Multiple Sports Leagues File Restraining Order to Halt Legalized Betting in NJ
Updates from Friday, Oct. 24
AP Sports reports an update on the New Jersey's attempt to legalize sports betting within the state:
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Original Text:
New Jersey's headfirst dive into legalized sports betting may be put on a temporary hold, as the United States' four major professional sports leagues and the NCAA petitioned a judge Tuesday to put a restraining order on the state's new bill.
According to ESPN.com's David Purdum, a hearing is expected to take place this week, where U.S. District Judge Michael Shipp is widely expected to grant the restraining order. The NFL and NCAA are chief among the sports organizations that say their leagues will be irreparably harmed by the legalization of sports gambling in New Jersey.
Gov. Chris Christie signed a bill last Friday to legalize sports gambling in the state's casinos, akin to Nevada's longstanding laws. New Jersey's sports gambling adoption has been in the works since 2011, with Oceanport's Monmouth Park Racetrack scheduled to be the first to offer bets this Sunday.
"As I've said all along, I am a strong proponent of legalized sports wagering in New Jersey," Christie said in a statement, per Ginger Adams Otis of the (New York) Daily News.
Adams Otis notes that Christie is hoping sports gambling helps improve the economy of Atlantic City, which may become something close to an eastern Las Vegas if this law is allowed to pass. The NFL, Major League Baseball, NBA and NHL have all opposed the attempts of other states to legalize sports betting and have battled New Jersey in federal court previously.
Their new motion, filed alongside the NCAA, says, per Bob Jordan and Steve Edelson of USA Today:
"[New Jersey is] in clear and flagrant violation of federal law to accomplish what it unsuccessfully attempted to do nearly three years ago: sponsor, operate, advertise, promote, license, or authorize gambling on amateur and professional sports at state-licensed casinos and horse racetracks.
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Judge Shipp, who ruled in favor of the sports leagues in 2012, is expected to do the same later this week. If the case reaches Judge Shipp by Friday, all race tracks and casinos would be temporarily banned from offering sports betting despite the bill being signed into law.
The strident attempts at blocking New Jersey's attempts at legalized sports gambling are interesting, especially considering comments made by NBA Commissioner Adam Silver last month. Silver told Mason Levinson and Scott Soshnick of Bloomberg that the economic impact of sports betting makes it "inevitable" that states would begin repealing its banishment. Silver said the NBA is open to working with these states in the future:
"If you have a gentleman's bet or a small wager on any kind of sports contest, it makes you that much more engaged in it. That's where we're going to see it pay dividends. If people are watching a game and clicking to bet on their smartphones, which is what people are doing in the United Kingdom right now, then it's much more likely you’re going to stay tuned for a long time.
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It's unclear how the sports leagues will prove gambling causes "harm" to their products. NFL spreads and gambling lines have become a staple of nearly every major network's coverage of the sport, as has over/under win totals for the NBA, NHL and MLB.
Allowing legalized sports gambling may also help push some of the action away from illegal online betting, which is based in other countries to avoid U.S. federal regulations. Either way, without some sort of settlement, it appears both sides will have an opportunity to plead their case in court.
Follow Tyler Conway (@tylerconway22) on Twitter.
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