Gambling in The United States - Legal Issues

Legal Issues

Gambling is legal under US federal law, although there are significant restrictions pertaining to interstate and online gambling. Each state is free to regulate or prohibit the practice within its borders. If state-run lotteries are included, almost every state can be said to allow some form of gambling. However, casino-style gambling is much less widespread. Federal law provides leeway for Native American Trust Land to be used for games of chance if an agreement is put in place between the State and the Tribal Government (e.g. A 'Compact' or 'Agreement') under the Indian Gaming Regulatory Act of 1988.

Nevada is the only state where casino-style gambling is legal statewide. Both state and local governments impose licensing and zoning restrictions. All other states that allow casino-style gambling restrict it to small geographic areas (e.g., Atlantic City, New Jersey or Tunica, Mississippi), or to American Indian reservations, some of which are located in or near large cities. As sovereign nations, American Indian tribes have used legal protection to open casinos, which has been a contentious political issue in California and other states. In some states, casinos are restricted to "riverboats", large multi-story barges that are, more often than not, permanently moored in a body of water.

Online gambling has been more strictly regulated. The Federal Wire Act of 1961 outlawed interstate wagering on sports but did not address other forms of gambling. It has been the subject of court cases. The Unlawful Internet Gambling Enforcement Act of 2006 (UIEGA) did not specifically prohibit online gambling; instead, it outlawed financial transactions involving online gambling service providers. Some offshore gambling providers reacted by shutting down their services for US customers. Other operators however have continued to circumvent UIGEA and have continued to service US customers. For this reason UIEGA has receive criticism from notable figures within the gambling industry.

Type of Legal Gaming in States (Commercial, Indian, Racetrack casinos)
# STATE Charitable Pari-mutuel Lotteries Commercial Indian Racetrack
0 District of Columbia Yes No Yes No No No
1 Alabama Yes Yes No No Yes No
2 Alaska Yes No No No Yes No
3 Arizona Yes Yes Yes No Yes No
4 Arkansas Yes Yes Yes No No Yes
5 California Yes Yes Yes No Yes No
6 Colorado Yes Yes Yes Yes Yes No
7 Connecticut Yes Yes Yes No Yes No
8 Delaware Yes Yes Yes Yes No Yes
9 Florida Yes Yes Yes No Yes Yes
10 Georgia Yes No Yes No No No
11 Hawaii No No No No No No
12 Idaho Yes Yes Yes No Yes No
13 Illinois Yes Yes Yes Yes No Yes
14 Indiana Yes Yes Yes Yes No Yes
15 Iowa Yes Yes Yes Yes Yes Yes
16 Kansas Yes Yes Yes No Yes No
17 Kentucky Yes Yes Yes No No Yes
18 Louisiana Yes Yes Yes Yes Yes Yes
19 Maine Yes Yes Yes No No Yes
20 Maryland Yes Yes Yes Yes No Yes
21 Massachusetts Yes Yes Yes Yes Yes No
22 Michigan Yes Yes Yes Yes Yes Yes
23 Minnesota Yes Yes Yes No Yes Yes
24 Mississippi Yes No No Yes Yes No
25 Missouri Yes No Yes Yes Yes No
26 Montana Yes Yes Yes No Yes No
27 Nebraska Yes Yes Yes No Yes No
28 Nevada Yes Yes No Yes Yes No
29 New Hampshire Yes Yes Yes No No No
30 New Jersey Yes Yes Yes Yes No Yes
31 New Mexico Yes Yes Yes No Yes Yes
32 New York Yes Yes Yes No Yes Yes
33 North Carolina Yes No Yes No Yes No
34 North Dakota Yes Yes Yes No Yes No
35 Ohio Yes Yes Yes Yes No Yes
36 Oklahoma Yes Yes Yes Yes Yes Yes
37 Oregon Yes Yes Yes No Yes No
38 Pennsylvania Yes Yes Yes Yes No Yes
39 Rhode Island Yes Yes Yes No No Yes
40 South Carolina Yes No Yes No No No
41 South Dakota Yes Yes Yes Yes Yes No
42 Tennessee No No Yes No No No
43 Texas Yes Yes Yes No Yes No
44 Utah No No No No No No
45 Vermont Yes No Yes No No No
46 Virginia Yes Yes Yes No No Yes
47 Washington Yes Yes Yes Yes Yes No
48 West Virginia Yes Yes Yes Yes No Yes
49 Wisconsin Yes Yes Yes No Yes No
50 Wyoming Yes Yes No No Yes Yes

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