Minnesota Gambling Statutes

Federal Internet Gambling Laws

Minnesota Statutes 2002. Lawful Gambling. The purpose of sections 349.11 to349.22 is to regulate lawful gambling to insure integrity of operations and to provide for the use of net profits only for lawful purposes. Click on the following links for more information about Minnesota gambling regulatory statutes. These links bring you to the Minnesota Office of the Revisor of Statutes. Minnesota Gambling Regulations; Lawful gambling; State Lottery; Parimutuel racing; Gambling Enforcement; Statute regarding compacts for indian gaming; Agency rules and regulations.

Internet gambling violates provisions of federal law under 18 U.S.C. § 1084. This section prohibits the foreign or interstate transmission of bets or wagers or information on bets or wagers by use of a wire communication. For example, operating an off-shore sports betting operation that utilizes the telephone system within the United States is illegal, United States v. Blair, 54 F.3d 639 (10th Cir. 1995). As Internet transmissions are conducted over telephone lines, this is a potential area of liability for gambling service providers.

Minnesota Internet Gambling Laws

Internet gambling services are also illegal in Minnesota. Such activities include sporting events, lottery tickets, and simulated casino games. Generally, it is unlawful in Minnesota to sell or transfer a chance to participate in a lottery, Minn. Stat. § 609.755(2). Sports bookmaking is defined as “the activity of intentionally receiving, recording or forwarding within any 30-day period more than five bets, or offers to bet, that total more than $2,500 on any one or more sporting events,” Minn. Stat. § 609.75, Subd. 7.

Engaging in sports bookmaking is a felony. Finally, intentionally receiving, recording, or forwarding bets or offers to bet in lesser amounts is a gross misdemeanor, Minn. Stat. § 609.76, Subd. 1(7).

MN Court of Appeals on Internet Gambling

The Minnesota Court of Appeals upheld jurisdiction against an out of state Internet gambling service provider in State of Minnesota v. Granite Gate Resorts, Inc., 568N.W.2d 715 (Minn. Ct. App. 1997). The Court found that because the provider had advertised on the Internet on-line gambling services and had developed from the Internet a mailing list that included one or more Minnesota residents, the provider had purposefully availed itself of the privilege of conducting commercial activities in Minnesota to an extent that maintenance of an action in Minnesota did not offend traditional notions of fair play and substantial justice. Therefore, the provider was subject to personal jurisdiction in Minnesota.

Individual Bettor Liability

There is also a potential for individual bettor liability in Minnesota. In Minnesota it is unlawful to make a bet through Internet gambling organizations. Minnesota law makes it a misdemeanor to place a bet unless done pursuant to an exempted, state-regulated activity, such as licensed charitable gambling or the state lottery, Minn. Stat. §§ 609.75, Subd. 2 -3; 609.755(1). As Internet gambling organizations are not exempted, any person in Minnesota who places a bet through one of these organizations may be committing a crime. Further, Minnesota law provides for forfeiture provisions related to unlawful gambling activity. It is the Minnesota Attorney General’s position that a computer that is used to play a game of chance for something of value would be subject to forfeiture under Minnesota law. For the Minnesota Attorney General’s position on the legality of gambling, see http://www.jmls.edu/cyber/ docs/minn-ag.html.

This and the following posts have been copied or adopted from A Legal Guide To The INTERNET – Sixth Edition, published through a collaborative effort by the Minnesota Department of Employment & Economic Development and Merchant & Gould.

In the state of Minnesota, many residents are interested in gambling online due to a lack of convenient and close by land based options. For interested parties, the trick is not just finding a means to gamble – they’re everywhere – the trick is finding a means to gamble in compliance with state and federal laws. After all, in a game where risk and reward is part of the inherent nature, no player wants to add an additional risk of legal prosecution on top of everything.

