1. Online Gambling Where Is It Legal

Gambling is a significant source of revenue in their respective states and the subject of controversy due to the social ills which have been argued to be connected to it, such as organized crime and gambling addiction. Relevant legal forms include: Jury Instruction - Illegal Gambling Business (Bookmaking).

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Social gambling is, in common parlance, a game played primarily for fun or to socialize. It is typically among friends, family, neighbors, or co-workers and takes place in a private location (for example, in the house of one of the participants), not a public area or a commercial venue/business. (It would include gambling at a private club to which you belong IF the club does not sponsor or run the gambling--for example, if you and friends use the club's card room.) Players must be the age of 18 (in some states, the legal age may be 21). The weekly or twice-monthly poker game that many people participate in is a good example.

Is it legal? The answer is 'maybe.' Social gambling runs the gamut of legality: in some states it is legal, in some not, and others it is unclear or has restrictions. (Specifically, 27 states make social gambling legal (sometimes with limitations on 'pot' size) and two have ambiguous laws that likely (but not definitely) make it legal.) Given the variation, before you host and invite friends over for a hand or two, check how your state views social gaming.

When does playing in a social context end and gambling begin?

There are typically two closely related criteria for when or whether an activity is social gambling:

(1) No one profits by organizing, setting up, or running the game. The 'house' does not take a cut of the bets. There is no entry fee paid to the organizer.

(2) Everyone plays on equal footing. Neither the 'house' nor any player has the odds shifted in his or her favor, but rather everyone has an equal chance to win (or lose).

Notwithstanding the above two-part test, not every state looks at social gambling with the same criteria. If it recognizes social gambling, the state may also supplement the above criteria with its own. For instance, Colorado requires “a bona fide social relationship” between the participants (basically, that you are friends or co-workers, etc. outside of gambling); Iowa requires a gambling license by any individual conducting gambling activities.

Why is it important whether something qualifies as 'social gambling' or not?

Because you face risks under federal or state laws for participating or hosting a game, should it be illegal. As a practical matter, prosecuting home poker games (where players have a strictly social connection) are rare. However, to avoid being surprised, the best course of action is to contact the local authorities to determine the laws in your area.

Each state has its own laws regulating a nearly infinity number of gambling activities and they differ dramatically, especially regarding determining whether social gambling is legal or illegal. To illustrate, two states laws --New Jersey's and New York's -- are examples of the most common approach among states legalizing the activity.

New Jersey laws: In New Jersey, social gambling per se is not specifically legal. However, it is also not criminal. Under N.J.S.A. 2C:37-1, a 'player' is exempt from, and will not be prosecuted for, illegal gambling. The law defines a 'player' as

Online Gambling Where Is It Legal

'a person who engages in any form of gambling solely as

a contestant or bettor, without receiving or becoming

entitled to receive any profit therefrom other than personal

gambling winnings, and without otherwise rendering any

material assistance to the establishment, conduct or operation

of the particular gambling activity. A person who gambles at

a social game of chance on equal terms with the other

participants therein does not thereby render material assistance

to the establishment, conduct or operation of such game if he

performs, without fee or remuneration, acts directed toward

the arrangement or facilitation of the game, such as inviting

persons to play, permitting the use of premises therefor or

supplying cards or other equipment used therein. . . .'

(Emphasis added).

In New Jersey, if you're playing on the same terms as everyone else and not receiving any advantage in odds or any compensation for setting up or hosting the game, you will not face criminal prosecution or liability for illegal gambling.

New York laws: New York, under Article 225 of its statutes, takes the same approach as New Jersey--mere 'players' are not subject to criminal prosecution--and even uses the same definition of 'player' as New Jersey. So, in New York, if you are just a player in a social game and who does not profit by running the game, you have done nothing criminal.

As stated, a common approach to social gambling is the NJ/NY approach of 'decriminalization'. Many states do not specifically say that it is legal, but they don't actually make it criminal. As long as you fall under the rubric to simply be playing, not running or organizing the game, you are ok.

What is the “But” factor?: You can't play blackjack or run a craps or roulette table at home in states following this common regulatory pattern. Those games have a built-in percentage advantage in favor of the 'house' (the one running the table or dealing), and so betting at those games is not 'on equal terms.' Play poker, gin, bridge, or other non-dealer/non-banking games with your buddies--but don't add variety to your card games by playing blackjack, or you'll be breaking the law.

States’ varying positions on social gambling—more confusion

In contrast to the above approach, there are states which specifically define what constitutes legal social gambling. Florida, for example, specifically says that games where no more than $10 might be won at a time (e.g., per poker hand) are legal. Connecticut says that gambling is legal if it is “incidental to a bona fide social relationship'--that is, if you really are friends or family outside of gambling, you can gamble legally. It is vital to check your state's specific laws on the subject.

