Turbul¨ºncia jur¨ªdica no setor de jogos de azar da Virg¨ªnia pode causar desafios de ¨¢rea cinzenta no futuro

Content Team
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A series of legal clashes over charity and skill-based gaming have led to the regulatory regime currently in place in Virginia becoming murky, with 2022 seeing more potential lawsuits on the horizon

This recent regulatory about-face has been noted even by figures as prominent as Virginia Senator Bill Stanley. In personal correspondence with GamblingNews, Stanley argued that recent decisions on electronic games of skill and charity games have only created a more significant legal gray area that is more difficult to police. Instead of the courts ruling in favor of the state, deregulation of these forms of gambling has only reduced any potential state oversight with this spelling plus legal conflict down the line, moving into 2022. Citing the GamblingNews interview, Stanley stated that “These court decisions demonstrate the need for the legislature to correct the problems that it itself created.”

The ongoing situation began when state lawmakers temporarily legalized “skill games” before quickly backtracking and banning them. The aforementioned ban was challenged in court by a rural Virginia judge who ruled in favor of the plaintiff on the grounds that the ban was a violation of First Amendment rights. After this result, Attorney General Mark Herring will appeal the decision to the Supreme Court of Virginia.

Virginia Assistant Attorney General A. Anne Lloyd pushed to review the decision and wrote that the state was grateful for the regulatory scheme used on gaming machines, which generated more than $130 million in annual revenue for the state. That said, she stated that the injunction blocking the law legalized the machines without addressing the current state of the regulatory system. The Virginia Department of Alcohol and Beverage Control’s regulatory authority, which collected taxes and monitored the use of the devices, had its regulatory authority dissolved during the prohibition period. Lloyd argued that this decision makes it legal for children of all ages in the state of Virginia to play skill-based video games.

The dispute surrounding charity gambling began when Cheers, a charity gambling organization, filed a lawsuit against the Virginia Department of Agriculture and Consumer Services. This followed the amendment of the regulatory scheme to allow Texas Hold’em poker tournaments to be held to raise funds for charities. While this decriminalized the act, it did not allow the agency to oversee the process. Cheers’ case was based on the fact that the Department did not respond to requests for authorization with the company that won the case. While the case may not be groundbreaking, Senator Chap Parkersen stated that it merely illustrated that charity games had the same problem as qualifying games, the fact that they were technically legal without falling under the supervision of a national agency. As more events and games emerge, we may see more legal activity until this legal loophole is closed.

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