A similar lawsuit was filed by State Senator Ray Lesniak a couple of years back, but that was thrown out on procedural issues, namely sports betting wasn't currently allowed by law and the suit needed to be filed by the state. A November referendum, which passed by an almost 2-1 margin, the recent bill, and the governor's signature eliminate the procedural issues. The next step is for the Attorney General to file the revived challenge in federal court.
In my opinion, the federal government is going to have a very difficult time justifying a law which says that some states can engage in a particular economic activity, while others can't. And in addition, that prohibited activity has been historically within the rights of the states to control. Furthermore, this activity can be directly tied to how a state can raise revenue. All these factors are hugely in favor of the right of any state to decide how to control gambling within its borders and how to raise state tax revenues. Of course, highlighting the fact that the current prohibition basically ensures a monopoly for big Nevada casinos may have some impact on a federal judge who sits on the bench in New Jersey.
The CBS News article can be found here. Other posts regarding New Jersey sports betting can be found here, here and here.
No comments:
Post a Comment