A Winning Hand: A Proposal for an International Regulatory Schema with Respect to the Growing Online Gambling Dilemma in the United States

By Andrle, John D. | Vanderbilt Journal of Transnational Law, November 2004 | Go to article overview

A Winning Hand: A Proposal for an International Regulatory Schema with Respect to the Growing Online Gambling Dilemma in the United States


Andrle, John D., Vanderbilt Journal of Transnational Law


Abstract

While a multitude of Internet enterprises folded in the 1990s, online gambling websites not only have held strong, but appear to be ready to increase the stakes. No business relating to the Internet currently generates more revenue than online gambling, and that trend does not look like it will change soon. While many Americans desire to participate in this form of cyber-gambling, the current legality of their ability to do so remains vague. For the most part, an American's ability to gamble currently resides under the purview of state law and a hodgepodge of antiquated federal wire acts. The nature of the Internet, however, mandates that any scheme, regulatory or prohibitory, be constructed in the international arena. For various reasons, there have been efforts by members of Congress to create strong prohibitory legislation specifically targeting Internet gambling. The Author analyzes not only whether a domestic prohibition schema is the best model to implement, but also whether such a model could even be truly effective. The Author further shows that an international regulatory model can provide a legitimate method of control while allowing individual countries to maintain discretion over the form of online gambling they allow to their citizens. At the same time, this international regulatory schema would still provide a valid international enforcement net against offenders. Under this regulatory schema, problem gamblers can be protected while still preserving the opportunity for other patrons to get lucky and hit it big.

TABLE OF CONTENTS

I.    INTRODUCTION
II.   BACKGROUND: THE CURRENT STATE OF ONLINE
      GAMBLING IN THE UNITED STATES
      A. Online Gaming and State Law
      B. Online Gaming and Federal Statutes
      C. Online Gaming and Proposed Legislation
      D. Online Gaming and the Credit
         Card Industry
      E. Relevant U.S. Case Law
III.  ANALYSIS
      A. The Need for Movement and a Solution
      B. Criteria and Policy Implications
        of a Solution (Factors and Guidelines)
      C. Regulation Versus Prohibition
IV.   ONLINE GAMBLING AND CURRENT
      INTERNATIONAL SCHEMAS
      A. The Caribbean Countries
      B. The Australian System
      C. The European Union
      D. Examples from Other Nations
      E. World Trade Organization
V.    CRITERIA OF THE PROPOSED INTERNATIONAL
      REGULATORY SCHEMA
VI.   JURISDICTIONAL CONCERNS INVOLVED
      WITH INTERNATIONAL SCHEMAS
VIII. CONCLUSION

I. INTRODUCTION

No business on the Internet earns more revenue than online gambling. (1) In 2002, two million players lost a collective $3.5 billion at nearly 2,000 "virtual casino" websites. (2) In 2003, online gambling sites took in more than $4.1 billion dollars. (3) In 2004, it is projected that revenues from online gambling activities could be $6 billion with potentially 15 million players. (4) Some estimates suggest that gamblers in the United States are responsible for sixty-five percent of this amount. (5) In describing the scope of online gambling's potential influence on the American populace, the Final Report issued by the National Gambling Impact Study Commission stated that "[o]nline wagering promises to revolutionize the way Americans gamble because it opens up the possibility of immediate, individual, 24 hour access to the full range of gambling in every home." (6)

As the popularity of online gambling continues to swell, the issues surrounding its legitimacy have yet to be resolved. It is too simplistic to say that online gambling is or is not per se illegal in the United States. For the most part, gambling legislation has largely been a matter of state law. (7) Not surprisingly, state responses to online gambling legislation have varied considerably, running from prohibition to regulation to taxation. (8) Historically, the federal response to the issue of online gambling has been to acquiesce to the various approaches taken by the states.

The rest of this article is only available to active members of Questia

Sign up now for a free, 1-day trial and receive full access to:

  • Questia's entire collection
  • Automatic bibliography creation
  • More helpful research tools like notes, citations, and highlights
  • Ad-free environment

Already a member? Log in now.

Notes for this article

Add a new note
If you are trying to select text to create highlights or citations, remember that you must now click or tap on the first word, and then click or tap on the last word.
One moment ...
Project items

Items saved from this article

This article has been saved
Highlights (0)
Some of your highlights are legacy items.

Highlights saved before July 30, 2012 will not be displayed on their respective source pages.

You can easily re-create the highlights by opening the book page or article, selecting the text, and clicking “Highlight.”

Citations (0)
Some of your citations are legacy items.

Any citation created before July 30, 2012 will labeled as a “Cited page.” New citations will be saved as cited passages, pages or articles.

We also added the ability to view new citations from your projects or the book or article where you created them.

Notes (0)
Bookmarks (0)

You have no saved items from this article

Project items include:
  • Saved book/article
  • Highlights
  • Quotes/citations
  • Notes
  • Bookmarks
Notes
Cite this article

Cited article

Style
Citations are available only to our active members.
Sign up now to cite pages or passages in MLA, APA and Chicago citation styles.

(Einhorn, 1992, p. 25)

(Einhorn 25)

1

1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

Cited article

A Winning Hand: A Proposal for an International Regulatory Schema with Respect to the Growing Online Gambling Dilemma in the United States
Settings

Settings

Typeface
Text size Smaller Larger
Search within

Search within this article

Look up

Look up a word

  • Dictionary
  • Thesaurus
Please submit a word or phrase above.
Print this page

Print this page

Why can't I print more than one page at a time?

Full screen

matching results for page

Cited passage

Style
Citations are available only to our active members.
Sign up now to cite pages or passages in MLA, APA and Chicago citation styles.

"Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn, 1992, p. 25).

"Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn 25)

"Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences."1

1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

Cited passage

Welcome to the new Questia Reader

The Questia Reader has been updated to provide you with an even better online reading experience.  It is now 100% Responsive, which means you can read our books and articles on any sized device you wish.  All of your favorite tools like notes, highlights, and citations are still here, but the way you select text has been updated to be easier to use, especially on touchscreen devices.  Here's how:

1. Click or tap the first word you want to select.
2. Click or tap the last word you want to select.

OK, got it!

Thanks for trying Questia!

Please continue trying out our research tools, but please note, full functionality is available only to our active members.

Your work will be lost once you leave this Web page.

For full access in an ad-free environment, sign up now for a FREE, 1-day trial.

Already a member? Log in now.