Supreme Court ruling in New Jersey sports betting case could be worth billions of dollars nationwide


WASHINGTON — The Supreme Court said Tuesday it will hear a pair of New Jersey sports betting cases with national implications.

Christie, Governor of New Jersey, et al. v. NCAA et al. When NJ Thoroughbred Horsemen v. NCAA etc. Oral arguments will be heard in the High Court during his next term, which begins in October.

The question to be addressed is whether Congress is allowed to ban states from licensing sports betting, or whether the federal Protection of Professional and Amateur Sports Act (PASPA) is a Tenth Amendment to the Constitution that protects states’ rights. whether or not it is violated. Basically, powers not delegated to the federal government are reserved to the states.

Enacted in 1992, PASPA effectively bans sports betting throughout the United States. Exceptions were made in Nevada, Montana, Oregon and Delaware, which already had legal forms of sports betting. An exception would have been made in New Jersey had it decided to legalize sports betting within a year of the law being enacted.

But the state legislature could not even vote on the floor of the state legislature. Bill Bradley, the former Knicks All-Star and U.S. Senator who virtually created his PASPA, reportedly lobbied against the bill in the state. new jersey lawyer magazine.

There were other rumored complications. A Nevada-based interest group sought to ban the passage of the exception, ostensibly to preserve the monopoly of sports betting in the desert. At the time, there was also uncertainty about how supporting sports betting would affect the 1993 gubernatorial race between Republican Christine Todd Whitman and Democrat James Florio.

Nearly 25 years later, New Jersey’s challenge to federal law ushers in a more comprehensive, multistate approach to sports gambling that could change the state’s financial outlook.

“From an economic impact standpoint, I think the future is very bright,” said Geoff Freeman, CEO and Chairman of the American Gaming Association. “And that future is based on a lot of what’s happening in Nevada right now and how we predict that elsewhere.”


The driving force behind New Jersey’s challenge to federal law is the money it has to make.

“There is an estimated $150 billion in sports betting in the United States today. “About 150,000 more jobs at the state and local level and he expects $5 billion in tax revenue.”

This is a huge financial boom to consider. Tax revenue would account for his seventh of the Jersey legislator’s proposed budget this week.

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New Jersey legislators twice tried to enact legislation to legalize sports betting in the state. Four major professional sports leagues and the NCAA have filed lawsuits to ban both laws, claiming they violate PASPA.

The first part of the bill (Christie, Governor of New Jersey, et al. v. NCAA, etc.) It legalized sports betting and enacted licensing regulations. The district court ruled that it violated his PASPA, and this decision was upheld by the Third Circuit Court of Appeals. The Supreme Court denied the state’s request for a hearing at the time.

A different trick was used in the second part of the bill. It did not seek to regulate sports betting, it simply de-illegalized it. But in this case, the state made no attempt to regulate the industry.

As these incidents drag on, technology has changed the earning potential of sports betting. Funds await.

“We’re going to see a lot of innovation in this space, which could turn these economic impact projections upside down and actually make them grow significantly,” said Freeman. said.


In politics, both federal and state governments, the news of the SCOTUS decision was greeted with either excitement or indifference.

Members of New Jersey’s state, from the Senate to the House to Congress, complain that change is needed. Democrat Rep. Frank Pallone from New Jersey has been a leading voice on the issue.

Parone considers the law hypocritical and unfair. New Jerseyans have voted in favor of legalized sports betting throughout the 2010s. Their coastal towns, like Atlantic City, were scattered, relying on casinos and related tourism and horse racing for a living before many tracks closed.

Pallone believes positive decisions could reignite economies in multiple communities.

“Both Congress and the Supreme Court should respect these actions,” Pallone said. The opportunity is now to allow the state’s democratic process to properly regulate sports games.”

Frank Robiondo, a conservative lawmaker in the New Jersey legislature, said he did not understand why the federal government would get in the way of the state regarding sports betting and the income generated from it.

“This is going to be a big boon for New Jersey. It will help boost the economy across[the state],” he said. Another component. [shore towns] low income. ”

Struggling casino industry drags Atlantic City economy down

Photo by Spencer Pratt/Getty Images

Many state lawmakers were encouraged by the Supreme Court ruling, but others were cautious.Current state senator and former Atlantic City mayor Jim Whelan has fought for legal sports betting for years. When sports leagues said in 2014 that allowing people to bet on games would change the integrity of athletics, Whelan led an effort to change that mindset. He said there are caveats to the economic benefits of legal sports betting in the state.

“Let’s realize that just the fact that they are hearing the case does not mean they will make a decision in the New Jersey case,” Whelan said. It’s not just New Jersey, everyone has it, and I’m not sure it’s as profitable as everyone advertises.”

Whelan doesn’t want to ignore the economic benefits to a failed city like Atlantic City, but he sees the benefits in sports in the same way gambling opportunities have increased since Atlantic City’s casinos. The number of groups that want to raise is also increasing. New Jersey and Nevada do not have a gambling monopoly. If the Supreme Court rules in New Jersey’s favor, the repercussions are not limited to the local area.

Concerned or not, some lawmakers couldn’t help but speculate what the economic consequences would be. New Jersey and elsewhere are experiencing significant economic growth. Legally, money is valued in billions. Illegally, NBA Commissioner Adam Silver claimed that at least $400 billion was spent in America alone in 2014.

Many of PASPA’s critics have called for this date for decades. Significant increases in earnings, employment, and economic prosperity may be out of balance. New Jersey Republican Rep. Leonard Lance said citizens are seeing the economic impact gambling has on New Jersey communities.

And if it weren’t for the turmoil of years ago, states like New Jersey might look a lot different than they do now.

“Thirty years ago, all but four states passed special treaties banning sports betting, and New Jersey no longer enjoys the benefits those four states enjoy,” Lance said. Stated. “New Jersey deserves its day in court.”



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