Florida lawmakers have introduced legislation to ban sweepstakes gambling, including internet casino games and online sports betting outside its compact with the Seminole Tribe.
HB 953, SB 1404 Would Uphold The Compact Signed Between Florida, The Seminole Tribe
The legislation upholds the 30-year compact signed in May 2021 between Florida and the Seminole Tribe, guaranteeing the tribe’s exclusive right to offer in-person and online sports betting, in addition to craps and roulette at its casinos.
In return, the Seminole Tribe pays at least $500 million annually to the state. The compact, which runs through 2051, has already allowed the tribe’s Hard Rock brand to launch online sports betting in December 2023.
Two bills, HB 953, introduced by Rep. Webster Barnaby (R-29), and SB 1404, introduced by Sen. Corey Simon (R-3), would criminalize sweepstakes gaming operations, with violations carrying a third-degree felony charge.
Internet gambling has been amended to be defined as the “means to play or engage in any game in which money or other thing of value is awarded based on chance, regardless of any application of skill, that is available on the Internet and accessible on a mobile device, computer terminal, or other similar access device and simulates casino-style gaming, including, but not limited to, slot machines, video poker, and table games.”
Similarly, Internet sports wagering is defined as placing a bet on contests of skill, speed, power, or endurance through online or mobile platforms.
Players Engaging In Illegal Internet Gambling Could Face A Second-Degree Misdemeanor
Under the proposed laws, players engaging in illegal internet gambling could face a second-degree misdemeanor, while operators providing such games would be charged with a third-degree felony. Internet sports betting violations would only result in penalties after a second offense.
Florida’s legislative push aligns with a growing number of other states aiming to crackdown on sweepstakes gambling. Other states, including Maryland, Connecticut, and Mississippi, have introduced or passed similar measures targeting online sweepstakes gaming.
Mississippi’s Senate recently passed SB 2510 in a 44-1 vote, making sweepstakes gambling a felony with penalties of up to $100,000 in fines or 10 years in prison.
Maryland lawmakers also introduced SB 860 and HB 1140, which would allow regulators to deny gaming licenses to sweepstakes operators.
In addition, Connecticut’s SB 1235 would prohibit unlicensed online casino gaming and sports wagering, while also banning lottery ticket resales and courier services.
New York’s pending online casino legislation could drive such operators out of the market as well.
Unlike traditional online casinos, which operate under strict licensing requirements, sweepstakes casinos utilize a different business model that allows players to participate without engaging in real-money gambling. This legal gray area has kept them outside the traditional regulatory framework.
Florida lawmakers say the proposed ban is intended to prevent unregulated online gambling and protect residents.