet poker].” In addition to the fact that this provision would preclude state AGs and DOJ from ever bringing a suit against the horseracing industry or the Internet poker industry, this language is so broad as to protect even illegal activity surrounding bets that are authorized under the Interstate Horseracing Act or this new Poker bill. Section 114: Trumps the recently-enacted Unlawful Internet Gambling Enforcement Act with respect to the requirements for horseracing. Section 115(a): Eliminates the need to license any “games of skill” that are not regarded as gambling under ALL provisions of federal, state, or tribal law in effect as of the date of enactment of the bill. This provision turns states’ rights on their head. Traditionally, gambling has been considered illegal unless regulated by the state. Under this provision, if a state has not acted to define something as a “bet or wager,” then it is presumed to be legal under this bill.

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