This leads to many questions concerning the laws around online gambling, and this page is here to help. In addition to several federal policies that govern gambling, Minnesota residents are also subject to a unique set of laws put forth by their state legislation that apply to all who wish to gamble in Minnesota. The following page will not only dissect federal policy on gambling, but also help to break down the finer points of state law so that Minnesota players can garner a full understanding of the laws that govern their ability to access Minnesota gambling sites.

Unfortunately, things are not always as simple as can be. While the state of Minnesota essentially follows the same pattern as the federal policy when it comes to online gambling, there are a few clauses in the state constitution worth noting. While Minnesota never mentions online gambling in their state constitution, players should defer to federal law and any state policies that could apply.

609.75.2 - The state of Minnesota does not use the term “gamble,” but they do define a “bet.” We can see here that casino games, poker, and sports betting would all qualify as a “bet.” While the letter of the law technically says this is a crime, the intent of the law is always more important. We feel that fact that no Minnesota resident has ever been brought up on charges for gambling speaks clearly to the intent of the law. Just so long as a player stays away from illicit gambling operations, they run no risk of legal prosecution.

609.76.1 - We can see here that, just as with federal law, it is those who facilitate gambling that really run the legal risk. Not only will Minnesota charge these crimes with extreme prejudice, but also the penalty is steep.

609.76.2 - Clearly defines charge for illegal bookmaking operations. In Minnesota, anyone caught taking wagers on sports or games of skill stands to be charged with a felony.

609.761.3 - This section does one thing: protects the sanctity of the home poker game amongst friends. Thanks to this clause in Minnesota policy, no resident has to worry about the police breaking up their after-work poker game.

Look Up All The Gambling Laws In Minnesota - Click Here

The first and most important thing to understand about any laws that govern legal gambling for Minnesota residents, whether online or on land is this: playing these games or participating in betting is legal. In all three of the major gambling polices passed through the US senate, mere players are specifically exempt from any legal responsibility. In fact, these laws serve only to target the facilitators of gambling or betting and break up large organized crime syndicates. The federal government is not interested in otherwise honest citizens who place a wager.

With that in mind, the law with which it all began passed in 1961, called the Federal Wire Act. This was the very first federal law that affected any sort of gambling, and it still applies today, predominantly to sports betting. This law prevents any bookmaker from transmitting information across state borders using a public wire facility. This may sound dated, but as recently as 2011 the Supreme Court ruled that the internet counts as such a facility, meaning it’s impossible to place bets with a US based sportsbook outside of the state it operates in. This went even further in 1992 once the PASPA (Professional and Amateur Sports Protection Act) passed at the behest of then-NBA commissioner David Stern. This law outright prohibits the facilitation of sports betting anywhere except Oregon, Montana, Delaware and, of course, Nevada.

We now have two laws that govern online sports betting, but we have not touched on online casinos or poker rooms. In 2006, the Congress realized this oversight as well, and tacked the UIGEA (Unlawful Internet Gambling Enforcement Act) onto the Safe Port Act and brought an end to US run gambling sites. This act criminalized the operation of any gambling site in the country and restricted a player’s ability to receive winnings on their credit card.

Minnesota gambling statutes

Wisconsin Gambling Statutes

We have already established that none of these laws affect the player, but how can a Minnesota resident gamble online with a legal establishment? While all of these laws would instantly shut down any gambling networks discovered in the US, but the internet has made the world a small place. By signing up with offshore, legal gambling sites for Minnesota residents, players may gamble online legally with a legal business.

We have learned that it is possible to gamble online legally in the state of Minnesota. However, if a player is under 18, these laws do not apply. Minnesota strictly prohibits underage gambling, and they will enforce penalties including steep legal fines and even jail time for offenders.

Mn Gambling Statute

Now that Minnesota residents know it’s possible to gamble legally from the comfort of home, there should be nothing stopping them from logging on and watching the money pour in. The state of Minnesota allows responsible online gambling, so we think that interested residents should treat themselves.

Minnesota Gambling Statutes

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