But while we recommend checking the laws in your state, to summarize social gambling's legality:

States that allow with some restrictions: Overall, the following states allow social gambling, at least to some degree or with some restrictions/limits on prizes or pots (e.g., such as Florida's $10/hand limit): AL, AK, AZ, CA, CO, CT, DE, FL, HI (an exception to its general ban on all other gambling), IO, KY, LA, ME, MN, MT, NV, NJ, NM, NY, ND, OH, OR, SC, TX, VA, WA, & WY.

States with gaming laws that are not clearly written: Several states have laws which frankly make it unclear whether social gambling is allowed or not--which probably means it is, since prosecution is unlikely for small stakes neighborhood games in the face of unclear law: MA, PA; also the District of Columbia.

States that ban or criminalize social gambling: And finally, there are states which criminalize social gambling--or, to be more accurate, they don't carve out any exceptions from their general prohibition of unlicensed (i.e., not at a licensed casino, tribal casino, racetrack, etc.) gambling. GA, ID, IL, IN, KA, MD, MI (with very limited legal exceptions), MS, MO, NB, NH, NC, OK, RI, SD, TN, UT, WV, WY.

Of course, even where social gambling is illegal, we all know it goes on. Busting up the $50/night poker game in somebody's 'man cave' is hardly a law enforcement priority. In that regard, you can view social gambling in states where it is illegal as being akin to speeding: many people do it frequently, and only a small percentage are caught or punished.

A word about poker

Possibly--maybe probably--the most common type of social gambling is poker, especially nowadays, with the popularity of Texas Hold'em and similar games. The basic rules about social gambling will apply to poker, but there is an added overlay to them: poker, because of the high degree of skill required, is not considered gambling at all in a few states where it takes a 'predominance' (or more than 50%) chance to make something gambling. (Read our article on hosting a poker tournament or other regular game at home.)

What are the legal consequences if it is illegal gambling?

Gambling is potentially a risky pursuit if it is technically illegal in your state. As with everything else gambling-related, you need to look to your state's laws: states vary widely in whether they punish mere 'players' or only the providers, and what penalties they impose. But those penalties can potentially include large fines, forfeiture of gambling proceeds (e.g. the 'pot'), supplies, and furniture or equipment used in the gambling, and even jail time--especially if the authorities decide you were not just participating, but were providing or organizing the gambling. Should you be grabbed by local or state law enforcement, find a good criminal lawyer.

Also, if you are trying to enforce a gambling debt via your court system in a state where gambling is against the law, the chances of collecting are zero since the game was illegal in the first place. Courts will NOT enforce debts incurred in the course of illegal activities. So if you are in a 'no social gambling' state, don't let your 'friends' gamble on credit or IOUs--if they choose to dishonor their debts, you'll never collect.

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Free Legal Advice – Get Informed

International internet gambling law is a subject of immense complexity, because every nation has its own
take on the subject. Some parts of the world embrace online gambling while others do everything they
can to ban it entirely. On top of that, different jurisdictions within a single nation sometimes take radically
different approaches to internet gaming.

The United States is a great example of how complex gambling law can be within a single nation. Not only
are the federal laws poorly written and difficult to interpret, but individual states have their own laws as
well. In some states, online gambling is 100% legal and available to anyone inside state lines. In others, the
authorities are still trying to seize the assets of legitimate gambling sites.

Our goal with this part of our website is to take this massive subject and break it down for our readers.
We start this page by explaining some of the basics of online gambling legislation and regulation, which are useful to understand if you’re interested in
betting or gaming online. There is then some information on the gambling laws in various regions around the world. We’ve also included links to additional
pages where you can learn more about the legal status of both offline and online gambling in specific countries.

This page is divided into the following sections, to make it easy to find the specific region you may be looking for.

Online Gambling Legislation and Regulation: The Basics

The most important thing for you to understand about online gambling legislation and regulation is how it affects you. There are two key points to consider
in this respect.

1. It is rare for it to be explicitly illegal to USE an online gambling site
2. Licensed and regulated gambling sites are BY FAR the safest

The first point here is hopefully one that will put your mind at rest if you are worried about the legalities of gambling online, and the potential for
repercussions. The fact is that you are very unlikely to breaking the law simply by betting or gaming online. The vast majority of online gambling legislation
is target squarely at the companies that operate sites, and not the individuals who use them. Of course, laws do vary from one region to the next as we’ve
explained. It’s important to know your local laws do prohibit you from gambling online, which is precisely we’ve provided the relevant much information in
this section

In relation to the second point, most sites are licensed and regulated in at least one jurisdiction. To obtain the necessary license, they will have to meet
specific criteria as laid out by the licensing authority within the relevant jurisdiction. Operators will generally advertise details of their licensing, as it helps
to reassure potential customers that are legal and regulated. It basically lends some legitimacy to their operations. That’s what you’ll often see something
like the following on gambling websites.

