Opinion: DOJ opens the door for tribes and Internet gambling

Thursday, May 17, 2012  

"With federal internet gaming legislation apparently unlikely in the near future, many Indian tribal governments are considering the prospect of conducting intrastate internet gaming. The Justice Department widened the opening for intrastate internet gaming last December when it issued an opinion that the Federal Wire Act only applies to sports wagering and thus does not bar state lotteries from selling lottery tickets online. Tribal leaders in a number of jurisdictions are actively talking with state officials about how to structure legislation or other agreements that would allow tribes to offer internet gaming to state residents located beyond Indian lands. As discussions in various states move forward, there are a number of threshold issues for tribal leaders to consider.

First, even intrastate internet gaming is likely to involve a combination of tribal, state and federal law. The Indian Gaming Regulatory Act (IGRA) governs gaming that takes place on Indian lands. If any aspect of the internet gaming (e.g. prize, chance or consideration) occurs on Indian lands, then IGRA may apply. If it does apply, then federal requirements, including sole proprietary interest limitations, Class II technical standards and the requirement for approval of management contracts would need to be considered. Similarly, tribal gaming ordinance requirements could be implicated. Any state law or agreement would need to be structured to respect these requirements of federal and tribal law."

Get the Story:
Joseph H. Webster: Considerations for Indian Tribes Seeking to Conduct Intrastate Internet Gaming (Indian Country Today 5/17)