The Patriots and the Indianapolis Colts will square off tomorrow in a game that many believe will be a one-sided bloodbath in New England’s favor. Wouldn’t it be nice to drive to a local casino and throw a few bucks on Tom Brady and the boys?
You can’t, of course, because gambling on sports is illegal in Massachusetts. But there’s a massive federal case involving the state of New Jersey that could change all that.
The Third Circuit Court of Appeals recently ruled that it would hear arguments on whether sports betting should be legal in the Garden State.
It was a major win for New Jersey, and if the appeals court rules in the state’s favor, other jurisdictions could make gambling on sports legal.
“If New Jersey prevails in its battle, the immediate result will be that it will be able to offer sports betting at its casinos and race tracks,” said Daniel Wallach, a gaming and sports law attorney. “Then there will be a domino effect throughout the country.”
You had better believe power brokers in the Bay State are paying attention.
A spokesman for Wynn Resorts, which is slated to build a casino in Everett, told me the company is “monitoring the situation for any impact it may have outside the state of New Jersey.”
The Massachusetts Gaming Commission is also keeping its eye on how the Third Circuit decides.
“Although this issue does not presently affect Massachusetts, the Commission is closely monitoring the details of this case as we do consistently with important gaming-related matters in other jurisdictions,” Elaine Driscoll, spokeswoman for the commission, said in an email. “We will review with interest the issues presented during the hearing as well as the results.”
New Jersey is trying to get around the Professional and Amateur Sports Protection Act, a 1992 federal law that makes state-regulated sports books illegal, with a few exemptions.
In an effort to revive its ailing casino business, the state wants to repeal local regulations that prevent sports gambling.
In effect, New Jersey is trying to legalize sports gambling by saying it won’t be state-regulated. It’s a loophole, and if the appeals court buys it, other states have a blueprint to try to do the same.
“The result would be a state-by-state decision as to whether they want to permit sports betting within their borders. It would be incremental,” said Justin Fielkow, a sports law attorney who follows gaming law. “States could use New Jersey’s deregulation legislation as a road map.”
States in the Third Circuit could make sports betting legal if New Jersey wins. Other jurisdictions, including the First Circuit, where Massachusetts sits, wouldn’t be bound by the decision but have no reason not to follow suit.
This whole thing could be finished by next year, according to Wallach, and if New Jersey comes out on top, the Massachusetts Legislature could do the same.
That would be just in time for Wynn’s grand opening, currently scheduled for 2018.
