High Court Paves Way for States to Legalize Sports Betting

Winnings potentially massive source of tax revenue

Image Credits: Harsha K R | Flickr.

The U.S. Supreme Court on Monday paved the way for states to legalize sports gambling, striking down a 1992 federal law that barred it in most places and setting off a rush by businesses and states to cash in on an expected multibillion-dollar jackpot.

The justices endorsed New Jersey’s bid to allow such wagering in a ruling that ushers in a new era for the leading U.S. sports leagues, which had sued to block the state’s sports gambling law and called such betting a threat to the integrity of competition, fearing game-fixing and other types of cheating.

In a ruling that sent shares in gaming companies and casinos higher in brisk trading, the court voided the federal Professional and Amateur Sports Protection Act and upheld the legality of a 2014 state law permitting sports betting at New Jersey casinos and horse racetracks.

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