N.Y. Racing, Pari-Mutuel Wagering and Breeding Law § 1400: Legislative findings and purpose

§ 1400. Legislative findings and purpose. 1. The legislature hereby

finds and declares that:

(a) Interactive fantasy sports are not games of chance because they

consist of fantasy or simulation sports games or contests in which the

fantasy or simulation sports teams are selected based upon the skill and

knowledge of the participants and not based on the current membership of

an actual team that is a member of an amateur or professional sports

organization;

(b) Interactive fantasy sports contests are not wagers on future

contingent events not under the contestants' control or influence

because contestants have control over which players they choose and the

outcome of each contest is not dependent upon the performance of any one

player or any one actual team. The outcome of any fantasy sports contest

does not correspond to the outcome of any one sporting event. Instead,

the outcome depends on how the performances of participants' fantasy

roster choices compare to the performance of others' roster choices.

2. Based on the findings in subdivision one of this section, the

legislature declares that interactive fantasy sports do not constitute

gambling in New York state as defined in article two hundred twenty-five

of the penal law.

3. The legislature further finds that as the internet has become an

integral part of society, and interactive fantasy sports a major form of

entertainment for many consumers, any interactive fantasy sports

enforcement and regulatory structure must begin from the bedrock premise

that participation in a lawful and licensed interactive fantasy sports

industry is a privilege and not a right, and that regulatory oversight

is intended to safeguard the integrity of the games and participants and

to ensure accountability and the public trust.