You should know, however, that the actual legitimacy of licensing authorities varies quite significantly. The simple fact of the matter is some agencies are
much more stringent than others. For example, the state of Nevada puts any potential online poker site through the wringer before it issues a license to
operate. So a Nevada license has genuine sign validity. Other gambling authorities basically sell licenses to anyone with enough money, so these don’t
really mean much at all.

With that in mind, we decided to put together a comprehensive guide to licensing authorities around the world. We want you to know what it really means
when a site says it has a license to do business. You can use this information to assist in the search for a safe gambling site.

You should also understand why online gambling regulation is so important. Its primary purpose is to protect YOU, the consumers. You should be able to
gamble online with the confidence that you will be treated fairly not be exposed to dishonest or crooked practices. Thankfully, the established and
reputable licensing authorities ensure that you can do exactly that. They impose a strict code of conduct on the licensees, who have to adhere to the
necessary regulations if they are to maintain their licenses. That’s why properly licensed and regulated sites are the safest options.

For a more in-depth explanation of this subject, please see our page on how online gambling is regulated

Gambling Laws in North America

There are several countries in North America that have wildly different laws relating to gambling.
The United States is obviously the biggest country in this region, and as we’ve already mentioned
the laws here are very confusing. This is partly down to the fact that there are so many states,
each with their own attitude to gambling, but there is more to it than that. There is just a distinct
lack of clarity in so much of the relevant legislation. There is also much debate about whether
US laws actually apply to gambling sites that operate outside the region.

Things are not much better in Canada either. There is legislation in place that has been passed by
central government, but each individual province has the authority to regulate gambling in their
own regions. As with the US, the use of overseas sites is very much a grey area.

We’ve provided additional pages that explain the relevant legal situations in these two countries in much
more detail, and we’ve also covered some other countries in North America too.

Gambling Laws in Europe and the UK

Europe also has many countries with different approaches to the legality of online gambling.
Some countries outright ban it, while others have formally legalized it and put proper regulatory
frameworks in place. The United Kingdom is the best example of the latter. All forms of online
betting and gaming are completely legal, and very well regulated. Any site wishing to provide its
services to UK residents must meet requirements set out by the Gambling Commission. This
organization was established in 2005, replacing the existing Gaming Board.

There are other European countries with similar setups to the UK too. France, for example, has a
strict licensing process, but does allow overseas companies to accept French customers if they
meet the necessary criteria. For some reason, though, all forms of casino games are currently
banned. They at least have clear laws though, whereas things are decidedly murky in other countries.

We’ve provide a detailed overview of European gambling laws, and also information on the laws in each of the following specific countries.

Gambling Laws in Australia/Oceania

The laws for Australian gambling companies are very strict. They’re allowed to offer some gambling
services to Australian residents, but currently only traditional sports betting and lottery-style
games are permitted. Live sports betting is not allowed, and nor are casino games. There are no
laws that prevent Australians from using overseas sites though, as these fall outside the jurisdiction
of Australia’s government.

In New Zealand, unlike so many other regions, there is clear and precise legislation relating to
online gambling. The country passed a new act in 2003 to make sure that their laws were explicit and
easy to understand. Unusually, the act very plainly stated that the use of overseas sites is entirely
legal. Such sites are, however, banned from advertising in New Zealand.

You can read more about the country specific laws in this part of the world on the following pages.

Gambling Laws in Asia

There is very little consistency in the gambling laws throughout Asia. This is perhaps
not surprising, given the size of the continent and the number of different countries
it’s home to. Compiling an overview of Asian gambling laws would be a futile
exercise, but we have provided pages covering each of the following countries
separately.

Gambling Laws in South America

The general approach to gambling throughout South America is reasonably liberal.
There are restrictions on certain types of betting and gaming in some countries in the
region though. For example, casino games are prohibited in Brazil. Our guide to the
gambling laws in South America explains about these restrictions in more detail, and
also covers any relevant online gambling legislation.

Gambling Laws in Africa

Few countries in Africa have passed any kind of legislation relating on online gambling,
although South Africa is one notable exception. Land based gambling is another
matter though, with various forms fully legalized throughout the region. There are
casino venues, for example, in several countries. We’ve provided details on the various
gambling laws throughout Africa on the following page.

We recommend that you have at least passing familiarity with the legal climate with regards to gambling in
your location. A working knowledge of the law in your area may help to keep you safe from any legal trouble,
and will make it easier for you to find the sites that cater for customers in your part of the world.

Please be aware, though, that nothing contained in this part of GamblingSites.org should be considered as
actual legal advice. We’ve carried out extensive research and consulted experts when compiling all of
this information, but we are not qualified to provide legal advice. If you have any concerns about the
legalities of gambling online where you live, it would be best to speak to a licensed lawyer.