GamingCounsel\’s Weekly Briefs

I\’ve returned from Spain after attempting to live-tweet a very informative conference with some great minds on the forefront of gaming law. Here\’s a look at some important legal developments from @GamingCounsel over the past week …

1. American Midterm Shuffles – Today, everyone is thinking about the US elections. Are the pundits right? Are the Democrats headed for heavy losses? Will Harry Reid prevail in Nevada? What does it all mean for Internet gaming, specifically for poker? Whatever happens today, the trend towards legalizing and regulating Internet gaming will continue in the United States. The focus may move to the state level – although some are saying that a new Reid bill could  be passed before the end of the lame duck Congressional session on December 31^st – and, if Senator Reid loses (which is unlikely), things may be slowed down. However, the push for poker by many interested groups is too big for one person or one election to derail entirely. Some see today as crucial to the industry (see: Offshore Gaming Association); taking the long view, however, I\’m a bit more sanguine.

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2. Kentucky vs. Microgaming – Things always seem to be developing in the Kentucky domain name seizure matter. Several weeks ago, the Supreme Court of Kentucky denied the writs of IMEGA and the IGC, sending the questions of standing and jurisdiction back to the Franklin Circuit Court (that was only a waste of 6 months); recently the Commonwealth added Microgaming to its list of defendants in the separate but related suit against Pocket Kings (FullTilt Poker) and PartyGaming for damages. Kentucky is seeking to recover triple the amount of losses of those located within Kentucky against these three “and unknown defendants. [EGR Magazine]

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3. New Bank Seizures – Circumstances continue to challenge those servicing the US-facing Internet poker market. In Seattle, federal prosecutors have sought to cause the funds of Secure Money Inc. (a payment processor based in Canada) to be turned over to the US government. [Seattle Post-Intelligencer]

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4. Boyd Gaming Fundraisers – On October 26^th, Boyd Gaming Corporation announced that it\’s seeking to raise $500M through 8 year senior notes in a private placement. The bonds will be guaranteed by certain Boyd subsidiaries. Boyd will use the funds to pay off existing debt. This continues the recent trend of gaming companies reaching out to the broader markets (some through IPOs – see Betfair) to raise funds. [Boyd Gaming]

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5. IMGL Conference Summary – The International Masters of Gaming Law had their fall conference in Madrid last week. It was a great series of sessions and contained lots of stories and gossip (lawyers are as bad as judges and schoolgirls for thriving on gossip). Snippets on the US: rumours about Harry Reid working on his own poker regulation/tax bill; predictions about New Jersey and Florida being the most likely to pass intra-state gaming bills among the states; and, forecasting that current US-facing operators will still have a significant role to play post-US regulation. [Gaming Law Masters]

Barrister Stuart Hoegner is an expert but not quite a \”master\” in international gaming law whom you can follow regularly @GamingCounsel.