New Jersey Sports Betting Takes Another Hit

A federal appeals court has again struck down an attempt by New Jersey to start sports betting in the state, and upheld a federal ban.

The federal appeals court panel in Philadelphia upheld the Professional and Amateur Sports Protection Act of 1992, which bans sports betting in all but four states that had forms of sports betting before it was passed.

The state had hoped to get around the ban by simply not restricting sports betting and allowing it to exist as a self-regulated business. The move, however, was opposed by the professional sports leagues, the NCAA and the U.S. Department of Justice, which have opposed all of the state’s attempts to start sports betting.

The court ruled that the state’s plan still counted as authorizing sports betting and violates the ban. The court upheld the supremacy of the federal law and said the state has to work through Congress to change it.

This is the second time New Jersey has challenged the ban and gone through appeals, but the state has continually lost in federal court.

The 2-1 ruling does leave room for the state to try another appeal. The state could petition to have the case re-heard by the entire Third Circuit court, rather than the three-judge panel.

State legislators may consider the move, since during this appeal there were comments by the judges that the matter may have belonged in front of the full session, or en banc.

New Jersey state Senator Raymond Lesniak—one of the state’s most vocal proponents of sports betting—said he expects the state to move on a new appeal.