The Social and Promotional Games Association (SPGA) applauds Louisiana Governor Jeff Landry’s decision to veto Senate Bill 181, a measure that would have outlawed sweepstakes casinos and social casinos that operate under a dual-currency system.
“Governor Landry’s veto is a powerful affirmation that not all online games are gambling and that innovation should not be met with prohibition,” said a spokesperson for SPGA.
“This legislation blurred critical legal distinctions and risked punishing legitimate businesses that comply with well-established sweepstakes laws and offer free-to-play experiences.”
Gov. Jeff Landry sent a letter to the Louisiana Senate on Thursday saying his decision was based on a law that he deems “not necessary,” and the measure is a “solution in search of a problem that is already being solved.”
“This bill attempts to criminalize certain secondary gambling activities on the internet that are already prohibited in Louisiana,” Landry wrote. “Our current Louisiana Gaming Control Board has the regulatory authority, control, and jurisdiction over all aspects of gaming activities and operations pursuant to the Louisiana Gaming Control Law.”
SPGA Says Sweepstakes-Based Games Are Not Gambling
SB 181 would have punished violators with up to a $100,000 fine and five years in prison. The bill also required the La. Gaming Control Board (LGCB) and the La. State Police (LSP) to enforce the provisions of proposed law.
“Sweepstakes-based games are not gambling. Sweepstakes-based games operate within legal frameworks, are free to play, never require a purchase to win, and are used by Fortune 500 companies, such as Microsoft and Starbucks, to engage consumers,” the SPGA added in its news release.
“Conflating these lawful models with illegal gambling operations would have created confusion, harmed innovation, and eroded consumer choice.
“With this veto, Louisiana joins a growing list of states, including Maryland, Mississippi, and Florida, that have rejected misguided efforts to ban legal sweepstakes entertainment. We hope others will take note and follow suit in protecting consumer freedom and lawful digital business models.”
Louisiana would have followed Montana as the second state to ban sweeps gaming this year.