What it does: Requires a mandatory waiting period (default 48 hours) before newly deposited funds can be used to place wagers, creating a universal “cooling-off” delay at the point of deposit.
Sources
48 hours is a “strong” default; 24 hours is a more
politically/operationally achievable fallback that still creates an overnight cooling-off period.
$10,000 per wager accepted using funds still in the waiting period, with
escalation for repeated or systemic violations.
48-hour delay. This draft uses a placeholder
[48] hours and defines when the clock starts.
CASPR is available for legal and technical support adapting this bill to specific state contexts.
Download as Word .docxA BILL FOR AN ACT
RELATING TO MOBILE SPORTS WAGERING; REQUIRING A MANDATORY WAITING PERIOD
BETWEEN DEPOSITS AND WAGERING; REQUIRING SEGREGATION OF PENDING FUNDS AND
CONSUMER DISCLOSURES; PROVIDING FOR ENFORCEMENT AND PENALTIES; AND
PROVIDING AN EFFECTIVE DATE.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF [STATE]:
SECTION 1. SHORT TITLE.
This Act may be cited as the "Sports Wagering Deposit Waiting Period Act".
SECTION 2. DEFINITIONS.
In this Act:
(1) "Commission" means the [STATE GAMING COMMISSION] or successor agency.
(2) "Operator" means a person licensed or otherwise authorized under [STATE LAW] to
conduct mobile sports wagering in this State.
(3) "Patron" means an individual who opens or maintains an account with an Operator
for mobile sports wagering.
(4) "Deposit" means a transfer of value into a sports-wagering account for purposes of wagering.
(5) "Cleared deposit" means a Deposit that has settled and is no longer subject to reversal
through ordinary payment processing, as defined by the Commission by rule.
(6) "Waiting period" means the period of time after a Deposit during which the value of the
Deposit may not be used to place wagers.
SECTION 3. WAITING PERIOD REQUIRED.
(a) Waiting period. An Operator shall not permit a Patron to use the value of any Deposit to
place a sports wager until the Waiting period has elapsed.
(b) Duration. The Waiting period shall be [48] hours, beginning at the time the Deposit is
credited to the Patron's sports-wagering account as available for withdrawal.
(c) No circumvention. An Operator shall not structure promotions, credits, or account features
to enable a Patron to bypass the Waiting period, including by granting promotional credits
immediately upon deposit if those credits are conditioned on wagering during the Waiting
period.
SECTION 4. ACCOUNTING AND DISPLAY REQUIREMENTS.
(a) Segregation. An Operator shall segregate deposited funds subject to a Waiting period from
funds that are eligible for wagering, in a manner auditable by the Commission.
(b) Display. During the Waiting period, an Operator shall clearly display to the Patron:
(1) the amount subject to the Waiting period;
(2) the date and time when that amount becomes eligible for wagering; and
(3) the Patron's eligible-to-wager balance.
(c) Withdrawals. An Operator shall permit a Patron to withdraw funds subject to a Waiting period
at any time, except as necessary for anti-fraud and anti-money-laundering controls or where
the Deposit has not cleared.
SECTION 5. ENFORCEMENT; PENALTIES; RULEMAKING.
(a) A violation of this Act or a rule adopted under this Act constitutes grounds for license
discipline.
(b) The Commission may impose a civil penalty of up to [$10,000] per violation. Each wager
accepted using funds subject to a Waiting period constitutes a separate violation.
(c) The Commission shall adopt rules to implement this Act, including rules defining:
(1) the meaning of "credited" and "Cleared deposit" for different payment methods;
(2) audit and recordkeeping standards; and
(3) permissible consumer experience disclosures and display requirements.
SECTION 6. SEVERABILITY.
If any provision of this Act or its application is held invalid, the invalidity does not affect
other provisions or applications of this Act that can be given effect without the invalid
provision or application.
SECTION 7. EFFECTIVE DATE.
This Act takes effect on [DATE].